On a webinar last week providing an update on the state of the sporting goods industry, Tom Cove, SFIA’s president and CEO, said that many of the industry’s players appear to be fixated on protecting their market share somewhat at the expense of pursuing growth opportunities. While this reflects an industry recovering from a string of bankruptcies, he lamented that the cautious stance may be holding back the industry’s overall growth.
Author: Thomas J. Ryan
Thomas J. Ryan
Senior Business Editor | SGB Media
tryan@sgbonline.com | 917.375.4699
Yeti ‘Wild’ On Growth Prospects
In its first earnings report since going public, Yeti Holdings Inc. reported third-quarter earnings that topped Wall Street’s consensus target by $3.00 a share and set long-term growth targets of 10 to 15 percent as it pursues new categories, new customer segments and new channels. But shares fell $3.09, or 16.1 percent, on Thursday apparently due to concerns over weakness in its Cooler/Equipment segment.
Dick’s Top-Line Struggles Continue
Dick’s Sporting Goods Inc. increased its 2018 earnings guidance for a third consecutive quarter as earnings easily beat Wall Street’s targets, thanks to stringent expense controls. Sales, however, came in lower than Wall Street’s targets due to the continued drag from hunt and activity trackers categories, weakness at Under Armour and flat footwear comps.
Hibbett Still Upbeat On Holiday Despite Q3 Miss
Hibbett Sports Inc. slightly lowered its full-year earnings guidance after reporting third-quarter earnings that just missed Wall Street’s targets. But e-commerce continues to outperform and Hibbett officials are hopeful footwear growth will accelerate in th fourth quarter promising offerings from Nike, Adidas and a number of smaller brands. Apparel, helped by the addition of Champion and Fila, is expected to continue to see robust growth.
Black Friday Weekend Momentum Portends Robust Holiday For Retail
Covering the revenue haul on Thanksgiving, Black Friday, Small Business Saturday on through to Cyber Monday, a number of favorable reports arrived proclaiming a healthy start to the 2018 holiday shopping season for retail. Although online appears to again be seeing over-sized gains with a boost from mobile purchases, brick & mortar traffic also appears to be recovering or at least stabilizing.
Foot Locker Bullish On Holiday
Foot Locker Inc. reported third-quarter earnings that topped Wall Street’s targets as greater full-price selling boosted margins. The sneaker chain also gave an upbeat outlook on holiday selling on improving comp growth. The footwear category comped positive for the first time in six quarters.
Athleta’s Momentum Continues
Gap Inc. said its Athleta chain continued to deliver healthy positive cop gains in the third quarter, led a strong performance by its newer girls offerings during the back-to-school season.
North Face Amps Up Engagement And Storytelling In Williamsburg Concept Store
In a walk-through of North Face’s new Protoype concept in Williamsburg, Mark Parker, the brand’s VP of direct to consumer (DTC), said the store showcases North Face’s expansive lifestyle offerings, puts a major focus on community engagement and will serve as a testing lab for future retail ideas. Said Parker, “This is a place where we’re going to play and learn.”
Kohl’s Sees Q3 Comps In Active Segment Jump 10 Percent
The Active segment for Kohl’s, which has grown to represent about 20 percent of the retailer’s mix, saw comps climb 10 percent in the third quarter and Kohl’s officials believes the chain is increasingly being perceived as a go-to place for active apparel. Shares slipped on a weak guidance for the fourth quarter.
Recovery The Theme At NYC Marathon Expo
Products supporting recovery for runners dominated many of the offerings at the recent NYC Marathon Expo but an overall message of recovery for the industry was also heard from attending exhibitors. Said Luke Rowe, SVP at CEP, “The bottom was hit and they’re bouncing back.”
Delta Apparel Boosted By Digital Print Growth
Delta Apparel reported a sharp uptick in earnings in its fourth quarter ended September 29. Strong results from its expanding digital print and fulfillment businesses offset weakness at both Salt Life and Soffe tied to Hurricane Florence.
Shoe Carnival Blasts Past EPS Targets On Robust BTS Selling
Shoe Carnival Inc. significantly raised its earnings guidance for the year after reporting third-quarter results beat plan due to robust back-to-school selling and fatter margins. Same-store sales expanded 4.5 percent with a mid-single-digit increase in both women’s and men’s non-athletic and a low single-digits in adult athletics.
New Era Plan To Close Derby Plant Causes Political Brouhaha
A number of legislators and union officials decried New Era’s plan to close its manufacturing plant in Derby, NY, the company’s only headwear-manufacturing facility in the U.S. Charles Schumer, the Senate Minority Leader who represents New York, said, “This is devastating news for Buffalo. I sincerely hope that New Era, a hometown Buffalo company, will reconsider.”
Life Fitness Sees Connectivity Driving Fitness Equipment Growth
In essentially its initial public offering, Life Fitness Holdings, the commercial fitness equipment leader being spun off from Brunswick Corp., predicted generally modest growth for the fitness equipment sector overall in the years ahead. But the company expects to continue to grab share through its reach into an increasingly digitized commercial fitness landscape.
New Iconix CEO Seeks More Global Approach
Noting that the majority of the company’s 29 brands “have more mindshare than closet share,” Bob Galvin in his first conference call as president and CEO of Iconix Brand Group Inc. promised to push collaboration among licensing partners in a more unified approach. Unfortunately, a bad debt charge from Sears’ bankruptcy stalled progress in the latest quarter.
SGB Today
Active Lifestyle Market Product and Brand Marketing Stories from SGB PRO PR and SGB Premium PR Partners
Post your Product or Marketing News in the SGB PR Portal