Black Diamond, Inc. expects to end the year with less winter inventory thanks to a prolonged winter in much of North American and Europe and by aggressively moving discounted and discontinued skis, ski boots and other winter products through global clearance channels.


Through the first 2 months of 2013, we are encouraged by the material snowfall and cold experienced throughout much of the world, CEO Peter Metcalf said in a conference call to review the companys audited results for the fourth quarter and full year of 2012, which came in almost exactly in line with preliminary results released Feb. 14. Our winter ASAPs have also increased in both North America and Europe with a significant amount of our product selling at full retail price. In many areas, our dealers appear to be more confident in their ability to move inventory, and we believe they are reasonably positioned to bring in new products. If this trend continues, we believe it should help consumer sentiment when the fall 13/winter 14 season begins. Either way, it appears to us that the global overhang of inventory at retail has improved.


Metcalf participated in the call from London, where he was meeting with European retailers, including Cotswold and Blacks Leisure of the United Kingdom and Sport Schuster of Germany. Thanks to a prolonged winter, European retailers have generally not yet begun discounting winter goods and remain cautiously optimistic, Metcalf said. In the U.K. there is a sense that consumers have finally adjusted to government austerity programs and resumed spending on outdoor recreation. 

CFO Robert Peay dialed in guidance for 2013 by forecasting said revenues would grow between 15-21 percent to $90-95 million in the first half and 24-34 percent to $121-$131 million in the back half of the year, when it begins shipping the first elements of a new apparel line forecast to reach $250 million in annual sales by 2020.


Metcalf said he will hit the road starting this week to persuade investors that BDEs stock is undervalued. He attributed that to the incorrect perception that the companys aggressive growth plans will require multiple equity raises and dilute existing shareholder equity.