SGB Executive

Vista Outdoor Inc., parent company of Camelbak, Bushnell, Bell, Giro, Federal and many more outdoor-oriented brands, said that outdoor recreation quickly became the go-to form of exercise and entertainment during the COVID-19 shutdown, which drove stronger-than-expected sales in most categories in the fiscal first quarter ended June 28.

Canadian Tire Corp. reported sales dropped 24.9 percent at its SportChek segment during the quarter while sales sunk 21.4 percent at Helly Hansen as both were impacted by store closures. Both businesses turned positive in June, led by online growth.

The overall positive jobs report trend for July got a boost from the sector that includes the sporting goods retail business. The U.S. Bureau of Labor Statistics reported that total nonfarm payroll employment rose by 1.8 million in July and the Establishment Survey Data that includes breakdowns for specific sectors of the market saw the Sporting Goods, Hobby, Book, and Music Stores segment add 18,700 jobs in July, or a 4.4 percent increase, lagging the overall retail sector.

Winchester’s sales increased 16.8 percent to $192.6 million for the second quarter, compared to $164.9 million in the second quarter 2019.

Benefitting as people spend time outdoors during the pandemic, Yeti Inc. reported earnings and sales in the second quarter that handily topped Wall Street targets. Said Matt Reintjes, president and CEO, “Yeti’s product performance, durability and versatility are key as customers rely on, and invest in, brands that help them enjoy outdoor activities.”

Adidas said it expects revenue to recover in the third quarter as stores continue to reopen and digital sales thrive after the coronavirus lockdowns pushed the company into a net loss in the second quarter.

“I think you’re seeing new entrants into the sport and we’re also benefiting from the fact that there is just so much demand against the bikes that are available, but that also pushes people into higher premium-level bikes that may have been looking at lower-level bikes prior”, said Company CEO Mike Dennison

Acushnet Holdings Corp., the parent of Titleist, FootJoy and KJUS, said that after a brutal first two months of the second quarter due to store and golf-course lockdowns, sales bounced back strongly in June, accelerated in July, and are expected to continue strong through the third quarter. Said David Maher, Acushnet’s president and CEO, on a conference call with analysts, “The game and business of golf have been incredibly resilient.”

Wolverine Worldwide’s sales in the second quarter fell 39 percent but came in significantly better than internal expectations due to a 96 percent hike in online sales and strong trends towards the end of the quarter around outdoor, run and work. Said Blake Krueger, chairman, CEO and president, “The company’s performance significantly exceeded our expectations entering the quarter on virtually every financial metric.”

Planet Fitness Inc. only saw a modest decline in membership across its open facilities through the end of its June quarter as new member “joins” for the quarter outpaced the rate in the year-ago quarter.

Company President and CEO James Conroy opened the call for the fiscal first quarter saying that they have seen “a strong correlation, both up and down, between the number of positive COVID-19 cases in specific geographies and the virus impact on consumer sentiment and retail store traffic.”

With a lack of big earnings stories early in the month, the most-read SGB Media business-to-business stories in July tended to be heavily wighted toward new hires and jobs across the active lifestyle industry.

“This is probably the strongest level of demand that I’ve seen,” said Chris Killoy, CEO at Sturm Ruger & Co., when asked on the company’s second-quarter conference call about the recent surge in demand for firearms that’s been fueled by anxieties over COVID-19 and civil unrest.

Emerald Holding Inc., the parent of Outdoor Retailer, Surf Expo and other trade shows, saw second-quarter revenues collapse as it was forced to cancel 60 events and postpone 14 others due to COVID-19. But company officials said it’s making “significant progress” with an ongoing organizational restructure and its virtual events are seeing a strong response.

Newell Brands said sales at its Outdoor & Recreation segment, which includes Coleman and Marmot, fell 20.3 percent in the second quarter but Coleman’s sales are reviving since June as interest in camping has taken off. Two industry executives, Jim Pisani and Bill Kirchner, are helping guide the segment’s turnaround.