SGB Executive

Speaking at the Stifel Cross Sector Insights Conference, Jim Swanson, CFO at Columbia Sportswear, said the Company’s diversified business model, accelerated investments in digital in recent years and the heightened appeal for outdoor products will help it manage the fallout from the pandemic.

SGB Executive reached out to a handful of executives in the active lifestyle space to explore what adjustments they’ve made as a result of the pandemic and which ones will likely continue once the crisis subsides. Responses from Prana, Purist Collective, Teton Gravity Research, North x North, Snow Peak, and California Innovations.

At the Stifel Cross Sector Insights Conference, Patrik Frisk, CEO and president of Under Armour, said he believes the brand’s amplified focus on athletic performance will pay off as the pandemic drives increased interest in fitness and health. Frisk also talked about recent traction gained in digital engagement and running footwear.

Smith & Wesson Brands, Inc. reported its last full year as a combined Company this week as it prepares for the spin-off of its non-firearms business to a new publicly traded entity in August.

Designer Brands, the parent of the DSW chain, said it plans to prioritize its Top 50 brands as part of a rationalization of its vendor base while increasing emphasis on athleisure and kids that have been its strongest categories amid the pandemic. Roger Rawlins, CEO, told analysts, “We’re excited actually about the kind of conversations we’ve been having with the top athletic brands.”

Read the top National stories and the Latest headlines across the Active Lifestyle Market during the week of June 15, 2020 from this week’s SGB Updates — delivered to your inbox every business day.

Raymond James analyst Matthew McClintock raised his price target on Nike Inc. as the virus has heightened consumers’ desire to refocus on health and wellness. The upgrade also takes into account expected faster paybacks from its digital investments as well as a positive consumer response to its recent marketing efforts.

The 2nd edition of the COVID-19 Industry Impact Report from the Sports & Fitness Industry Association (SFIA) finds that while most sporting goods categories are seeing significantly decreased sales year-over-year, 56 percent of respondents reported sales growth from April to May 2020. Big year-over-year gains were seen in e-commerce and slightly more optimism was seen around the return of youth sports.

Speaking at the 2020 Stifel Cross Sector Insights Conference, Steve Rendle, VF Corp.’s chairman, president and CEO, said moves beginning in 2017 to reposition the business are serving the company “very, very well to navigate these times.” But he also believes VF is well-positioned to take advantage of four emerging trends accelerated by COVID-19: outdoor appreciation, health and well-being, sustainability and casual lifestyle.

The U.S. Interior Dept. released its annual National Park Service Visitor Spending Effects Report for 2019 and found that over 327.5 million park visitors spent nearly $21.0 billion in local gateway regions in 2019 while visiting National Park Service lands across the country.

The Wisconsin sock maker is facing a lawsuit filed by its former CEO for issues surrounding his termination in April 2020.

On a recent OIA webinar, the owners of three outdoor indies — Angler’s Covey, The Hive and Wild Iris — discussed the opportunities being created as consumers have gone out of their way to support small businesses and local shops as their stores have reopened amid the pandemic. With social-distancing capping other leisure opportunities, chances to land new customers have also expanded significantly as people head outdoors.

24 Hour Fitness on Monday filed for bankruptcy protection as the gym chain deals with the fallout from closures due to the coronavirus. In an affidavit, Daniel Hugo, chief restructuring officer, wrote, “Put simply, the COVID-19 pandemic upended the debtors’ operating model, leaving the debtors without a source of revenue to fund their operations.”

Speaking Monday at the Evercore ISI Virtual Consumer & Retail Summit, Gerald Evans, HanesBrands’ CEO, said he remains confident that Champion will reach its goal of hitting $3 billion in sales in coming years despite the negative impact from COVID-19.

Lululemon Inc. broke down their fiscal first quarter in three phases as COVID-19 cut into its quarter that started strongly across the business and evolved into primarily an e-commerce play by quarter-end on May 2.