SGB Executive

Why Some Brands Are Sacrificing Sales During Global Climate Strike

Two of the biggest names in the active lifestyle industry will close their doors and their cash registers on September 20 to participate in the Global Climate Strike. Burton and Patagonia in recent weeks announced they won’t open their retail stores, process online sales or otherwise engage in day-to-day business practices next Friday so company employees can join one of the events happening worldwide. Here’s why they’re putting purpose over profit.

Finish Line Making Progress For JD Sports

JD Sports, the U.K.-based sports fashion retailer, delivered stellar results in the first half as EBITDA (earnings before taxes, interest, depreciation & amortization) rose 37 percent on a 12 percent same-store gain at its core Sports Fashion banners. Just as encouragingly, same-store sales at Finish Line grew 5 percent including both physical stores and online in a continued promising start to its U.S. entry.

Wall Street Reacts … Vista Outdoor’s Investor Day

Analysts generally came away impressed with Vista Outdoor team’s full probe of its turnaround strategy provided at its Investor Day held Tuesday in New York City, although a number of headwinds, particularly in the hunt space, is keeping a few from turning bullish on the company.

CamelBak Lands First REI Contract After Vista’s Firearms Exit

CamelBak is officially coming back to REI Co-op. The hydration pack and bottle brand last week inked its first contract with the outdoor retail giant in more than a year and announced plans to scale up over the coming seasons with a full line of products on REI shelves by Spring 2021, according to CamelBak President Greg Williamson.

Vista Outdoor Plots Return To Growth

At Vista Outdoor’s Investor Day held Tuesday in New York City, company officials lowered revenue guidance for the current year due to Walmart’s decision to stop selling certain forms of ammunition. But a three-year plan was also revealed that calls for a return to modest growth in ensuing years along with significant improvement in profitability.

Tariff Impact So Far Less Than Feared

With another round of tariffs arriving on September 1, tariff-mitigation strategies were again detailed on recent quarterly conference calls. Only a few companies significantly reduced earnings forecasts at least for 2019 due to their likely impact. Tariff insights from Sportsman’s Warehouse, Genesco, Lululemon, Designer Brands, Zumiez, Shoe Carnival and others.

Lululemon Is Living The ‘Sweat Life’

As Lululemon Athletica Inc. continues on a five-year vision of growing its core business in the low-double digits annually, the company’s aspirations go far beyond executing on the three pillars of product innovation, omni-guest experience and market expansion. It also requires working up a good sweat.

Journeys’ Q2 Boosted By Retro Athletic

Helped by the ongoing success of fashion athletic styles, Journeys delivered a better-than-expected 3 percent comp in the second quarter to help its parent, Genesco Inc. significantly exceed Wall Street’s consensus targets.

Zumiez’s Q2 Boosted By Heathy Brand Cycle

Continuing to be driven by footwear and hard lines, Zumiez Inc.’s second-quarter earnings increased two-fold and came in well above guidance. Combined with a strong start to back-to-school selling in August, the action-sports chain hiked its outlook for the year.

Aisle Talk Week Of September 2

Top headlines from across the active lifestyle industry featured in SGB for the Week of September 2, 2019.

Clarus’ John Walbrecht Talks ‘Superfan’ Brands With Investors

Clarus Corp. President John Walbrecht took his message about the company’s “superfan” brand strategy on the road this week when he presented at the 2019 Gateway Conference in San Francisco. Here’s what he shared about Clarus’ unwavering vision for its portfolio.

Hanesbrands Sees Champion’s Growth Just Getting Started

At Goldman Sachs’ annual retail conference, Gerald Evans, CEO of Hanesbrands, described Champion as a “bit late to the party” as far as participating in the activewear boom over the last decade but is positioned for solid growth in the years ahead.

G-III Apparel Tariff Hit Less Than Expected

G-III Apparel Group Ltd. lowered its full-year guidance due to the impact of new tariffs but shares rose strongly as the tariff charge was less than feared.

Dick’s Touts Benefits Of Strong Vendor Partnerships

At Goldman Sachs’ annual retail conference, officials at Dick’s Sporting Goods discussed how stronger partnerships with vendors are helping revive top-line growth and how Dick’s complements their vendor partner’s aggressive DTC-growth efforts. Other topics included the challenges addressing girls playing sports, tariffs and the baseball category’s resurgence.

More On Camping World’s Pivot Away From Outdoor Retail

Camping World Holdings Inc. has put outdoor retail in the proverbial rear-view mirror and set its sights on selling only recreational vehicles and accessories—even as the RV market sputters along. As SGB detailed Tuesday in our August M&A Roundup, Camping World last month sold a pair of outdoor specialty retailers. Now that the company has shed some light on its larger plan, those moves are just a hint of what’s to come.