Retail Reports Roundup
Retail studies arrived on increasing rates of discretionary spending online, online personalization disappointing consumers, disconnects around consumers pricing perceptions, unplanned absence creating selling floor shortages, and rewards members desire for cash.
Asics Sees 8 Percent Q3 Sales Drop In The Americas
Asics Corp. reported an operating loss in its American region of ¥398 million ($3.5 mm) in the third quarter as sales declined 8.1 percent. Companywide, Asics slashed its earnings guidance for the year as it also saw a steep decline in profits in the Europe and a modest decline in Japan.
October M&A Roundup: Implus Nets 20th Acquisition
Acquisitions made by a fitness accessories company, a sporting goods retailer and a bike components manufacturer—each with vastly different track records of making deals—highlighted a busy month for M&A across the sporting goods, outdoor and active lifestyle industries.
OR Winter Market Softness Leads To Emerald Expositions Reducing Organic Revenue Outlook
Smaller-than-anticipated numbers for Outdoor Retailer Winter Market—which makes its Denver and November debuts next week—contributed to Emerald Expositions Events Inc. reducing organic revenue growth expectations for 2018. But Marisa Nicholson, vice president of the outdoor group at Emerald and director of Outdoor Retailer, has a different take on the show, which will be held November 8-11 at Colorado Convention Center.
Newell Brands’ Turnaround Plans Gaining Traction
Shares of Newell Brands Inc. rose 14.5 percent Friday after the consumer-goods conglomerate reported adjusted earnings in the third quarter exceeded expectations as its turnaround efforts made some progress. The full-year EPS outlook was lifted for the year. Coleman’s sales were impacted by lost distribution at a key U.S. retailer.
Acushnet Lifts Outlook On Promising Q3
Acushnet Holdings Corp. slightly lifted its full-year guidance for earnings and sales after reporting robust growth in Titleist golf clubs and solid growth in Titleist balls that led to better-than-expected third-quarter results.
Aisle Talk Week of October 29
Top headlines from the active lifestyle industry you may have missed this week, including the outlook for U.S. apparel and footwear manufacturers being changed to positive from stable, according to Moody’s Investors. The agency cited the progress of companies like VF Corp. (pictured) in the report.
Vista Outdoor Shares Soar As Cost Savings Boost Earnings
Shares of Vista Outdoor Inc. rose $1.47, or 11.8 percent, at market close Thursday after the company’s earnings report revealed successful cost-cutting measures and highlighted both the recent divestiture of its eyewear brands and continued pursuit of shedding its firearms brands.
5.11 Shines For CODI In Q3 But Outlook Tempered As Investments Mount
Compass Diversified Holdings CEO Elias Sabo called tactical gear brand 5.11 a “significant driver” for CODI in the third quarter as 10.1 percent revenue growth surpassed the parent company’s expectations, but he also warned that heavy investments will take a toll on the brand’s earnings in the short term.
Champion’s Sales Soar Again In Q3
While Hanesbrands faced a number of challenges in the third quarter, including absorbing a bad-debt charge from Sears, currency headwinds and replenishment lags in Innerwear, the Champion business remains on fire. Champion’s sales grew in excess of 30 percent globally on a currency-neutral basis in the quarter and 40 percent excluding the mass channel.
Fitbit’s Smartwatch Entry Propels Rebound In Q3
Shares of Fitbit Inc. rose $1.22, or 25.8 percent, to $5.95 Thursday after the fitness tracker leader returned to profitability on a non-GAAP basis for the first time in two years on surging sales of smartwatches. The just-launched Fitbit Charge3 is also seeing a strong reception.
Big 5 Outlines Strategy For Adapting To Market Pressures
Though Big 5 Sporting Goods Corp.’s third quarter earnings fell within guidance, the company was shy of expectations as August and September sales were “disappointing,” company President and CEO Steven Miller said on Tuesday afternoon’s earnings conference call with analysts.
Unifi Facing Headwinds With Tariff Increases, Rising Raw Material Costs
A significant headwind in the form of higher raw material costs took a toll on Unifi Inc.’s profitability and gross margins in the first quarter ended September 30 while looming tariff increases are also problematic, company CEO Kevin Hall said on Tuesday’s earnings conference call with analysts.
Fitness And Outdoor Wearables Shines For Garmin In Q3
Boosted by double-digit gains for both its Fitness and Outdoor segments on strength in wearables, Garmin Ltd.’s adjusted earnings climbed 32.0 percent in the third quarter ended September 29, easily topping Wall Street’s target. The Fitness segment was led by advanced wearables, led by the GPS-enabled Vívo line of products. The Fēnix’s series continues to drive Outdoor.
Winchester’s Profits Hurt By Higher Commodity Costs
Winchester’s EBDITA fell 30.9 percent in the third quarter ended September 30 as sales dropped 5.3 percent, according to the ammunition maker’s parent, Olin Corp. On a conference call with analysts, John Fischer, Olin’s CEO, said the company now expects overall 2018 commercial demand in the Winchester segment to decline by approximately 20 percent in 2018, which follows a 17 percent decline in commercial demand in 2017.
