Nike Canada Investigated by Canadian Ombudsperson for Responsible Enterprise
Nike Canada Corp. is alleged to have or have had supply chains or operations in the People’s Republic of China identified as using or benefitting from the use of Uyghur forced labor.
EXEC: Osprey Outperforms in Parent’s Q1 Results; Hydro Flask Hurt by Preference Shift
On today’s analyst call, Julien Mininberg, Helen Of Troy’s CEO, said Osprey, acquired in December 2021, surpassed expectations for the second straight quarter, but Hydro Flask continued to be pressured by a shift in consumer preference from insulated bottles to tumblers.
EXEC: Deloitte Study Find Sports Fandom Getting More Immersive
Deloitte’s inaugural study, 2023 Sports Fan Insights: The Beginning Of The Immersive Sports Era, found that despite concerns over past pandemic-driven closures of live sporting events, today’s sports fans remain strong, with younger fans craving spectator sports experiences.
JD Sports Responds to CMA Statement on Anti-Competitive Actions
JD Sports Fashion Plc responded to a recent Competition and Markets Authority (CMA) press release regarding the issuance of a statement of objections relating to its previously announced investigation into suspected breaches of competition law
EXEC: Active Lifestyle Stocks Show Some Recovery In First Half
On Holding, Adidas, Deckers Outdoor, Amazon, Smith & Wesson and Skechers USA delivered share price gains of more than 30 percent in the first half of 2023 in an overall mixed performance for stocks in the active lifestyle space. Laggards included VF Corp., Hibbett, Under Armour and Foot Locker.
EXEC: Jordan Brand Shines For Nike In FY23
On Nike’s fourth-quarter analyst call, John Donahoe, president and CEO, Nike, Inc. talked up progress and untapped opportunities for Nike Brand around global football (soccer), basketball and running categories, but Jordan Brand was by far the star performer for Nike’s fiscal year ended May 31.
EXEC: Nike Delivers Rare Quarterly EPS Miss, Cloudy Outlook
Nike missed on earnings for the first time in three years as compressed margins weighed on profits during its fiscal fourth quarter ended May 31. The sportswear giant also forecast first-quarter revenue below Wall Street targets as North America softness overshadowed China’s recovery. On the positive side, Nike indicated demand remains healthy across regions and inventories have been rebalanced to position the company for profitable growth going forward.
Overstock.com To Re-Brand After Bed Bath & Beyond IP Acquisition
Overstock.com, Inc. reported it acquired certain intellectual property assets of the Bed Bath & Beyond banner from Bed Bath & Beyond, Inc. under a Bankruptcy Court supervised process. The company purchased the assets for $21.5 million, funded with cash on-hand.
EXEC: American Outdoor Brands Eyes Return To Growth, Potential For $400 Million In Revenue
America Outdoor Brands said it strengthened its balance sheet, generated significant operating cash flow, controlled costs, and continues to invest for its long-term growth but full-year net sales were $191.2 million, a decrease of 22.8 percent, compared with the prior year and an increase of 14.2 percent over pre-pandemic fiscal 2020.
EXEC: Signa Sports’ Q2 Results Waylaid By Bike Inventory Overhang
Signa Sports reported a steeper loss in its fiscal second quarter ended March 31 as sales fell 23.5 percent. The operator of niche sports e-commerce websites also warned of further sales declines and margin compression in coming quarters as it believes another 12-to-18 months is needed for elevated bike inventories to fully clear.
Report: Outdoor Recreation M&A Slower But Valuations Holding Up Amid Turmoil
A market report from Capstone Partners found that M&A activity has slowed in 2023 as sellers and buyers have approached transactions with increased caution amid economic headwinds. However, the company found that price multiples remained robust for making deals as the industry continues to benefit from elevated spending and participation rates since the pandemic.
Report: Asics Cutting Ties with Smaller U.K. Specialty Retailers
Independent sports retailers in the U.K. are reportedly reeling from a move Asics Corp. is making to narrow its distribution in the region. In a recent article published by The Guardian, Asics was said to be “cutting off supply to hundreds of small U.K. outlets…”
JD Sports Maintains Full-Year Outlook Despite North America Drag On Growth
JD Sports Fashion Plc shares were down nearly 6 percent in early trading in London on Tuesday after the retailer, parent of the JD, Finish Line, DTLR and Shoe Pavilion in the U.S., provided and update on the current year business for attendees at its Annual General Meeting.
EXEC: Adidas Earns Stock Upgrade On Expected Favorable Fashion Cycle
UBS raised its rating on Adidas to “Buy” from “Neutral” due to its expectations that renewed momentum in the brand’s lifestyle offerings, particularly the Gazelle and Samba styles, support broader top-line growth.
Study: Luxury Sales Expected To Grow Again In 2023 Despite U.S. Slowdown
Bain & Company and Altagamma’s 2023 spring luxury study projected that the personal luxury goods market would grow 5 percent to 12 percent in 2023, following a record year in 2022. The gains come despite moderate luxury shopping in the U.S. due to economic uncertainties.
