EXEC: Fox Factory Cuts Specialty Sports Group Staff After 30 Percent Q1 Revenue Decline
The Fax Factory Specialty Sports Group delivered quarterly revenue of $118.9 million, a decrease that was said to be primarily due to the stronger-than-anticipated seasonality impact in Q1 of 2023. The company instituted cost reductions, which primarily resulted in a reduction of workforce within the Specialty Sports Group.
Adidas Maintains Guidance Despite Flat Q1 Growth From Yeezy Impact, Inventory Issues
Adidas CEO Bjørn Gulden said the first quarter ended a little better than expected as the company eked out flattish sales growth globally and a small operating profit despite the termination of the Yeezy business. Gulden said sales were up 9 percent for the quarter ended March 31 when excluding the Yeezy business.
EXEC: Vista Outdoor’s Shares Pop On Brighter Outlook
Shares of Vista Outdoor jumped 16.4 percent on Thursday after Gary McArthur, interim CEO, on the company’s fourth-quarter conference call provided an upbeat outlook for the business, including predicting a return to growth for the Outdoor Products segment in the back of the current fiscal year and a more normalized purchasing cycle going forward for the Sporting Products segment.
EXEC: Acushnet’s Q1 Boosted By Titleist Momentum
Acushnet Holdings Corp. reported first-quarter earnings that handily topped Wall Street’s guidance, led by robust double-digit gains for Titleist golf balls and clubs tied to successful launches. David Maher, Acushnet’s president and CEO, told analysts, “The Acushnet team is excelling on the product development, manufacturing and supply chain management fronts.”
EXEC: Sturm, Ruger Sees Q1 Profits Halved As Consumer Firearms Demand Weakens
Sturm, Ruger & Company posted net sales of $149.5 million for the first quarter of 2023, a 10.3 percent decline the year-ago quarter. Diluted EPS was 81 cents per share in Q1, down 52.3 percent from the $1.70 per diluted share posted in the year-ago quarter.
CODI: Retail Inventory Woes Drive Q1 Declines At BOA And Primaloft; Marucci And 5.11 Post Gains
Compass Diversified (CODI) saw sales decline 33 percent at BOA, 34 percent at Velocity Outdoor and 5 percent at Primaloft with all impacted to varying degrees by elevated inventories in the marketplace. Marucci Sports and 5.11 both delivered healthy double-digit sales growth.
EXEC: Champion’s Steep Q1 Revenue Drop Blamed On Promotional Environment
On its first-quarter analyst call, Steve Bratspies, CEO of Hanesbrands Inc., attributed the Champion’s 22 percent tumble in the U.S. in the period on promotional pressures in an over-inventoried marketplace. He said, “When you get an inventory backup of the scale that we have, people try to move it and try to move it aggressively.”
KOA: Camping Participation Declines Off Record Highs
Kampgrounds of America, Inc’s (KOA) 2023 North American Camping and Outdoor Hospitality Report found camping, and glamping to a lesser degree, accounted for 32 percent of all leisure trips in 2022, down from a record high of 40 percent in 2021. However, participation among active campers held steady.
EXEC: Big 5 Hit By Weather And Macro Headwinds
Big 5 Sporting Goods Corp. reported same-store sales declined 7.1 percent in the first quarter ended April 1 with cold and rainy weather stalling the start of baseball, softball and other spring sports seasons. On an analyst call, Steve Miller, president and CEO, said comps are down 11 percent for the second quarter to date and expected to decline in the high single-digit range due to macro pressures.
EXEC: Black Diamond’s Growth Slowed By NA Wholesale Inventory Overhang
Clarus Corp. reported modest growth in its Black Diamond segment as gains in its direct-to-consumer and international channels helped offset fewer shipments to its North American wholesale channel due to elevated inventory levels and reduced open-to-buy dollars. Clarus also indicated BD’s inventories would not be rebalanced until the fall.
EXEC: Inside The Marathon Sports Deal And The 400-Door Plan With Fleet Feet’s CEO
Fleet Feet has been busy, acquiring Boston’s Marathon Sports last year on top of its 2021 acquisition of the JackRabbit chain. Here, Joey Pointer, CEO, discusses the reasons behind the Marathon Sports’ acquisition and its ongoing expansion appetite, its recent performance, key initiatives and more.
EXEC: Newell Blames Outdoor & Rec’s Q1 Shortfall On The Weather
On Newell’s first-quarter analyst call, Ravi Saligram, Newell’s CEO, attributed the steep quarterly sales decline seen at the Outdoor & Recreation segment to “a slower-than-expected start to the season, primarily due to wet and cold weather in the western part of the country.”
Yue Yuen Warns On Q1 Profit Decrease As Footwear Manufacturing Contracts
Footwear manufacturing powerhouse Yue Yuen Industrial (Holdings) Limited is expected to record a decrease of 40 percent to 45 percent in profit attributable to owners of the company as compared to profit of $88.6 million for the corresponding three-month period in 2022.
EXEC: Hydro Flask Hurt By Demand Shift Toward Tumblers, Osprey Outperforms
On an analyst call, Julien Mininberg, CEO, said Hydro Flask’s sales declined in the fiscal fourth quarter ended February 28 in large part due to a shift in consumer preference from insulated bottles to tumblers. Osprey, acquired December 30, 2021, outperformed expectations.
Columbia Sees Solid Q1 Growth But Earnings And Outlook Suffer On Inventory Woes
Columbia Sportswear said consumer demand in many areas of their business remained strong in the first quarter, with international markets showing resilience and the outlet store business in the U.S. generating healthy growth as consumers seek out value and promotions in the marketplace. Columbia lowered the high end of its EPS outlook to account for higher SG&A expenses.
