SGB Executive

Columbia Sportswear Company (CSC) has filed suit against two former executives in Oregon District Court for alleged theft of trade secrets. The two former employees resigned on the same day and joined Huk Gear, the fishing apparel brand owned by Marolina Outdoor, Inc.

Puma SE CEO Arne Freundt revealed company sales in North America declined 18.6 percent in the first quarter, and the company now expects a further decrease in 2023 as Puma reduces its exposure to off-price sellers and elevates its position as a sports brand.

Gap, Inc., the parent company of active lifestyle banner Athleta, has apparently become far too bloated in its corporate structure for its interim CEO and will undergo at least 500 corporate layoffs to tune the organization to the realities of the current marketplace. 

Life Time Group Holdings, Inc. raised its earnings outlook for the year after reporting first-quarter earnings topped guidance. On an analyst call, Bahram Akradi, CEO, shown above, said membership attrition had come down steadily each quarter and forecasted that June would be the first month with attrition rates below 2019.

Oofos President Steve Gallo spoke recently with SGB Executive about drivers of the company’s robust growth, the active recovery opportunity, plans for the current year, and the recovery brand’s dedicated fans.

Brooks Sports Inc. filed a lawsuit against Skechers U.S.A. Inc., alleging the company is infringing on the “BEAST” trademark used on Brooks running shoes since 1992.

Fenix Outdoor International AG reported sales climbed 9 percent in the first quarter on strength in the Americas and German regions as well as with the Fjällräven and Hanwag brands. Profits were down slightly, and Fenix Outdoor warned that results in upcoming quarters could be pressured by elevated inventories and promotions in the marketplace.

SGB Executive talked to Jim Duffy, veteran sell-side industry analyst at Stifel Financial Corp., about the headwinds and tailwinds facing the active lifestyle space, his favorite stocks, the DTC trend, his affinity for covering the active lifestyle space, and the company’s sponsorship of the U.S. ski team.

Recent surveys timed to Earth Day, April 22, indicate economic pressures are working against sustainability measures despite continued commitments and show that consumers are challenged by rising inflation in support of “green” products.

Designer Brands, the parent of DSW, paid $123.3 million to acquire the Keds business from Wolverine World Wide and paid $19.1 million to acquire majority ownership of Topo Athletic, according to the company’s recently-released annual report.

REI Co-op reported a loss in 2022, impacted by lower margins but said it made significant investments in its employees, community and other areas. Sales reached $3.85 billion in 2020, up 4.1 percent year-over-year after posting a 36 percent increase in 2021.

Melody Ehsani, CEO of the Melody Ehsani brand and creative director at Foot Locker Women, is leaving her role at Foot Locker.

SFIA’s 2023 State of the Industry Report finds the outlook for the sports and fitness industry remains strong, although current macroeconomic headwinds and uncertainty have dimmed that optimism slightly from 2020 and 2021 levels.