Jarden Corporation reported net sales at its Outdoor Solutions segment, which owns 25 sporting goods brands including Coleman, K2 and Rawlings, declined 3.6 percent in the third quarter ended September 30.

Segment sales reached $654.5 million, a drop of $24.6 million compared with a year earlier. Operating margins, meanwhile, fell by $20 million, or 23.6 percent to $67.0 million.

For the nine months ended Sept. 30, Outdoor Solutions generated $2.03 billion in net sales, down $85.4 million, or 4.0 percent from the first nine  months of 2014. Operating income dropped by $92.9 million, or 38.2 percent to $150.3 million.

The segment's brand portfolio includes Abu Garcia, AeroBed, Berkley, Campingaz and Coleman, Dalbello, ExOfficio, Fenwick, Greys, Gulp!, Hardy, Invicta, K2, Marker, Marmot, Mitchell, PENN, Rawlings, Shakespeare, Squadra, Stearns, Stren, Trilene, Völkl and Zoot.

Consolidated results
Jarden Corp, which makes and markets a wide range of consumer goods at two of its three other segments, reported net sales reached $5.9 billion compared to $5.8 billion for the same period in 2014.

Jarden Corp. also reported the following consolidated results:

  • Organic net sales grew 5.9 percent or $347 million.
  • Reported gross margin was 30.1 percent, compared to 30.6 percent for the same period in 2014;
  • Net income of $151 million, compared to net income of $164 million for the same period in 2014;
  • Earnings per share was $0.75 per diluted share, based on 200 million weighted average shares outstanding, compared to $0.87 per diluted share, based on 190 million weighted average shares outstanding, for the same period in 2014;
  • Adjusted gross margin was 31.0 percent, compared to 31.2 percent for the same period in 2014;
  • Adjusted net income was $295 million, compared to $292 million for the same period in 2014; and
  • Adjusted earnings per share was $1.48 per diluted share, based on 200 million weighted average shares outstanding, compared to $1.54 per diluted share for the same period in 2014, based on 190 million weighted average shares outstanding.

Executive commentary
“We are pleased to announce another quarter of record net sales and record segment earnings,” said Martin E. Franklin, Executive Chairman. “Despite the continuing macro foreign exchange headwinds, the diversity and strength of our businesses has allowed us to continue to produce strong financial results.”
Martin said Jarden looks forward to completing the acquisition of Jostens in November. A supplier of year books, rings and other customizable items to high schools and colleges nationwide, Jostens will provide  Jarden's existing brands with a new channel of distribution.

“We continue to see very positive momentum in our year to date and quarterly results as well as in our fourth quarter and 2016 forecast,” added Jarden's CEO, James E. Lillie. ” Posting third quarter broad-based organic growth of 6.0 percent and a nine-month organic growth rate of 5.9 percent, further affirms our comfort with meeting or exceeding our goal of 3 percent-5 percent average organic annual growth. Segment earnings margin of 15.4 percent for the quarter is indicative of our focus on achieving consistent, long-term, profitable growth, particularly given nearly 200 basis points of transactional foreign exchange headwinds. I am also pleased to report that our acquisition and swift integration of Waddington is on track and that they are delivering revenue, earnings and synergies in line with our expectations. We are well positioned to integrate and begin accelerating the long term growth of Jostens upon its closing.”

JARDEN CORPORATION

NET SALES AND OPERATING EARNINGS BY SEGMENT (Unaudited)

(in millions)




 Branded Consumables 

 Consumer Solutions 

 Outdoor Solutions 

 Process Solutions 

 Intercompany 
Elimination (a) 

 Total Operating Segments 

 Corporate/
Unallocated 

 Consolidated 

Three months ended September 30, 2015














Net sales

$     910.5

$     602.4

$     654.5

$     114.2

$     (25.3)

$  2,256.3

$           –

$     2,256.3


















Segment earnings (loss)

$     173.7

$       98.3

$       88.9

$       15.1

$             –

$     376.0

$    (27.7)

$        348.3


















Adjustments to reconcile to reported














operating earnings (loss): 

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