Sweden's New Wave Group AB reported sales at its Sport & Leisure segment grew 29 percent to SEK 522 million ($62 mm) in the second quarter ended June 30, due primarily to growth in the U.S. promotional channel and the impact of exchange rates.
EBITDA rose 38.0 percent to SEK 10.9 million ($ 1 mm) at the segment, which owns the Ahead, Annika and Cutter & Buck golf apparel and accessories brands, Canada's Auclair glove brand, and Craft, a maker of performance base layers and apparel that is distributed through specialty cycling, outdoors, running and snow sports retailers. New Wave also owns licensing rights to Speedo and Umbro in Scandinavia.
New Wave did not break out currency-neutral figures for its three segments, but CEO Torsten Jansson, who controls 81 percent of the company's shares, said all achieved double-digit currency-neutral sales growth during the quarter. At a consolidated level, exchange rates accounted for 52 percent of a 21 percent increase in sales during the quarter, or roughly SEK 109 million of the SEK 208 million.
The company, which also operates a Corporate Promo and a Gifts & Home Furnishings segment, reported total U.S. sales grew 7 percent to SEK 354 million ($42 mm) during the quarter. That equaled 30 percent of its revenue, up from 27 percent a year earlier.
The second quarter performance brought New Wave's Sport & Leisure revenues to SEK 1.05 billion ($125 mm) for the first half ended June 30, up 24 percent from the same period in 2014, thanks primarily to growth in the U.S. and European promotional channels and currency effects. First half EBITDA increased 32.5 percent to SEK 35.5 million ($4 mm) as increased sales easily offset increased costs for sales and marketing.