According to the 2009 OIA Retail Financial & Operations Performance Report, independent retailers in the outdoor space reported that their inventory turns have dropped while their days on hand have increased since the group was last surveyed in 2007.
The results show that the typical firm had sales of $2,461,835 and a pre-tax profit of 2%. High profit firms had sales of $1,927,339, and profit of 8.2%. Of greatest consequence, the typical firm had a pre-tax return on assets of 5.0%. For the high profit firm, return on assets was 22.1%
As part of the report, the OIA, in conjunction with Profit Planning Group, recently surveyed independent retailers with respect to their gross margins, operating expenses, inventory turns and several other categories to benchmark financial and operational performance within the outdoor industry. The report, created in conjunction with input from an advisory panel of over a dozen outdoor retailers, shows that financial performance varied widely within the industry in 2008.
This was the second report fielded by OIA and reflected a realistic picture of the financial situation facing the industry's retailers today.
A copy of the full report is available free to OIA members and for $495 to non members at http://www.outdoorindustry.org.
