Columbia Sportswear reports record quarter for Q3 2015

By

Obi Anyanwu

Published
Oct 30, 2015

Columbia Sportswear announced its financial results for the third quarter of fiscal 2015.

The active lifestyle company achieved record net sales numbers for the third quarter and first nine months of 2015 due to better supply chain execution and a strong direct business in Europe.

The Oregon-based company reported a 14% increase in net sales for Q3 2015 and the first nine months of 2015 to a record $767.6 million and $1,626.8 million, respectively. The sales growth is attributed to double-digit net sales increases from each of Columbia’s brands, as well as 25% growth in North America and high-teen constant-currency percentage growth in Europe-direct markets.
 
Tim Boyle, Columbia’s chief executive officer, commented, “During the third quarter, the Columbia, Sorel and Prana brands combined to generate 26 percent net sales growth across North America. Better supply chain execution resulted in more timely delivery of wholesale customers’ Fall advance orders, which has enabled them to benefit from increased sell-through volumes thus far in the season. The Columbia brand also continued to demonstrate its resurgence in Europe-direct markets, posting mid-twenty-percent constant-currency growth in that important region during the quarter."

Columbia and Sorel led the individual brands’ growth with net sales increases of 10% to $609.7 million and 48% to $86.2 million, respectively. Prana net sales jumped 22% to $34.4 million and Mountain Hardwear brand increased 12% to $34.8 million.
 
“Our record third quarter and year-to-date results illustrate the increasing earnings power of our brand portfolio. We believe we are only beginning to unlock the long-term potential of our portfolio of brands,” Boyle concluded.
 
The company adjusted its projections for 2015 and expects net sales growth of approximately 10.5% to more than $2.3 billion, compared to $2.1 billion in 2014.