- Columbia Sports reported 4Q earnings per share (EPS) of $1.80, missing the estimate of $1.87 but up from $1.55 year-on-year (y/y).
- U.S. revenue slightly decreased by 1% y/y to $682.3 million, surpassing the estimate of $668.7 million.
- Revenue from Latin America grew by 7.4% y/y to $187.6 million, below the estimate of $197.6 million.
- EMEA revenue showed significant growth of 24% y/y, reaching $161.6 million and surpassing the estimate of $143.8 million.
- Canada revenue remained stable at $65.2 million, in line with the previous year’s performance and above the estimate of $61.9 million.
- Total net sales increased by 3.5% y/y to $1.10 billion, exceeding the estimate of $1.08 billion.
- Operating income rose by 21% y/y to $137.3 million, although it fell short of the estimate of $140.3 million.
- The company forecasts net sales growth between 1% to 3%, with total net sales projected to be between $3.40 billion to $3.47 billion, slightly under the estimate of $3.49 billion.
- EPS for the year is expected to be between $3.80 to $4.15, below the previous estimate of $4.27.
- Following the report, shares fell by 8% in post-market trading to $78.98 with 6,539 shares traded.
- The stock has 4 buy ratings, 4 hold ratings, and 2 sell ratings from analysts.
Columbia Sportswear Co on Smartkarma
Independent analysts on Smartkarma, such as Baptista Research, are closely monitoring Columbia Sportswear Co. According to their research reports, Columbia Sportswear’s third-quarter results for 2024 showed a mixed performance in a tough retail environment, especially in North America. Despite a 5% decrease in net sales, the company delivered better-than-expected diluted earnings per share, thanks to improved gross margins and effective cost controls. With a robust financial position boasting over $370 million in cash, no debt, and continuous shareholder returns through dividends and share repurchases, Columbia Sportswear remains resilient.
In another report by Baptista Research, Columbia Sportswear faced challenges in the second quarter of 2024. The company reported an 8% decline in net sales to $570 million, mainly due to difficulties in the U.S. market. The U.S. segment suffered a notable 15% decrease, driven by a 20% fall in wholesale sales because of cautious retailer behavior and lower-than-expected shipments. Despite these challenges, independent analysts are exploring the impact of management’s focus on high-margin products and markets to navigate these hurdles successfully.
A look at Columbia Sportswear Co Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
According to Smartkarma Smart Scores, Columbia Sportswear Co has a solid long-term outlook. The company scores evenly across Value, Dividend, and Growth categories with a score of 3 each, indicating a balanced performance in these areas. Additionally, Columbia Sportswear Co demonstrates strong Resilience and Momentum with scores of 4, highlighting its ability to weather market challenges and maintain a positive growth trajectory. Overall, Columbia Sportswear Co seems well-positioned for the future based on these Smart Scores.
Columbia Sportswear Co is a company that designs, manufactures, and distributes outdoor apparel worldwide. Their range includes outerwear, sportswear, rugged footwear, and various accessories. Columbia sells its products to specialty and department store retailers both in the United States and internationally. With a consistent performance across key factors like Value, Growth, Resilience, and Momentum, Columbia Sportswear Co appears to be a strong player in the outdoor apparel industry with a promising long-term outlook.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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