Fueled by double-digit net sales gains from each of its brands, Columbia Sportswear Co. posted a 39 percent earnings gain for the third quarter.
Sales for the quarter rose 14 percent to $767.6 million from $675.3 million in the same period last year as net income jumped to $91.1 million, or $1.28 a share, from $67.9 million, or 93 cents.
The company said results were also boosted by 25 percent top-line “growth in North America and high-teen constant-currency percentage growth in Europe-direct markets.”
As a result, the company said it expects to post fiscal-year net income that will be 20 to 23 percent higher than 2014. Earnings for the full-year period are expected to be between $165 million and $169 million, or $2.32 to $2.37 a share. Sales are now pegged to grow 10.5 percent.
Tim Boyle, chief executive officer, said during 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,” Boyle said in the report. “The Columbia brand also continued to demonstrate its resurgence in Europe-direct markets, posting mid-20-percent constant-currency growth in that important region during the quarter.”
The strong sales performance was “partially offset” by softer results in the Latin American and Asian markets.