Columbia Sportswear posts jump in Q2 sales and profit

For the second quarter, Columbia Sportswear Company said, net sales increased 9 percent or 11 percent constant-currency to 526.2 million dollars from the comparable period in 2018. The company’s net income increased 137 percent to 23 million dollars or 34 cents per diluted share, from 9.7 million dollars or 14 cents per diluted share, for the comparable period in 2018. Net income increased 104 percent from non-GAAP net income of 11.3 million dollars or 16 cents per diluted share for the comparable period in 2018.

Commenting on the second quarter trading, the company’s President and CEO Tim Boyle said in a statement: "Momentum across our diverse brand portfolio, distribution channels and regions along with “Project Connect” financial benefits fueled record second quarter and first half financial performance. As we enter the second half of 2019, our brand, channel, geographic and supply chain diversification positions us for continued profitable growth despite global economic and trade uncertainty."

Highlights of Columbia Sportswear Company’s Q2 and H1

The company added that gross margin expanded 70 basis points to 48.2 percent of net sales, from 47.5 percent for the comparable period in 2018, while operating income increased 68 percent to 16.4 million dollars or 3.1 percent of net sales, from 9.7 million dollars or 2.0 percent of net sales. Operating income increased 41 percent from non-GAAP operating income of 11.6 million dollars or 2.4 percent of sales, for the comparable period in 2018.

First half net sales increased 8 percent or 10 percent constant-currency to 1,180.8 million dollars, while gross margin expanded 150 basis points to 50 percent of net sales, from 48.5 percent for the comparable period in 2018.

Operating income increased 51 percent to 104.3 million dollars, representing 8.8 percent of net sales, compared to 69.1 million dollars or 6.3 percent of net sales, for the comparable period in 2018. Operating income increased 27 percent from non-GAAP operating income of 81.9 million dollars or 7.5 percent of net sales, for the comparable period in 2018.

Net income increased 77 percent to 97.2 million dollars or 1.41 dollars per diluted share, compared to 54.8 million dollars or 77 cents per diluted share, for the comparable period in 2018. Net income increased 48 percent from non-GAAP net income of 65.8 million dollars or 93 cents per diluted share for the comparable period in 2018.

The company further announced that its board of directors has authorized a regular quarterly cash dividend of 24 cents per share, payable on August 29, 2019 to shareholders of record on August 15, 2019.

Picture:Columbia Sportswear website