Columbia Sportswear Reports Softer Sales and $11.8 million Net Loss in Second Quarter

July 26, 2024

Competition, slow consumer demand and cautious retailers in the U.S. drove softer net sales at Columbia Sportswear in the second quarter of 2024, delivering results CEO Tim Boyle said were largely in line with the company’s expectations.

Columbia reported net sales of $570 million for the quarter, an 8% decrease year over year. The company had a net loss of $11.8 million compared to net income of $8.4 million for the same quarter in 2023. Gross margins fell from 50.6% in the second quarter of 2023 to 47.9% in 2024, and lower supply chain costs helped drive SG&A down by 3% in the quarter.

Columbia attributed its sales decrease to lower wholesale sales across all brands. Direct-to-consumer (DTC) sales were flat, but there was some growth in brick-and-mortar DTC. U.S. sales were down by 15% year over year and Canadian sales decreased by 4%. Softer domestic sales were offset by international growth, with a 3% increase in EMEA and 7% in LAAP. The Daily Outdoor Retailer