Darn Tough Vermont First Quarter Earnings Up 20 Percent
May 5, 2016
Company surpasses category growth benchmarks and opens over 100 new doors in first quarter
Darn Tough Vermont, the American manufacturer of the fastest growing collection of performance outdoor and lifestyle socks, is proud to announce first quarter earnings have grown 20 percent year-over-year. The double-digital growth reflects increases across all categories and a tremendous response to the brand new Vertex Running Series that launched this spring. Improvements to infrastructure and operations also continues to be a major initiative as Darn Tough implemented a new training program for manufacturing employees and completed the year-long upgrade of all knitting machines in the Northfield mill.
“The incremental increases across the entire Darn Tough collection illustrates the passion and drive of our entire team. We’re particularly happy with the double digit increases we achieved in our Running and Lifestyle categories. These were major strategic initiatives for us and we’ve made some great gains,” said Ric Cabot, Darn Tough Vermont President and CEO. “Having the best people on the front line, driving our sales and telling our brand story is as important as having the right hands on the line at the mill to create the world’s best sock.”
Category growth
Darn Tough designed the Vertex assortment of socks with serious runners in mind, providing all of the brand’s legendary comfort and durability without unnecessary bulk and weight. Originally slated to ship this spring in black only, response to the innovative new offering from retailers and consumers alike caused the brand to fast-track a larger, more colorful collection. Darn Tough has accomplished a major achievement by securing buy-in and sell-through for the new performance running socks in the speciality run retail channel. Part of the Endurance/Running category, popularity of the Vertex series has contributed significantly to an 80 percent increase year-over-year.
The Lifestyle category has also seen a significant increase, up 58 percent from last year, which speaks to the brand’s fashion forward direction led by Design and Development Director Lyn Feinson. Finally, even after a difficult winter season felt across the country that caused sluggish sales numbers, Darn Tough’s Vertical category saw modest gains as well.
Infrastructure growth
Darn Tough hired Techline Rep Group (TRG) to help drive sales for the brand in Texas, Arkansas, Louisiana and Oklahoma area (TALO). The addition of TRG will help build on a year of successful growth for Darn Tough Vermont and allow consumers in TALO area to better experience Darn Tough’s made in the USA quality and lifetime guarantee.
Also during the first quarter, Darn Tough upgraded the remaining 23 percent of their knitting machines to state-of-the-art True Seamless™ toe technology which can now produce any sock in the Darn Tough catalog. In addition, the entire Northfield mill has been fully networked, enabling comprehensive production data collection, improving efficiency and limiting waste.
About Darn Tough Vermont:
Darn Tough Vermont is an American manufacturer of premium, all-weather outdoor and lifestyle socks for every activity and every day. The company offers both Specialty and Tactical product lines. Darn Tough Vermont’s Specialty line offers footwear in six active wear categories including Ski/Ride, Hike/Trek, Run/Bike, Lifestyle, Hunt, Work and Kid’s styles – all of which carry the industry’s only unconditional lifetime guarantee.
Darn Tough’s product is distinguished from industry competitors by 100 percent USA manufacturing; exceptional comfort, durability and fit; True-Seamless™ technology; and an exclusive blend of either ultra-fine, premium Merino wool or Coolmax®/Thermolite®. Founded by Ric Cabot in 2004, a third-generation sock maker, Darn Tough Vermont operates out of Cabot Hosiery Mills. For more information about Darn Tough Vermont socks, please visit: www.DarnTough.com.
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