Columbia Sportswear Company said, it reported record fourth quarter net sales of $699.4 million for the period ending December 31, 2015, up 3 per cent year over year.
Fourth quarter of 2015 net sales growth was driven by US net sales growth of 10 per cent year on year to $446.2 million, reflecting growth from the Columbia, Sorel, Prana and Mountain Hardwear brands.
This growth was partially offset by; a 15 per cent net sales decline in the EMEA region to $58.2 million, including mid-teen constant-currency net sales growth in the company's Europe-direct business.
Global Columbia brand net sales of $528.9 million increased less than 1 per cent, compared with the fourth quarter of 2014, but were up 3 per cent on a constant-currency basis.
Global Sorel brand net sales for the quarter under review drove up 14 per cent, but 21 per cent on a constant-currency basis to $105.3 million.
Global Prana brand net sales surged 39 per cent to $27.7 million, and global Mountain Hardwear brand net sales grew 2 per cent to $35.2 million.
“Fourth quarter of 2015 operating income too increased to a fourth quarter record of $82.3 million,” the sportswear retailer stated in a press release.
For the reporting quarter, net income also rose 14 percent to $63.4 million, or $0.90 per diluted share, also a fourth quarter record, compared to $55.6 million, or $0.79 per diluted share in the same quarter of 2014.
Full year 2015 net sales grew $225.6 million, or 11 per cent also to a record $2.33 billion, while operating income increased 26 per cent year on year to a record $249.7 million.
“This represents operating margin of 10.7 per cent in 2015 as against operating margin of 9.5 per cent in 2014,” the company added.
“In Europe, the Columbia brand achieved mid-20-percent constant-currency growth and began reclaiming share in key markets,” the apparel retailer noted.
Full year 2015 net income, including five months of incremental results from the Prana brand, surged 27 per cent to a record $174.3 million, or $2.45 per diluted share.
This compares with full year 2014 net income of $137.2 million, or $1.94 per diluted share.
CEO Tim Boyle said, “Record net sales, record operating income, expanded operating margin, and record net income validate that our strategies are driving growth and improved profitability.”
“The Columbia, Sorel, and Prana brands each generated double digit constant-currency net sales growth, concentrated in North America,” he too added.
"We had high expectations entering the year and are encouraged that we exceeded those expectations despite unseasonably warm weather, macroeconomic challenges, and currency headwinds,” Boyle stated. (AR)
Fibre2Fashion News Desk – India