Columbia Sportswear Company. CFO Commentary and Financial Review Second Quarter 2024 July 25, 2024 FORWARD-LOOKING STATEMENTS This presentation does not constitute an offer or invitation for the sale or purchase of securities and has been prepared solely for informational purposes. This presentation contains forward-looking tatements within the meaning of the federal securities laws regarding Columbia Sportwear Company's business opportunities and anticipated results of operations. Forward-looking statement ...

Financial Data and Key Metrics Changes - Net sales for Q2 2024 were $570 million, a decrease of 8% year-over-year, which was within the company's guidance range [10] - Gross margin contracted by 270 basis points, slightly below plan due to efforts to spur demand and reduce inventory in the U.S. [10] - SG&A expenses decreased by 3%, primarily reflecting lower supply chain expenses, resulting in an operating loss slightly better than guidance [11] - The company reported a loss per share of $0.20 compared to diluted earnings per share of $0.14 in Q2 2023 [11] - Operating cash flow exceeded $100 million in the first half of the year, with expectations to generate over $350 million for the full year [8][9] Business Line Data and Key Metrics Changes - Columbia brand net sales decreased by 5%, primarily due to a challenging U.S. marketplace, but showed healthy trends in many international markets [17] - prAna's net sales decreased by 21% across wholesale and DTC channels, although future season orders suggest a return to growth [22] - SOREL brand net sales decreased by 44%, with new leadership focused on stabilizing business trends [22] - Mountain Hard Wear net sales increased by 2%, benefiting from DTC growth despite lower wholesale sales [21] Market Data and Key Metrics Changes - U.S. net sales decreased by 15%, driven by a 20% decrease in U.S. wholesale [11] - International markets showed varied performance, with Latin America and Asia Pacific net sales increasing by 13% and China net sales increasing by mid-teens percent [13] - Japan net sales increased by high single digits, while Korea net sales declined by low teens percent [15][16] - EMEA net sales increased by 3%, with Europe-direct net sales growing in low double digits [16] Company Strategy and Development Direction - The company is focused on maximizing sales in a challenging U.S. marketplace while experiencing strong demand in international markets [7] - Strategies include enhancing product lines and marketing to attract new consumers, particularly for the SOREL brand [8] - The company aims to return to growth by stabilizing SOREL and revitalizing prAna, with a focus on long-term sustainable growth [22] - Investments are being made in strategic priorities to accelerate profitable growth and enhance consumer experiences [27] Management's Comments on Operating Environment and Future Outlook - Management noted a cautious consumer environment in the U.S. but expressed confidence in the company's ability to navigate challenges due to a strong balance sheet [68] - The company reiterated its full-year net sales and diluted earnings per share guidance, expecting a 2% to 4% decline in net sales [25] - Management highlighted the importance of normalized weather conditions and improved inventory management for future growth [46][57] - The company anticipates a return to growth in the spring of 2025, with a high percentage of the order book already in hand [30][70] Other Important Information - The company is actively managing supply chain risks, including potential delays due to geopolitical issues, but expects to deliver products on time [24] - The Columbia Greater Rewards loyalty program has been revamped, with over 5 million active users contributing significantly to U.S. DTC sales [17][18] - The company is focused on innovation, with new product launches and marketing campaigns planned for the upcoming seasons [19][20] Q&A Session Summary Question: Outlook for the rest of the year and return to growth in Q4 - Management indicated that the order book is in good shape for the second half of the year, expecting improved performance in Q4 compared to last year [30] Question: Impact of freight and supply chain issues - Management acknowledged slight shifts in inventory delivery due to Red Sea delays but emphasized that the overall impact is manageable [36] Question: Performance in the Europe market - Management reported strong brand visibility and growth in Europe, particularly in France, Germany, and the U.K. [52] Question: Consumer behavior changes in the U.S. - Management noted cautious consumer spending but highlighted the company's competitive advantages in value [66] Question: Spring order book visibility - Management confirmed that approximately 90% of the spring order book is already booked, indicating growth potential [70]

For the quarter ended June 2024, Columbia Sportswear (COLM) reported revenue of $570.24 million, down 8.2% over the same period last year. EPS came in at -$0.20, compared to $0.14 in the year-ago quarter.The reported revenue represents a surprise of -0.47% over the Zacks Consensus Estimate of $572.96 million. With the consensus EPS estimate being -$0.31, the EPS surprise was +35.48%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to d ...

Columbia Sportswear (COLM) came out with a quarterly loss of $0.20 per share versus the Zacks Consensus Estimate of a loss of $0.31. This compares to earnings of $0.14 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 35.48%. A quarter ago, it was expected that this maker of outdoor gear would post earnings of $0.35 per share when it actually produced earnings of $0.71, delivering a surprise of 102.86%.Over the last four quarter ...

Financial Performance - Net sales decreased 8 percent (7 percent constant-currency) to $570.2 million compared to $620.9 million in Q2 2023[2] - Loss from operations was $23.8 million, or (4.2) percent of net sales, compared to operating income of $6.2 million, or 1.0 percent of net sales in Q2 2023[2] - Net loss per share was $(0.20), compared to diluted earnings per share of $0.14 in Q2 2023[2] - For the three months ended June 30, 2024, net sales were $570,244 thousand, a decrease of 8.1% compared to $620,933 thousand for the same period in 2023[35] - Gross profit for the same period was $273,419 thousand, resulting in a gross margin of 47.9%, down from 50.6% in the prior year[35] - Operating income for the three months ended June 30, 2024, was $(23,802) thousand, compared to an operating income of $6,229 thousand for the same period in 2023[35] - Net income for the three months ended June 30, 2024, was $(11,741) thousand, a significant decline from net income of $8,350 thousand in the same period last year[35] - Net income for the six months ended June 30, 2024, was $30,559,000, a decrease of 44% compared to $54,552,000 for the same period in 2023[38] - Total net sales for the first half of 2024 were $1,340.2 million, down 7% from $1,441.5 million in the first half of 2023[44] Cash and Investments - Cash, cash equivalents, and short-term investments totaled $711.1 million, with no borrowings[2] - The company’s cash and cash equivalents increased to $341,822 thousand as of June 30, 2024, up from $231,571 thousand a year earlier, representing a growth of 47.7%[31] - Net cash provided by operating activities increased significantly to $108,893,000 from $9,708,000 year-over-year[38] - Cash and cash equivalents at the end of the period were $341,822,000, an increase from $231,571,000 at the end of the same period in 2023[38] - The company reported a net cash used in financing activities of $138,960,000, compared to $115,194,000 in the previous year[38] Future Projections - Full year 2024 net sales are expected to be $3.35 to $3.42 billion, representing a decline of 4.0 to 2.0 percent compared to 2023[3] - Operating income for 2024 is projected to be $256 to $288 million, resulting in an operating margin of 7.7 to 8.4 percent[3] - Third quarter 2024 net sales are expected to be $927 to $959 million, representing a decline of 6 to 3 percent from $985.7 million in Q3 2023[20] - Operating cash flow is expected to be at least $350 million for 2024[20] Inventory and Assets - Inventories decreased 29 percent to $823.6 million compared to $1,162.5 million as of June 30, 2023[15] - Total current assets decreased to $1,847,810 thousand as of June 30, 2024, from $1,901,140 thousand a year earlier, reflecting a decline of 2.8%[31] - Total liabilities increased to $936,859 thousand as of June 30, 2024, compared to $915,146 thousand in the prior year, marking a rise of 2.0%[31] Strategic Focus - The company plans to invest in strategic priorities to accelerate profitable growth and enhance consumer experiences[6] - Columbia Sportswear Company continues to focus on innovation in outdoor and active lifestyle products, with a presence in over 100 countries[27] Sales Breakdown - In the United States, reported net sales decreased by 15% to $340.2 million from $399.1 million in the second quarter of 2023[41] - The footwear category saw a significant decline, with reported net sales of $106.2 million, down 20% from $132.0 million in the same quarter last year[41] - Constant-currency net sales for the second quarter of 2024 were $576.4 million, reflecting a 7% decline compared to the previous year[41] - Reported net sales for the second quarter of 2024 were $570.2 million, representing an 8% decrease compared to $620.9 million in the same quarter of 2023[41]

Wall Street analysts expect Columbia Sportswear (COLM) to post quarterly loss of $0.31 per share in its upcoming report, which indicates a year-over-year decline of 321.4%. Revenues are expected to be $572.96 million, down 7.7% from the year-ago quarter.The consensus EPS estimate for the quarter has undergone an upward revision of 0.5% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Be ...

Columbia Sportswear Company (COLM) is likely to register a top and bottom-line decrease when it reports second-quarter 2024 earnings on Jul 25. The Zacks Consensus Estimate for revenues is pegged at $573.4 million, which indicates a 7.7% decline from the year-ago period.The consensus mark for the bottom line has deteriorated by a penny in the past seven days to a loss of 31 cents per share. This indicates a substantial decline from the year-ago quarter’s earnings of 14 cents. That said, COLM has a trailing ...

Columbia Sportswear Company (COLM) appears well-positioned for long-term growth, supported by its focus on key strategies. The company is on track to enhance operational efficiency and protect profits through its multi-year profit improvement program amid a tough operating landscape in North America and high SG&A costs.Strategic Priorities UnderwayAs part of its strategic priorities, Columbia Sportswear intends to continue with its demand creation investments, which are aimed at driving brand awareness and ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from_______to_______ ————————————————————— Commission file number 000-23939 ————————————————————— COLUMBIA SPORTSWEAR COMPANY (Exact name of registrant as specified in its ch ...

Columbia Sportswear Company (COLM) posted first-quarter 2024 results, wherein both the top and bottom lines declined year over year due to a tough operating landscape in the United States and sluggish overall demand. However, both metrics came ahead of the respective Zacks Consensus Estimate. Management raised its bottom-line view for 2024 while keeping the sales guidance unchanged.Shares of this Zacks Rank #3 (Hold) company jumped 10.1% in the after-market trading session on Apr 25.The company is on track ...