Core Insights - Columbia Sportswear Company (COLM) reported fourth-quarter 2025 results with both sales and earnings exceeding the Zacks Consensus Estimate, although both metrics declined year over year [2][12]. Financial Performance - Earnings per share (EPS) for the quarter were $1.73, surpassing the Zacks Consensus Estimate of $1.22, but down 3.9% from $1.80 in the prior-year period [4][12]. - Net sales reached $1,070.2 million, exceeding the Zacks Consensus Estimate of $1,037 million, but fell 2.4% year over year, primarily due to timing-related factors [5][12]. - Gross profit decreased 1.6% year over year to $551.7 million, while gross margin improved by 50 basis points to 51.6%, driven by better inventory quality [6][12]. - Selling, General and Administrative (SG&A) expenses rose 2.5% to $441.5 million, with the percentage of sales increasing to 41.3% [7][12]. - Operating income was $116.7 million, down 15% from the previous year, with operating margin decreasing by 160 basis points to 10.9% [8][12]. Sales Performance by Region and Channel - U.S. net sales declined 8% year over year to $626 million, slightly missing estimates, while international markets showed growth with EMEA and Asia Pacific net sales increasing by 8% [9][12]. - Direct-to-consumer (DTC) sales increased 1% to $640.8 million, exceeding expectations, while wholesale channel sales decreased by 7% [10][12]. Product Category Performance - Net sales in the Apparel, Accessories, and Equipment category fell 2% to $855 million, while Footwear sales decreased by 5% to $215.3 million [13][12]. - Sales for the Columbia, SOREL, and Mountain Hardwear brands experienced declines, while the prAna brand saw a 6% increase year over year [13][12]. Financial Position and Future Outlook - As of December 31, 2025, the company had cash and cash equivalents of $442 million and no debt on its balance sheet [14][12]. - For 2026, the company anticipates net sales growth of 1% to 3%, projecting revenues between $3.43 billion and $3.50 billion [17][12]. - Gross margin is expected to decline to a range of 49.8% to 50%, while operating margin is projected to improve modestly to between 6.2% and 6.9% [18][12]. - EPS for 2026 is forecasted to range from $3.20 to $3.65, with first-quarter 2026 net sales expected to decline approximately 2.5% to 4% year over year [19][12].

Financial Performance - Net sales increased by 1% to $943.4 million compared to $931.8 million in Q3'24 [31] - Gross margin contracted by 20 bps to 50.0% [31, 52] - Operating income decreased by 40% to $67.4 million compared to $112.5 million in Q3'24 [31] - Diluted EPS decreased by 39% to $0.95 compared to $1.56 in Q3'24 [31] Regional Performance - US net sales decreased by 4% to $547 million [36] - EMEA net sales increased by 16% to $164 million [36] - LAAP net sales increased by 6% to $143 million [36] - Canada net sales increased by 6% to $89 million [36] Category and Channel Performance - Apparel, Accessories & Equipment net sales remained flat at $734 million [43] - Footwear net sales increased by 6% to $209 million [43] - Wholesale net sales increased by 5% to $634 million [48] - DTC net sales decreased by 5% to $309 million [49] Financial Outlook - The company expects net sales of $3.33 billion to $3.37 billion for 2025, representing a 1% decline to flat growth compared to 2024 [75] - The company expects diluted EPS of $2.55 to $2.85 for 2025, compared to $3.82 in 2024 [76]

Financial Performance - Net sales increased by 6% from $570.2 million to $605.2 million[36] - Gross margin expanded by 120 bps to 49.1%[28, 58] - Operating margin improved by 30 bps to -3.9%[30, 36] - Diluted EPS increased by 5% to -$0.19[30, 36] Regional Performance - U S net sales decreased by 2% to $335 million[40] - LAAP net sales increased by 13% to $112 million[40] - EMEA net sales increased by 26% to $131 million[40] - Canada net sales increased by 2% to $27 million[40] Brand & Channel Performance - Columbia brand net sales increased by 8% to $548 million[50] - SOREL brand net sales decreased by 10% to $19 million[51] - Wholesale net sales increased by 14% to $317 million[53] - DTC net sales decreased by 1% to $288 million[54] Balance Sheet & Outlook - Cash, cash equivalents, and short-term investments totaled $579 million[33, 70] - Inventory increased by 13% to $926.9 million[31, 71] - The company expects net sales of $3.33 billion to $3.40 billion for 2025, representing a 1% decline to a 1% increase compared to 2024[81]

Financial Performance - Net sales increased by 1% to $778.5 million compared to Q1'24[34] - Gross margin increased by 30 bps to 50.9%[27,34] - Operating margin increased by 20 bps to 6.0%[29,34] - Diluted EPS increased by 6% to $0.75[29,34] - The company repurchased 1.25 million shares of common stock for $101.4 million[31] Regional Performance - U S net sales decreased by 1%[38] - LAAP net sales increased by 10% (14% in constant currency)[38] - EMEA net sales increased by 3% (7% in constant currency)[38] - Canada net sales decreased by 9% (-2% in constant currency)[38] Brand and Category Performance - Columbia brand net sales increased by 3%[49] - SOREL net sales decreased by 8%[49] - Apparel, Accessories & Equipment net sales increased by 2%[46] - Footwear net sales remained flat[46] Financial Position - Cash, cash equivalents, and short-term investments totaled $658 million[70] - Inventories increased by 3% year-over-year to $623.7 million[71]