Loading...
•
Dec 31, 2022
Columbia Q4 2022 Earnings Report
Reported fourth quarter and full year 2022 financial results and provided full year 2023 financial outlook.
Key Takeaways
Columbia Sportswear Company reported a 4% increase in net sales to a record $1,169.6 million for the fourth quarter of 2022. Operating income decreased by 27% to $155.4 million, and diluted earnings per share decreased by 15% to $2.02. The company exited the quarter with $431.0 million in cash and short-term investments and no borrowings.
Net sales increased 4 percent (8 percent constant-currency) to a record $1,169.6 million.
Operating income decreased 27 percent to $155.4 million, or 13.4 percent of net sales.
Diluted earnings per share decreased 15 percent to $2.02.
Exited the quarter with $431.0 million of cash and short-term investments and no borrowings.
Revenue by Geographic Location
Forward Guidance
The Company's first half and full year 2023 Financial Outlook is forward-looking in nature, and the following forward-looking statements reflect our expectations as of February 2, 2023 and are subject to significant risks and business uncertainties.
Positive Outlook
- Net sales are expected to increase 3 to 6 percent to $3.57 to $3.67 billion from $3.46 billion in 2022.
- Gross margin is expected to expand approximately 60 basis points to approximately 50 percent of net sales from 49.4 percent of net sales in 2022.
- Operating income is expected to be $413 to $448 million, resulting in operating margin of 11.6 to 12.2 percent, compared to operating margin of 11.3 percent in 2022.
- Effective income tax rate is expected to be approximately 24.5 percent.
- Net income is expected to be $322 to $347 million, resulting in diluted earnings per share of $5.15 to $5.55.
Challenges Ahead
- SG&A expenses are expected to increase faster than net sales growth.
- SG&A expense, as a percent of net sales, is expected to be 38.3 to 39.0 percent, compared to SG&A expense as a percent of net sales of 37.7 percent in 2022.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...