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Jun 28, 2024
Johnson Outdoors Q3 2024 Earnings Report
Johnson Outdoors' financial performance was impacted by challenging marketplace conditions, including lower consumer demand and heavy promotional activity.
Key Takeaways
Johnson Outdoors reported a decrease in net sales and operating profit for the third fiscal quarter due to challenging marketplace conditions and lower consumer demand. The company is focusing on cost savings and strategic investments to improve financial results and position for long-term growth.
Net sales decreased by 8 percent to $172.5 million compared to the prior year.
Operating loss was $0.5 million, a decline from the prior year's operating profit of $17.4 million.
Gross margin decreased to 35.8 percent due to unfavorable overhead absorption and changes in product mix.
Net income was $1.6 million, or $0.16 per diluted share, compared to $14.8 million, or $1.44 per diluted share, in the previous year.
Johnson Outdoors
Johnson Outdoors
Johnson Outdoors Revenue by Segment
Revenue by Segment
Fishing Revenue
CapyFin.comCamping & Watercraft Revenue
CapyFin.comDiving Revenue
CapyFin.com Forward Guidance
The company is evaluating all aspects of the business to improve financial results and redeploy resources for future growth. They are expanding cost savings actions, reducing inventory levels, and investing in innovation, digital, and ecommerce capabilities.
Positive Outlook
- Expanding cost savings actions to boost margins.
- Continuing to work on reducing inventory levels.
- Committed to investing in revenue and profit-generating initiatives.
- Investing in innovation and digital and ecommerce capabilities.
- Debt-free balance sheet and cash position enable investment in strategic priorities.
Challenges Ahead
- Challenging marketplace conditions due to lower consumer demand.
- Heavy promotional activity impacting performance.
- Operating loss reported for the quarter.
- Decline in gross margin due to unfavorable overhead absorption and product mix.
- Profits remain impacted by lower sales volumes and promotional activity.
Revenue & Expenses
Visualization of income flow from segment revenue to net income