Sporting Goods Industry News for February 23, 2017
In his most explicit statement to date, President Trump told business leaders at the White House that he favors “some sort of border tax,” effectively throwing his support behind a proposal from House Ways and Means committee chairman Kevin Brady (R-TX) and House Speaker Paul Ryan (R-WI) for a tax code rewrite that is strongly opposed by almost every brand and retailer in the industry because of their heavy dependence on imports.
Despite a marked slowdown in consumer demand after the election, RGR reported a solid final quarter in which net income increased 22% to $20,829,000 from $17,100,000 on a 6% revenue gain to $161,848,000 from $152,397,000.
Net income was $74.3 million, up 10% from $67.6 million, for the final quarter ended Jan. 1 as sales improved 8% to $587.9 million from $543.8 million, driven by a 14% improvement in Printwear sales to $325.8 million from the Alstyle and Peds acquisitions with a 1% gain in Branded sales to $262.1 million as retailer de-stocking lowered reorders.
Net income increased 21% to $3,463,000 from $2,859,000 in Q4 on 5% higher sales at $45,826,000 vs. $43,744,000 despite continued softness in archery.
The $60 million purchase price paid by Crescent Capital Partners will be used to retire debt, BBG said.
The cooler and drinkware maker is suing WinWin Products which makes insulated tumblers confusingly similar to Yeti’s Rambler in visual flow, including curves, tapers and lines, the suit alleges.
Fitness Anywhere is suing an undisclosed list of partnerships and unincorporated associations that operate e-commerce websites and marketplace accounts that sell counterfeit TRX equipment.