Columbia Sportswear Beats 3Q Estimates, Guides Higher

Columbia Sportswear Company COLM announced financial results Thursday for the quarter ended September 30, 2014.

The company reported net sales of $675.3 million, above estimates of $632.63 million, an increase of $152.2 million, or 29 percent, compared with net sales of $523.1 million for the same period in 2013.

Third quarter operating income increased 28 percent to $98.3 million and net income grew 20 percent to $65.6 million, or $0.93 per diluted share and above estimates of $0.87.

Tim Boyle, Columbia's president and chief executive officer, commented, "I'm thrilled to announce these outstanding third quarter results which reflect strong performance by our Columbia and Sorel brands in North American wholesale and direct-to-consumer channels. In addition, strengthening of the Columbia brand in our Europe-direct markets and incremental sales from our new China JV and newly-acquired prAna brand further bolstered top-line growth.”

The 2014 full year outlook was revised upward with net income expected to increase approximately 35 percent to $127 million, or $1.80 per diluted share, above estimates of $1.76.

The press release also stated that 2015 net sales are expected to grow at a double-digit rate compared with the current 2014 net sales outlook of approximately $2.06 billion, and management is planning the business to realize further improvement toward the long-term goal of returning to a mid-teen operating margin.

Columbia Sportswear Company traded at $38.50 in the aftermarket, up 3 percent.