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This article first appeared in our sister publication Shop Eat Surf Outdoor<\/em><\/p>\n International sales drove 6%<\/strong> year-over-year revenue growth at\u00a0Columbia Sportswear, while the U.S. remains challenging for the company, where it reduced its headcount and restructured. Overall net sales were $605.2 million in the quarter ended June 30.<\/p>\n \u201cIn [international] markets, our teams are driving omnichannel growth through compelling product assortments and marketing activations that appeal to younger consumers,\u201d said Columbia CEO Tim Boyle on the company\u2019s Q2 earnings call. \u201cOur results also reflect ongoing challenges in the U.S.\u201d<\/p>\n Geographically:<\/p>\n Net income increased 5%<\/strong> to $32.1 million<\/strong>, or $0.58<\/strong> per diluted share, compared to the same period in 2024.<\/p>\n As part of its effort to improve profitability, Columbia further reduced its headcount. Employees at its U.S. corporate headquarters were primarily impacted, Boyle said.<\/p>\n \u201cYear to date, we have actioned over $70 million<\/strong> in annual cost savings on top of the $90 million<\/strong> we actioned in 2024,\u201d Boyle said. (Columbia\u2019s Director of Corporate Communications Mary Ellen Glynn said in an email that she could not share how many jobs were impacted so far this year.) \u201cThis effort is ongoing as we continue to seek additional profit improvement opportunities,\u201d Boyle said.<\/p>\n Columbia reported that:<\/p>\n \u201cAs we move into fall, Mountain Hardwear will be activating new snow sports and cold weather trail marketing campaigns that embody their distinctive voice and imagery,\u201d Boyle said. \u201cDuring this period of tariff disruption, I believe Mountain Hardwear has the opportunity to further strengthen this position in the outdoor specialty channel. Spring \u201826 orders indicate healthy wholesale growth in the first half of next year.\u201d<\/p>\n Columbia will roll out a new global marketing platform and brand identity, ecommerce site and refreshed assortments on Aug. 4, Boyle said.<\/p>\n \u201cThis new campaign will bring Columbia back to the roots of what made us an iconic global brand<\/strong> by leveraging our signature irreverence and humor in memorable advertising at a time when much of the outdoor industry looks the same,\u201d he said. \u201cI\u2019m confident that our campaigns will be highly differentiated and drive deeper affinity for the brand.\u201d<\/p>\n This fall will feature refreshed collections like the new Amaze puffer, Boyle said, and the brand will invest in elevated displays in many wholesale and DTC locations.<\/p>\n \u201cI believe the combination of product enhancements, elevated in-store experiences and differentiated marketing will energize Columbia\u2019s brand perception in the U.S. and bring new customers,\u201d he said.<\/p>\n Like other public companies such as\u00a0Deckers<\/strong>\u00a0this quarter, Columbia reported positive wholesale growth, with that channel increasing 14%<\/strong> to $317 million<\/strong>. Meanwhile DTC declined 1%<\/strong> to $288 million<\/strong>. Wholesale growth reflected spring and fall shipment timing, which benefited sales in the quarter, and higher spring \u201825 orders.<\/p>\n But partially because of tariffs, Boyle said he expects wholesale to continue to be challenging in the U.S.<\/strong> for Columbia. Columbia brands have received almost 90%<\/strong> of their projected spring \u201926 orders globally. The company\u2019s spring order book reflects flat to low single-digit percent wholesale growth in the first half of \u201926. The forecast expects growth among all emerging brands, led by Mountain Hardwear and Sorel.<\/p>\n \u201cFor (the) Columbia (brand), international orders reflect sustained growth momentum across our direct and distributor markets,\u201d Boyle said. \u201cIn the U.S., tariff uncertainty and soft business trends are weighing on initial orders. While retailers are excited to see Columbia\u2019s new marketing campaign come to life this fall, they\u2019re taking a conservative approach to placing orders for future seasons. As a result, we expect Columbia\u2019s U.S. wholesale business to remain down in the first half of \u201926.\u201d<\/p>\n Columbia\u2019s North American wholesale and DTC businesses have been realigned under Peter Rausch, who stepped into the role of general manager of the Columbia brand in North America. Rausch previously oversaw Columbia\u2019s Asian direct business.<\/p>\n Boyle previously discussed how\u00a0tariff uncertainty\u00a0was impacting the apparel and footwear industries, which are already heavily taxed, on its last earnings call.<\/p>\n \u201cUnfortunately, clarity with respect to U.S. trade policy has not materialized,\u201d he said. \u201cThis uncertainty overhangs consumer sentiment and every decision that we make for our U.S. business. We continue to take action to mitigate the risks and financial impact of our tariffs, which represents the largest tax increase the company has faced in its history.<\/strong>\u201d<\/p>\n That said, he expects the company to emerge from this period as a stronger entity. They\u2019re planning the U.S. business cautiously, expecting higher prices for many goods, which will impact demand. Retailers will be cautious. For now, the company will hold prices and absorb much of the additional tariff costs<\/strong> and expects the full impact to be $35 to $40 million<\/strong> in fiscal 2025 \u2014 although it\u2019s difficult to estimate at this time, he said.<\/p>\n \u201cBy August 1, we will have received approximately 70%<\/strong> of our U.S. fall \u201825 product,\u201d Boyle said. \u201cThe remaining yet-to-come fall \u201825 product would be exposed to higher tariff rates beyond the 10%<\/strong> universal rate. We don\u2019t know what the final tariff structure will be, or how long it will last. Lacking tariff rate certainty, we will continue to work all options for offsetting the impact of higher U.S. tariffs on our business.\u201d<\/p>\n In 2025, net sales\u00a0are expected to range within a 1% <\/strong>decrease to 1%<\/strong> increase, resulting in net sales of $3.33 billion<\/strong> to $3.4 billion<\/strong>, compared to $3.37 billion<\/strong> in 2024.<\/p>\n In the third quarter, net sales\u00a0are expected to be $904 million to $922 million<\/strong>, representing a decrease of 3% to 1%<\/strong> for the comparable period in 2024. Operating margin is expected to be 7.6% to 9%<\/strong>, compared to operating margin of 12.1%<\/strong> in the comparable period in 2024.<\/p>\n<\/p><\/div>\n\n
Columbia Brand Grows, Other Brands Decline<\/h2>\n
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Columbia Brand Refresh<\/h2>\n
Tariffs \u2018Weighing On\u2019 U.S. Wholesale Orders<\/h2>\n
2026 Outlook<\/h2>\n