Columbia Sportswear Q1 Net Sales $779M Beat Guidance, EPS Falls to $0.65
COLM•Columbia Sportswear posted Q1 net sales of $779 million, surpassing its $747–759 million target, while gross margin slipped to 50.7% and net income fell 19% to $34.3 million ($0.65 per share). It forecasts full-year net sales growth of 1–3% to $3.43–3.50 billion and diluted EPS of $3.55–4.00.
1. Q1 Financial Results
In the quarter ended March 31, Columbia Sportswear recorded net sales of $779 million, exceeding its guidance range of $747–759 million. Gross margin narrowed to 50.7% from 50.9% a year ago, operating income declined 10% to $42 million, and net income dropped to $34.3 million, or $0.65 per diluted share.
2. Geographic Performance and Inventory Strategy
Early Spring 2026 wholesale shipments and stronger-than-expected demand in Europe and the US drove the sales beat, with international markets leading growth. The US business contracted due to a lower Spring wholesale order book and deliberate reductions in winter product supply following prior tariff announcements.
3. Full-Year and Q2 Guidance
For fiscal 2026, the company projects net sales growth of 1.0–3.0% to $3.43–3.50 billion, gross margin of 50.3–50.5%, and diluted EPS between $3.55 and $4.00. Second-quarter net sales are expected at $600–610 million, with an operating loss of 5.5–4.5% of sales and a diluted loss per share of $0.46–0.37.
