Escalade Q1 Sales Rise 0.6% to $55.8M; EBITDA Jumps 44%
ESCA•Escalade posted Q1 net sales of $55.8 million, up 0.6%, and gross margin of 30.7%, a 408-basis-point improvement over last year. Net income rose 67.2% to $4.4 million (EPS $0.32) and EBITDA climbed 44.1% to $7.1 million, driven by its Gold Tip acquisition and cost controls.
1. First Quarter Results
Escalade delivered Q1 2026 net sales of $55.8 million, a 0.6% increase year-over-year, and expanded gross margin to 30.7%, up 408 basis points. Operating income climbed 59.8% to $5.8 million, net income reached $4.4 million (EPS $0.32), and EBITDA grew 44.1% to $7.1 million, while cash from operations rose to $6.1 million.
2. Segment and Operational Drivers
Growth was led by the Gold Tip archery acquisition, along with increased demand in billiards and safety equipment, offsetting declines in outdoor and indoor games. Margin expansion reflected lower fixed costs and a more favorable sales mix, underscoring the impact of ongoing cost-control and efficiency initiatives.
3. Balance Sheet and Outlook
Total debt fell to $16.7 million versus $23.8 million in Q1 2025, with $13.1 million in cash and $57.9 million available on its revolving credit facility. Management declared a $0.1525 quarterly dividend and expects to sustain higher gross margins and pursue accretive acquisitions despite inflationary pressures on input costs.
