Columbia Sportswear 2025 Q2 Earnings Narrowing Losses and 6% Revenue Growth

Columbia Sportswear Company (COLM, Financial) announced a 6% increase in second-quarter net sales to $605.2 million, compared to the same period in 2024. The company reported a net loss of $10.2 million or $0.19 per diluted share, a slight improvement from a $11.7 million net loss or $0.20 per diluted share in Q2 2024. Columbia projects full-year 2025 net sales to range between $3.33 to $3.40 billion, reflecting a potential decline of 1% to a growth of 1% from 2024. Columbia Sportswear Company (COLM), a leader in outdoor apparel, has announced its financial results for the second quarter ending June 30, 2025.

Columbia Sportswear's second-quarter revenue rose by 6.1% to reach $605.25 million, up from $570.24 million in 2024 Q2. The apparel, accessories, and equipment segment contributed significantly, generating $494.30 million, while the footwear segment added $110.94 million.

Columbia Sportswear narrowed its losses to $0.19 per share in 2025 Q2, an improvement of 5% from the $0.20 loss per share in 2024 Q2. The net loss was reduced to $10.20 million, marking a 13.2% decrease compared to the previous year's net loss of $11.74 million. Despite the improved EPS, the company still faces challenges.

The strategy of purchasing Columbia Sportswear (COLM) shares after a revenue increase quarter-over-quarter on the financial report release date and holding for 30 days has underperformed significantly over the last three years. This approach resulted in a negative return of -32.65%, drastically lagging behind the benchmark return of 85.57%. The excess return was -118.22%, reflecting substantial losses. With a compound annual growth rate (CAGR) of -7.65%, the strategy indicates persistent declines. Furthermore, the strategy exhibited a maximum drawdown of 0.00% and a Sharpe ratio of -0.24, suggesting a high-risk profile with minimal protection against further downturns.

CEO Commentary

Timothy P. Boyle, Chairman, CEO & President, highlighted strong international demand, particularly in EMEA and LAAP regions, contributing to double-digit growth. He emphasized the ongoing challenges in the U.S. and the need to reenergize the Columbia brand through the ACCELERATE growth strategy, which includes a new global marketing platform. Boyle expressed confidence that differentiated campaigns would enhance brand affinity and drive consumer engagement. He acknowledged the impact of public policy uncertainty and tariffs on the U.S. business but maintained optimism regarding the company's ability to navigate these challenges while executing cost-saving measures and enhancing product offerings.

Guidance

Columbia Sportswear's full-year 2025 net sales outlook is projected at $3.3 billion to $3.4 billion, reflecting a decline of 1% to an increase of 1% year-over-year. For Q3 2025, the company expects net sales to decline by 1% to 3% year-over-year, with diluted earnings per share anticipated to range from $1.00 to $1.20. The guidance assumes that tariffs on U.S. imports will remain at the current rates, with an estimated tariff impact of approximately $35 million to $40 million for the year.

Additional News

Columbia Sportswear has announced several strategic moves in recent weeks. On July 30, 2025, the company published its 2024 Impact Report, showcasing progress in corporate responsibility across its primary brands, including Columbia, SOREL, Mountain Hardwear, and prAna. The report highlighted achievements like exceeding water access goals and significant volunteer contributions. Additionally, the company has strengthened its creative strategy by appointing a new creative agency and hiring a new Head of Marketing on October 24, 2024, to lead forward its creative initiatives. These developments highlight Columbia's commitment to enhancing its brand and improving its market positioning amidst ongoing challenges.