Columbia Sportswear Plunges 9.79% on Earnings Miss, Trade Uncertainty

Columbia Sportswear's stock price plummeted 9.79% in pre-market trading on August 1, 2025, marking a significant decline for the outdoor apparel and footwear company.

Columbia Sportswear reported a 6% year-over-year increase in net sales for the second quarter of 2025, reaching $605 million. This growth was primarily driven by earlier fall wholesale shipments, which exceeded the company's outlook. However, the company's earnings per share (EPS) for the second quarter fell short of analyst estimates, reporting 19 cents compared to the consensus of 23 cents.

Looking ahead, Columbia Sportswear has projected its full-year 2025 net sales to range between $3.3 billion and $3.4 billion, indicating a potential decline of 1%. The company also anticipates its third-quarter revenue to be between $904 million and $922 million, which is slightly below previous projections. Additionally, the company's EPS guidance for the third quarter of 2025 is $1.10 at the midpoint, missing analyst estimates by 19.2%. The operating margin for the third quarter is expected to be -3.9%, in line with the same quarter last year.

Trade uncertainty has also impacted Columbia Sportswear's guidance for 2025. The company has withdrawn its full-year guidance due to the potential impact of tariffs, which are estimated to range between $35 million and $40 million. This uncertainty has contributed to the recent decline in the company's stock price, as investors remain cautious about the potential risks to the company's financial performance.