Columbia raises 2011 outlook
US outdoor apparel company Columbia has reported that its third quarter consolidated net sales increased 12% to a record $566.8 million, compared to third quarter 2010 net sales of $504.0 million.
Its operating income for the period increased 26% to $86.6 million, or 15.3% of net sales, compared to third quarter 2010 operating margin of 13.6%. Third quarter net income increased 29% to $67.5 million.
In light of these record results, the company has raised its full year 2011 operating margin outlook to approximately 8% and its outlook for full year net sales to increase 15 to 16%.
Tim Boyle, Columbia’s president and CEO, said: “Our third quarter sales growth reflects the previously reported increase in our fall season backlog, as well as strong performance in our global direct-to-consumer business. Improved operational execution resulted in a significant reduction in airfreight costs and produced meaningful operating margin leverage. Our increased profitability outlook for the full year reflects the strength of the third quarter and our expectations for continued growth through the remainder of the year.”
