Johnson Outdoors reports 2Q resultsPosted on
Outdoor recreation equipment company Johnson Outdoors reported higher second-quarter and year-to-date revenue and earnings, citing marine electronics as the company’s primary growth engine.
“Growth in North America and northern Europe more than offset declines in challenging markets across southern Europe this year,” chairman and CEO Helen Johnson-Leipold said in a statement. “Marine electronics remains our primary growth engine, with an 11 percent jump in sales and significant growth in operating profit year-to-date.”
Revenue in marine electronics increased 9 percent year over year “due to growth in all brands from innovative new products,” the Wisconsin-based company announced.
Sales increased 3 percent, to $132.1 million, during the second fiscal quarter, which ended March 29, the company announced Friday. Second-quarter net income grew 23 percent, to $8.9 million, a $1.7 million improvement year-over-year. Fiscal year-to-date revenue grew 5 percent, to $219.4 million, and net earnings increased 112 percent, to $9.2 million, during the fiscal first six months.
Watercraft sales compared unfavorably to the same period last year “due to a continuing de-emphasis on low-margin product lines and lower sales in Europe,” the company said.
“Exceptional new products generated more than half of marine electronics sales, in particular, the Minn Kota iPilot Link, which is exceeding expectations,” Johnson-Leipold said. “Equally important, meaningful innovation is driving organic growth in core segments and key channels across all marine electronics brands. Ensuring a better balance of profit contribution across Johnson Outdoors’ portfolio is a key focus of our new three-year Value Plus strategic plan. Comprehensive efforts are under way to reinvigorate and build momentum in watercraft and camping and deliver innovation in core life-support categories in diving against that goal.”