Columbia Sportswear Company Reports Record Sales and Earnings; 2016 Net Income up 10 Percent on 2 Percent
Sales Growth; Initial 2017 Outlook Anticipates up to 4 Percent Earnings Growth on 4 Percent Sales Growth
4th Quarter 2016 Highlights:
- Net sales increased 3 percent (2 percent constant-currency) to a fourth-quarter record $717.4
million.
- Operating income increased 22 percent to a fourth-quarter record $100.4 million, or 14.0 percent of
net sales.
- Net income increased 34 percent to a fourth-quarter record $84.7 million, or $1.20 per diluted
share.
- The board of directors approved a regular quarterly dividend of $0.18 per share, payable March 22,
2017 to shareholders of record on March 9, 2017.
Fiscal Year 2016 Highlights:
- Record net sales of $2.38 billion, a 2 percent increase (2 percent constant-currency).
- Record operating income of $256.5 million, or 10.8 percent of net sales, a 3 percent increase.
- Record operating cash flow of $275.2 million.
- Record net income of $191.9 million, or $2.72 per diluted share, an increase of 10 percent.
- Paid $48.1 million in dividends.
Fiscal Year 2017 Outlook Highlights:
- Net sales growth of approximately 4 percent, including approximately 1 percentage point negative
effect from changes in foreign currency exchange rates.
- Operating income growth of up to 5 percent, to between $260 million and $270 million, representing
operating margin of up to 10.9 percent of net sales.
- An effective tax rate of approximately 24.0 percent.
- Net income of between $192 million and $200 million, or approximately $2.72 to $2.82 per diluted
share.
Columbia Sportswear Company (NASDAQ: COLM) today announced record fourth quarter net sales of $717.4 million for the quarter
ended December 31, 2016, a 3 percent increase (2 percent constant-currency) compared with net sales of $699.4 million for the
fourth quarter of 2015. Fourth quarter 2016 operating income increased 22 percent to a fourth quarter record $100.4 million. Fourth
quarter 2016 net income increased 34 percent to a fourth quarter record $84.7 million, or $1.20 per diluted share, compared with
fourth quarter 2015 net income of $63.4 million, or $0.90 per diluted share.
Full year 2016 net sales increased 2 percent (2 percent constant-currency), to a record $2.38 billion. Operating income
increased 3 percent to a record $256.5 million, representing operating margin of 10.8 percent compared with operating margin of
10.7 percent in 2015. Full year 2016 net income increased 10 percent to a record $191.9 million, or $2.72 per diluted share,
compared with full year 2015 net income of $174.3 million, or $2.45 per diluted share.
Chief Executive Officer Tim Boyle commented, "We are very proud of our fourth quarter and full year 2016 performance against a
challenging backdrop in many of our largest markets. Record net sales, record gross margins, record operating income, expanded
operating margin, and record net income reflect our powerful brand portfolio, robust operational platforms and disciplined
prioritization of investments.
"We are particularly encouraged by the strong results we achieved in our Europe-direct markets, completing a second consecutive
year of mid-20 percent constant-currency sales growth and returning that business to profitability after several challenging years.
We also grew in the U.S., despite significant headwinds from customer bankruptcies, changing consumer shopping behavior,
unseasonably warm weather, and cautious wholesale customers."
Boyle concluded, "Our 2017 outlook anticipates up to 4 percent earnings growth on 4 percent net sales growth, driven by
contributions from three of our four brands and all four of our geographic regions. As part of our focus on relentless improvement,
the senior management team and I are engaging a leading consulting firm to assist us in performing a thorough assessment of our
operating model. Our goal is to ensure that our business is aligned and organized to successfully execute our strategic plan. We
remain confident in our ability to continue to drive sustainable profitable growth through our powerful brand portfolio."
Fourth Quarter Results
(All comparisons are between fourth quarter 2016 and fourth quarter 2015, unless otherwise noted.)
Net Sales
Fourth quarter consolidated net sales growth of 3 percent (2 percent constant-currency) was driven by:
- a 2 percent net sales increase in the U.S. to $455.4 million, primarily reflecting growth from the
Columbia brand;
- a 20 percent net sales increase in the Europe/Middle East/Africa (EMEA) region to $70.1 million,
including low-20 percent net sales growth in the company's Europe-direct business and a 17 percent increase in net sales to EMEA
distributors;
- a 1 percent net sales increase (1 percent decline constant-currency) in the Latin America/Asia
Pacific (LAAP) region to $151.9 million, including net sales growth in Japan and China, partially offset by declines in Korea and
in sales to LAAP distributors;
partially offset by:
- a 12 percent net sales decline (11 percent constant-currency) in Canada. (See "Geographical Net
Sales" table below.)
Global Columbia brand net sales increased 4 percent to $552.3 million. Global SOREL brand net sales decreased 1 percent (2
percent constant-currency) to $103.8 million. Global prAna brand net sales increased 2 percent to $28.2 million, and global
Mountain Hardwear brand net sales decreased 11 percent (12 percent constant-currency) to $31.3 million. (See "Brand Net Sales"
table below.)
Global Apparel, Accessories & Equipment net sales increased 4 percent to $535.8 million, and Footwear net sales decreased 1
percent (2 percent constant-currency) to $181.6 million. (See "Categorical Net Sales" table below.)
Profitability
Fourth quarter operating income increased 22 percent to a fourth quarter record $100.4 million, or 14 percent of net sales,
compared to $82.3 million, or 11.8 percent of net sales, for the same period in 2015.
Fourth quarter net income increased 33.7 percent to a fourth quarter record $84.7 million, or $1.20 per diluted share, compared
to $63.4 million, or $0.90 per diluted share, for the same period in 2015.
Fiscal Year 2016 Results
(All comparisons are between fiscal 2016 and fiscal 2015, unless otherwise noted.)
Net Sales
Consolidated 2016 net sales increased 2 percent to a record $2.38 billion, compared with 2015 net sales of $2.33 billion.
Consolidated 2016 net sales growth of 2 percent included:
- a 3 percent net sales increase in the U.S. to $1.51 billion;
- a 9 percent net sales increase in the EMEA region (10 percent constant-currency) to $253.5 million,
reflecting a low-20 percent increase (mid-20 percent constant-currency) in the company's Europe-direct markets, partially offset
by a low-double-digit decline in net sales to EMEA distributors;
partially offset by:
- a 3 percent net sales decrease in the LAAP region (4 percent constant-currency) to $453.7 million,
reflecting a low-20 percent net sales decline in Korea and a high-teen percentage decline in net sales to LAAP distributors,
partially offset by low-double-digit percentage growth in Japan (low-single-digit constant currency) and low-single-digit
percentage growth in China (high-single-digit constant currency); and
- a 2 percent net sales decrease in Canada (1 percent growth constant-currency) to $164.6 million. (See
"Geographical Net Sales" table below.)
Global Columbia brand net sales increased 2 percent (3 percent constant-currency) to $1.91 billion. Global SOREL brand net sales
increased 2 percent (1 percent constant-currency) to $213.0 million. Global prAna brand net sales increased 12 percent to $139.9
million. Global Mountain Hardwear brand net sales declined 11 percent (10 percent constant-currency) to $104.0 million. (See "Brand
Net Sales" table below.)
Global Apparel, Accessories & Equipment net sales increased 2 percent (3 percent constant-currency) to $1.87 billion. Global
Footwear net sales increased 1 percent to $511.6 million. (See "Categorical Net Sales" table below.)
Profitability
Full year 2016 operating income increased 3 percent to a record $256.5 million, or 10.8 percent of net sales, compared with full
year 2015 operating income of $249.7 million, or 10.7 percent of net sales.
Full year 2016 net income increased 10 percent to a record $191.9 million, or $2.72 per diluted share, including an unfavorable
impact of approximately $(0.24) per diluted share resulting from the strengthening of the U.S. dollar. This currency impact
primarily consists of lower gross margins within many of our foreign subsidiaries as a result of increased local currency costs of
inventory purchased in U.S. dollars. Full year 2015 net income totaled $174.3 million, or $2.45 per diluted share.
Balance Sheet, Cash Flow and Share Repurchase Activity
During the year ended December 31, 2016, the company generated a record $275.2 million in operating cash flow, invested $50.0
million in capital expenditures and paid dividends of $48.1 million.
At December 31, 2016, cash and short term investments totaled $551.9 million, of which approximately 49 percent was held in
foreign jurisdictions from which a repatriation of those funds to the United States would likely result in a significant tax cost
to the company.
Consolidated inventories increased 3 percent to $488.0 million at December 31, 2016 compared to $473.6 million balance at
December 31, 2015, consisting primarily of current Fall 2016 styles, partially offset by later receipt of Spring 2017
production.
As of December 31, 2016, approximately $173.5 million remained available under the current repurchase authorization, which does
not obligate the company to acquire any specific number of shares or to acquire shares over any specified period of time.
Dividend
The board of directors authorized a regular quarterly dividend of $0.18 per share, payable on March 22, 2017 to shareholders of
record on March 9, 2017.
2017 Financial Outlook
All projections related to anticipated future results are forward-looking in nature and are subject to risks and uncertainties
which may cause actual results to differ, perhaps materially. Projections are predicated on normal seasonal weather globally. In
addition, our 2017 outlook assumes that current macro and market conditions in key markets do not worsen and that current U.S.
regulatory and tax policies remain largely unaltered for the balance of the year.
The company's annual net sales are weighted more heavily toward the Fall season, while operating expenses are more equally
distributed throughout the year, resulting in a highly seasonal profitability pattern weighted toward the second half of the fiscal
year.
The company's U.S. direct-to-consumer channel is expected to account for a majority of the projected full year 2017 global net
sales increase. In addition, the company's anticipated growth in full year 2017 operating income and net income is expected to
occur in the second half.
The company currently expects 2017 net sales growth of approximately 4 percent compared with 2016 net sales of $2.38 billion,
including approximately 1 percentage point negative effect from changes in foreign currency exchange rates.
The company expects fiscal year 2017 gross margins to improve by approximately 25 basis points, and for selling, general and
administrative ("SG&A") expenses to increase at a rate slightly faster than net sales, resulting in approximately 20 basis
points of SG&A expense deleverage, including a planned increase in global demand creation spend from 5.0 percent of sales in
2016.
Based on the above assumptions, the company expects operating income to increase up to 5 percent, to between $260 million and
$270 million, resulting in anticipated 2017 operating margin of up to 10.9 percent. Net income after non-controlling interest is
expected to be between approximately $192 million and $200 million, or approximately $2.72 to $2.82 per diluted share.
A more detailed version of the company’s fourth quarter and full year 2016 financial results and 2017 outlook can be found in
the "CFO Commentary on Fourth Quarter and Full Year 2016 Financial Results and 2017 Financial Outlook", available on the company’s
investor relations website: http://investor.columbia.com/results.cfm.
CFO’s Commentary on Fourth Quarter/FY2016 Results and 2017 Outlook Available Online
At approximately 4:15 p.m. ET today, a commentary by Tom Cusick, executive vice president of finance and chief financial
officer, reviewing the company's fourth quarter and fiscal year 2016 financial results and 2017 outlook will be furnished to the
SEC on Form 8-K and published on the company's website at http://investor.columbia.com/results.cfm. Analysts and investors are encouraged to
review this commentary prior to participating in the conference call.
Conference Call
The company will host a conference call on Thursday, February 9, 2017 at 5:00 p.m. ET to review its fourth quarter and
fiscal year 2016 financial results and 2017 outlook. Dial 877-407-9205 to participate. The call will also be webcast live on the
Investor Relations section of the company's website at http://investor.columbia.com where it will remain available until approximately
February 8, 2018.
First Quarter 2017 Reporting Schedule
Columbia Sportswear plans to report financial results for first quarter 2017 and its updated fiscal year 2017 financial outlook
on Thursday, April 27, 2017 at approximately 4:00 p.m. ET. Following issuance of the earnings release, a commentary reviewing the
company’s first quarter financial results and updated fiscal year 2017 financial outlook will be furnished to the SEC on Form 8-K
and published on the investor relations section of the company's website at http://investor.columbia.com/results.cfm. A public webcast of Columbia’s earnings
conference call will follow at 5:00 p.m. ET at www.columbia.com.
Supplemental Constant-Currency Financial Information
The company reports its financial information in accordance with accounting principles generally accepted in the United States
("GAAP"). To supplement financial information reported in accordance with GAAP, the company discloses constant-currency net
sales information, which is a non-GAAP financial measure, to provide a framework to assess how the business performed excluding the
effects of changes in the exchange rates used to translate net sales generated in foreign currencies into U.S. dollars. The company
calculates constant-currency net sales by translating net sales in foreign currencies for the current period into U.S. dollars at
the exchange rates that were in effect during the comparable period of the prior year. Management believes that this non-GAAP
financial measure reflects an additional and useful way of viewing an aspect of our operations that, when viewed in conjunction
with our GAAP results, provides a more comprehensive understanding of our business and operations. In particular, investors may
find the non-GAAP measures useful by reviewing our net sales results without the volatility in foreign currency exchange rates.
This non-GAAP financial measure also facilitates management's internal comparisons to our historical net sales results and
comparisons to competitors' net sales results. Constant-currency financial measures should be viewed in addition to, and not in
lieu of or superior to, our financial measures calculated in accordance with GAAP. The company provides a reconciliation of this
non-GAAP measure to the most directly comparable financial measure calculated in accordance with GAAP. (See "Supplemental Financial
Information - Constant-currency Basis" tables below.) The constant-currency information presented may not be comparable to
similarly titled measures reported by other companies.
About Columbia Sportswear Company
Columbia Sportswear Company has assembled a portfolio of brands for active lives, making it a leader in the global active
lifestyle apparel, footwear, accessories and equipment industry. Founded in 1938 in Portland, Oregon, the company's brands are
today sold in approximately 100 countries. In addition to the Columbia® brand, Columbia Sportswear Company also owns the Mountain
Hardwear®, SOREL®, prAna®, and OutDry® brands. To learn more, please visit the company's websites at www.columbia.com, www.mountainhardwear.com, www.SOREL.com, www.prana.com, and www.outdry.com.
Forward-Looking Statements
This document contains forward-looking statements within the meaning of the federal securities laws, including statements
regarding anticipated results, net sales and net sales growth, gross margins, operating expenses, operating income, operating
margins, net income, selling, general and administrative expenses, income tax rates, earnings per share, the effects of changes in
foreign currency exchange rates, growth in certain brands and geographic regions, and the performance of our U.S.
direct-to-consumer channel. Forward-looking statements often use words such as "will," "anticipate," "estimate," "expect," "should"
and "may" and other words and terms of similar meaning or reference future dates. The company's expectations, beliefs and
projections are expressed in good faith and are believed to have a reasonable basis; however, each forward-looking statement
involves a number of risks and uncertainties, including those set forth in this document, those described in the company's Annual
Report on Form 10-K and Quarterly Reports on Form 10-Q under the heading "Risk Factors," and those that have been or may be
described in other reports filed by the company, including reports on Form 8-K. Potential risks and uncertainties that may affect
our future revenues, earnings and performance and could cause the actual results of operations or financial condition of the
company to differ materially from the anticipated results expressed or implied by forward-looking statements in this document
include: loss of key customer accounts; our ability to effectively implement IT infrastructure and business process initiatives and
to maintain the strength and security of our IT systems; the effects of unseasonable weather, including global climate change;
trends affecting consumer traffic and spending in direct-to-consumer channels; our ability to implement our growth strategy;
unfavorable economic conditions generally, the financial health of our customers and changes in the level of consumer spending,
apparel preferences and fashion trends; changes in international, federal or state tax, labor and other laws and regulations that
affect our business, including changes in corporate tax rates or increasing wage rates; volatility in global production and
transportation costs and capacity; risks inherent in doing business in foreign markets, including fluctuations in currency exchange
rates; our ability to attract and retain key personnel; risks associated with our joint venture; higher than expected rates of
order cancellations; increased consolidation of our wholesale customers; our ability to effectively source and deliver our products
to customers in a timely manner; our dependence on independent manufacturers and suppliers and our ability to source finished
products and components at competitive prices from them; the effectiveness of our sales and marketing efforts; intense competition
in the industry; business disruptions and acts of terrorism, cyber-attacks or military activities around the globe; our ability to
establish and protect our intellectual property; the seasonality of our business; and our ability to develop innovative products.
The company cautions that forward-looking statements are inherently less reliable than historical information. The company does not
undertake any duty to update any of the forward-looking statements after the date of this document to conform them to actual
results or to reflect changes in events, circumstances or its expectations. New factors emerge from time to time and it is not
possible for the company to predict or assess the impact of all such factors or the extent to which any factor, or combination of
factors, may cause results to differ materially from those contained in any forward-looking statement.
|
|
|
|
|
|
| COLUMBIA SPORTSWEAR COMPANY |
| CONDENSED CONSOLIDATED BALANCE SHEETS |
| (In thousands) |
| (Unaudited) |
| |
|
|
|
December 31, |
|
|
|
|
2016 |
|
|
2015 |
| Current Assets: |
|
|
|
|
|
| Cash and cash equivalents |
|
|
$ |
551,389 |
|
$ |
369,770 |
| Short-term investments |
|
|
|
472 |
|
|
629 |
| Accounts receivable, net |
|
|
|
333,678 |
|
|
371,953 |
| Inventories |
|
|
|
487,997 |
|
|
473,637 |
| Prepaid expenses and other current assets |
|
|
|
38,487 |
|
|
33,400 |
| Total current assets |
|
|
|
1,412,023 |
|
|
1,249,389 |
|
|
|
|
|
|
| Property, plant, and equipment, net |
|
|
|
279,650 |
|
|
291,687 |
| Intangible assets, net |
|
|
|
133,438 |
|
|
138,584 |
| Goodwill |
|
|
|
68,594 |
|
|
68,594 |
| Deferred income taxes |
|
|
|
92,494 |
|
|
76,181 |
| Other non-current assets |
|
|
|
27,695 |
|
|
21,718 |
| Total assets |
|
|
$ |
2,013,894 |
|
$ |
1,846,153 |
|
|
|
|
|
|
| Current Liabilities: |
|
|
|
|
|
| Short-term borrowings |
|
|
$ |
- |
|
$ |
1,940 |
| Accounts payable |
|
|
|
215,048 |
|
|
217,230 |
| Accrued liabilities |
|
|
|
142,158 |
|
|
141,862 |
| Income taxes payable |
|
|
|
5,645 |
|
|
5,038 |
| Total current liabilities |
|
|
|
362,851 |
|
|
366,070 |
| Note payable to related party |
|
|
|
14,053 |
|
|
15,030 |
| Other long-term liabilities |
|
|
|
42,622 |
|
|
40,172 |
| Income taxes payable |
|
|
|
12,710 |
|
|
8,839 |
| Deferred income taxes |
|
|
|
147 |
|
|
229 |
| Total liabilities |
|
|
|
432,383 |
|
|
430,340 |
|
|
|
|
|
|
| Equity: |
|
|
|
|
|
| Columbia Sportswear Company shareholders' equity |
|
|
|
1,560,820 |
|
|
1,399,800 |
| Non-controlling interest |
|
|
|
20,691 |
|
|
16,013 |
| Total equity |
|
|
|
1,581,511 |
|
|
1,415,813 |
|
|
|
|
|
|
| Total liabilities and equity |
|
|
$ |
2,013,894 |
|
$ |
1,846,153 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| COLUMBIA SPORTSWEAR COMPANY |
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
| (In thousands, except per share amounts) |
| (Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31, |
|
Twelve Months Ended December 31, |
|
|
|
|
2016 |
|
|
|
2015 |
|
|
|
2016 |
|
|
|
2015 |
|
| Net sales |
|
|
$ |
717,450 |
|
|
$ |
699,414 |
|
|
$ |
2,377,045 |
|
|
$ |
2,326,180 |
|
| Cost of sales |
|
|
|
379,775 |
|
|
|
382,466 |
|
|
|
1,266,697 |
|
|
|
1,252,680 |
|
| Gross profit |
|
|
|
337,675 |
|
|
|
316,948 |
|
|
|
1,110,348 |
|
|
|
1,073,500 |
|
|
|
|
|
47.1 |
% |
|
|
45.3 |
% |
|
|
46.7 |
% |
|
|
46.1 |
% |
|
|
|
|
|
|
|
|
|
|
| Selling, general and administrative expenses |
|
|
|
241,241 |
|
|
|
237,188 |
|
|
|
864,084 |
|
|
|
831,971 |
|
| Net licensing income |
|
|
|
3,965 |
|
|
|
2,533 |
|
|
|
10,244 |
|
|
|
8,192 |
|
| Income from operations |
|
|
|
100,399 |
|
|
|
82,293 |
|
|
|
256,508 |
|
|
|
249,721 |
|
| Interest income, net |
|
|
|
427 |
|
|
|
272 |
|
|
|
2,003 |
|
|
|
1,531 |
|
| Interest expense on note payable to related party |
|
|
|
(262 |
) |
|
|
(273 |
) |
|
|
(1,041 |
) |
|
|
(1,099 |
) |
| Other non-operating expense |
|
|
|
164 |
|
|
|
453 |
|
|
|
(572 |
) |
|
|
(2,834 |
) |
| Income before income tax |
|
|
|
100,728 |
|
|
|
82,745 |
|
|
|
256,898 |
|
|
|
247,319 |
|
| Income tax expense |
|
|
|
(15,162 |
) |
|
|
(17,949 |
) |
|
|
(58,459 |
) |
|
|
(67,468 |
) |
| Net income |
|
|
|
85,566 |
|
|
|
64,796 |
|
|
|
198,439 |
|
|
|
179,851 |
|
| Net income attributable to non-controlling interest |
|
|
|
851 |
|
|
|
1,446 |
|
|
|
6,541 |
|
|
|
5,514 |
|
| Net income attributable to Columbia Sportswear Company |
|
|
$ |
84,715 |
|
|
$ |
63,350 |
|
|
$ |
191,898 |
|
|
$ |
174,337 |
|
|
|
|
|
|
|
|
|
|
|
| Earnings per share attributable to Columbia Sportswear Company: |
|
|
|
|
|
|
|
|
|
| Basic |
|
|
$ |
1.21 |
|
|
$ |
0.91 |
|
|
$ |
2.75 |
|
|
$ |
2.48 |
|
| Diluted |
|
|
|
1.20 |
|
|
|
0.90 |
|
|
|
2.72 |
|
|
|
2.45 |
|
| Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
| Basic |
|
|
|
69,835 |
|
|
|
69,884 |
|
|
|
69,683 |
|
|
|
70,162 |
|
| Diluted |
|
|
|
70,725 |
|
|
|
70,616 |
|
|
|
70,632 |
|
|
|
71,064 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| COLUMBIA SPORTSWEAR COMPANY |
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
| (In thousands) |
| (Unaudited) |
| |
|
|
|
Twelve Months Ended December 31, |
|
|
|
|
2016 |
|
|
|
2015 |
|
| Cash flows from operating activities: |
|
|
|
|
|
| Net income |
|
|
$ |
198,439 |
|
|
$ |
179,851 |
|
| Adjustments to reconcile net income to net cash used in operating activities: |
|
|
|
|
|
| Depreciation and amortization |
|
|
|
60,016 |
|
|
|
56,521 |
|
| Loss on disposal and impairment of property, plant, and equipment |
|
|
|
4,805 |
|
|
|
5,098 |
|
| Deferred income taxes |
|
|
|
(19,178 |
) |
|
|
(11,709 |
) |
| Stock-based compensation |
|
|
|
10,986 |
|
|
|
11,672 |
|
| Excess tax benefit from employee stock plans |
|
|
|
- |
|
|
|
(7,873 |
) |
| Changes in operating assets and liabilities: |
|
|
|
|
|
| Accounts receivable |
|
|
|
36,710 |
|
|
|
(40,419 |
) |
| Inventories |
|
|
|
(18,777 |
) |
|
|
(103,296 |
) |
| Prepaid expenses and other current assets |
|
|
|
(5,452 |
) |
|
|
4,411 |
|
| Other assets |
|
|
|
(5,948 |
) |
|
|
(2,524 |
) |
| Accounts payable |
|
|
|
1,483 |
|
|
|
11,418 |
|
| Accrued liabilities |
|
|
|
4,847 |
|
|
|
(2,017 |
) |
| Income taxes payable |
|
|
|
4,768 |
|
|
|
(10,994 |
) |
| Other liabilities |
|
|
|
2,468 |
|
|
|
4,966 |
|
| Net cash used in operating activities |
|
|
|
275,167 |
|
|
|
95,105 |
|
|
|
|
|
|
|
| Cash flows from investing activities: |
|
|
|
|
|
| Purchases of short-term investments |
|
|
|
(21,263 |
) |
|
|
(38,208 |
) |
| Sales of short-term investments |
|
|
|
21,263 |
|
|
|
64,980 |
|
| Capital expenditures |
|
|
|
(49,987 |
) |
|
|
(69,917 |
) |
| Proceeds from sale of property, plant, and equipment |
|
|
|
97 |
|
|
|
144 |
|
| Net cash used in investing activities |
|
|
|
(49,890 |
) |
|
|
(43,001 |
) |
|
|
|
|
|
|
| Cash flows from financing activities: |
|
|
|
|
|
| Proceeds from credit facilities |
|
|
|
62,885 |
|
|
|
53,429 |
|
| Repayments on credit facilities |
|
|
|
(64,825 |
) |
|
|
(51,479 |
) |
| Proceeds from issuance of common stock under employee stock plans |
|
|
|
13,167 |
|
|
|
17,442 |
|
| Tax payments related to restricted stock unit issuances |
|
|
|
(5,117 |
) |
|
|
(4,895 |
) |
| Excess tax benefit from employee stock plans |
|
|
|
- |
|
|
|
7,873 |
|
| Repurchase of common stock |
|
|
|
(11 |
) |
|
|
(70,068 |
) |
| Cash dividends paid |
|
|
|
(48,122 |
) |
|
|
(43,547 |
) |
| Net cash used in financing activities |
|
|
|
(42,023 |
) |
|
|
(91,245 |
) |
|
|
|
|
|
|
| Net effect of exchange rate changes on cash |
|
|
|
(1,635 |
) |
|
|
(4,647 |
) |
| Net increase (decrease) in cash and cash equivalents |
|
|
|
181,619 |
|
|
|
(43,788 |
) |
|
Cash and cash equivalents, beginning of period
|
|
|
|
369,770 |
|
|
|
413,558 |
|
| Cash and cash equivalents, end of period |
|
|
$ |
551,389 |
|
|
$ |
369,770 |
|
|
|
|
|
|
|
| Supplemental disclosures of non-cash investing and financing activities: |
|
|
|
|
|
| Capital expenditures incurred but not yet paid |
|
|
$ |
2,710 |
|
|
$ |
4,698 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| COLUMBIA SPORTSWEAR COMPANY |
| Supplemental Financial Information |
| Net Sales Growth - Constant-currency Basis |
| (In millions, except percentage changes) |
| (Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31, |
|
|
|
|
Adjust for |
|
Constant- |
|
|
|
|
|
Constant- |
|
|
Reported |
|
Foreign |
|
currency |
|
Reported |
|
Reported |
|
currency |
|
|
Net Sales
|
|
Currency
|
|
Net Sales |
|
Net Sales |
|
Net Sales |
|
Net Sales |
|
|
|
2016 |
|
Translation |
|
|
2016(1)
|
|
|
|
2015 |
|
% Change |
|
|
% Change(1)
|
|
| Geographical Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| United States |
|
$ |
455.4 |
|
$ |
— |
|
|
$ |
455.4 |
|
|
$ |
446.2 |
|
2 |
% |
|
2 |
% |
| LAAP |
|
|
151.9 |
|
|
(3.9 |
) |
|
|
148.0 |
|
|
|
149.7 |
|
1 |
% |
|
(1 |
)% |
| EMEA |
|
|
70.1 |
|
|
— |
|
|
|
70.1 |
|
|
|
58.2 |
|
20 |
% |
|
20 |
% |
| Canada |
|
|
40.0 |
|
|
0.1 |
|
|
|
40.1 |
|
|
|
45.3 |
|
(12 |
)% |
|
(11 |
)% |
| Total |
|
$ |
717.4 |
|
$ |
(3.8 |
) |
|
$ |
713.6 |
|
|
$ |
699.4 |
|
3 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Brand Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| Columbia |
|
$ |
552.3 |
|
$ |
(2.4 |
) |
|
$ |
549.9 |
|
|
$ |
528.9 |
|
4 |
% |
|
4 |
% |
| SOREL |
|
|
103.8 |
|
|
(1.0 |
) |
|
|
102.8 |
|
|
|
105.3 |
|
(1 |
)% |
|
(2 |
)% |
| prAna |
|
|
28.2 |
|
|
— |
|
|
|
28.2 |
|
|
|
27.7 |
|
2 |
% |
|
2 |
% |
| Mountain Hardwear |
|
|
31.3 |
|
|
(0.4 |
) |
|
|
30.9 |
|
|
|
35.2 |
|
(11 |
)% |
|
(12 |
)% |
| Other |
|
|
1.8 |
|
|
— |
|
|
|
1.8 |
|
|
|
2.3 |
|
(22 |
)% |
|
(22 |
)% |
| Total |
|
$ |
717.4 |
|
$ |
(3.8 |
) |
|
$ |
713.6 |
|
|
$ |
699.4 |
|
3 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Categorical Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| Apparel, Accessories and Equipment |
|
$ |
535.8 |
|
$ |
(2.1 |
) |
|
$ |
533.7 |
|
|
$ |
515.6 |
|
4 |
% |
|
4 |
% |
| Footwear |
|
|
181.6 |
|
|
(1.7 |
) |
|
|
179.9 |
|
|
|
183.8 |
|
(1 |
)% |
|
(2 |
)% |
| Total |
|
$ |
717.4 |
|
$ |
(3.8 |
) |
|
$ |
713.6 |
|
|
$ |
699.4 |
|
3 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended December 31, |
|
|
|
|
Adjust for |
|
Constant- |
|
|
|
|
|
Constant- |
|
|
Reported |
|
Foreign |
|
currency |
|
Reported |
|
Reported |
|
currency |
|
|
Net Sales |
|
Currency |
|
Net Sales |
|
Net Sales |
|
Net Sales |
|
Net Sales |
|
|
|
2016 |
|
Translation |
|
|
2016(1)
|
|
|
|
2015 |
|
% Change |
|
|
% Change(1) |
|
| Geographical Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| United States |
|
$ |
1,505.2 |
|
$ |
— |
|
|
$ |
1,505.2 |
|
|
$ |
1,455.2 |
|
3 |
% |
|
3 |
% |
| LAAP |
|
|
453.7 |
|
|
(3.6 |
) |
|
|
450.1 |
|
|
|
469.2 |
|
(3 |
)% |
|
(4 |
)% |
| EMEA |
|
|
253.5 |
|
|
2.4 |
|
|
|
255.9 |
|
|
|
233.2 |
|
9 |
% |
|
10 |
% |
| Canada |
|
|
164.6 |
|
|
5.7 |
|
|
|
170.3 |
|
|
|
168.6 |
|
(2 |
)% |
|
1 |
% |
| Total |
|
$ |
2,377.0 |
|
$ |
4.5 |
|
|
$ |
2,381.5 |
|
|
$ |
2,326.2 |
|
2 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Brand Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| Columbia |
|
$ |
1,910.1 |
|
$ |
5.3 |
|
|
$ |
1,915.4 |
|
|
$ |
1,864.7 |
|
2 |
% |
|
3 |
% |
| SOREL |
|
|
213.0 |
|
|
(0.8 |
) |
|
|
212.2 |
|
|
|
209.2 |
|
2 |
% |
|
1 |
% |
| prAna |
|
|
139.9 |
|
|
— |
|
|
|
139.9 |
|
|
|
125.3 |
|
12 |
% |
|
12 |
% |
| Mountain Hardwear |
|
|
104.0 |
|
|
0.1 |
|
|
|
104.1 |
|
|
|
116.3 |
|
(11 |
)% |
|
(10 |
)% |
| Other |
|
|
10.0 |
|
|
(0.1 |
) |
|
|
9.9 |
|
|
|
10.7 |
|
(7 |
)% |
|
(7 |
)% |
| Total |
|
$ |
2,377.0 |
|
$ |
4.5 |
|
|
$ |
2,381.5 |
|
|
$ |
2,326.2 |
|
2 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Categorical Net Sales: |
|
|
|
|
|
|
|
|
|
|
|
|
| Apparel, Accessories and Equipment |
|
$ |
1,865.4 |
|
$ |
4.1 |
|
|
$ |
1,869.5 |
|
|
$ |
1,821.2 |
|
2 |
% |
|
3 |
% |
| Footwear |
|
|
511.6 |
|
|
0.4 |
|
|
|
512.0 |
|
|
|
505.0 |
|
1 |
% |
|
1 |
% |
| Total |
|
$ |
2,377.0 |
|
$ |
4.5 |
|
|
$ |
2,381.5 |
|
|
$ |
2,326.2 |
|
2 |
% |
|
2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Constant-currency net sales information is a non-GAAP
financial measure, which excludes the effect of changes in foreign currency exchange rates against the U.S. dollar between
comparable reporting periods. The Company calculates constant-currency net sales by translating net sales in foreign currencies
for the current period into U.S. dollars at the average exchange rates that were in effect during the comparable period of the
prior year. |
Columbia Sportswear Company
Ron Parham, 503-985-4584
Sr. Director of Investor Relations
& Corporate Communications
rparham@columbia.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20170209006210/en/