The results of the US outdoor outfitter Columbia Sportswear for the third quarter of 2025 paint a complex picture. Strong international business development partially offset the challenges in the US market. The company is actively pursuing strategic changes to reinvigorate its core brand and position itself for future growth.
Net sales for the quarter increased slightly by one percent to 943.4 million US dollars (around 815.5 million euros) and remained almost unchanged on a currency-adjusted basis. However, the operating result showed a different picture. Profit fell 40 percent year-on-year to $67.4 million. This resulted in diluted earnings per share of $0.95, a significant decrease compared to $1.56 in the same period in 2024. A key driver of profitability was $29 million in impairment charges for the Prana and Mountain Hardwear brands. These impacted diluted earnings per share for the period ended September 30, 2025 by $0.46.
Revitalization of the core portfolio and a new brand platform are intended to address weaknesses
Despite the overall decline in profitability, Columbia Sportswear showed strength in international business. “The third quarter results reflect continued momentum in our international business, led by double-digit percentage sales growth in our European direct markets,” said CEO Tim Boyle. The Columbia boss emphasized that this strong international performance underscores the Columbia brand’s ability to resonate with younger and more active consumers. This is a central element of the company’s ‘Accelerate Growth Strategy’.
In the US, where the company has faced fundamental weakness, Columbia is actively focused on revitalizing its core brand. Boyle described the recent launch of the new brand platform “Engineered for Whatever” as an important milestone. The initial response was “overwhelmingly positive”. The platform aims to revive the spirit of the brand from the 80s and 90s. Post-launch, the company plans to capitalize on this momentum with a series of differentiated activations and media investments during the important holiday season.
International markets should continue to drive growth
For the remainder of 2025, Columbia Sportswear predicts a mixed outlook. The company expects full-year net sales to be between $3.33 billion and $3.37 billion. This corresponds to a decline in sales of one percent to a stagnating result. Operating income is expected to be between $163 million and $185 million, including the aforementioned impairment charges of $29 million. Diluted earnings per share are estimated at $2.55 to $2.85.
For the fourth quarter of 2025, the company expects net sales of approximately $1.008 billion to $1.041 billion. This represents a decrease of eight to five percent compared to the $1.097 billion in the same period in 2024. This forecast considers an impact of $30 million to $40 million. This results from the fact that a larger proportion of deliveries for autumn 2025 took place in the third quarter compared to the third quarter of 2024.
Looking at the preliminary outlook for the first half of 2026, Columbia Sportswear expects wholesale net sales to be flat or grow in the low single-digit percentage range. This reflects continued international growth in the direct and distribution markets. This is expected to partially offset a decline in the US market.
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