Johnson Outdoors Inc. (Nasdaq: JOUT), a leading global innovator of outside pastime system and era, these days suggested accelerated sales for the Company’s 2019 third financial zone ending June 28, 2019. The continued increase in Fishing drove better revenue during the 0.33 zone and financial 2019 12 months-to-date duration.
“Outstanding new product achievement over the past 3 years keeps to electricity increase in Fishing and sets the stage for stimulating improvements at the horizon. At the identical time, paintings keep bolstering performance in Diving. Camping and Watercraft Recreation are transitioning product lines to capitalize on market evolutions. We sense top approximately in which we are headed,” stated Helen Johnson-Leipold, Chairman and Chief Executive Officer. “The scope of Johnson Outdoors’ portfolio and the numerous opportunities for increase it provides places us in a strong, particular role in a more and more aggressive outdoor exercise enterprise.”
THIRD QUARTER RESULTS
Fiscal 0.33 region results mirror in-season replenishment orders for the Company’s warm-weather outside endeavor merchandise. Total Company internet income multiplied 3 percentage to $176.Three million as compared to $one hundred seventy.8 million inside the preceding year quarter. Key factors at the back of the yr-over-year evaluation in every commercial enterprise unit had been:
Fishing sales extended five percent due to persisted fulfillment of recent products in each Minn Kota® and Humminbird®.
Growth in Jetboil® helped fuel better sales in Camping.
Diving sales have been down three percentage, but flat on a foreign money neutral basis versus the earlier year length.
Watercraft Recreation sales declines replicate ongoing weakness in paddle boat markets.
Total Company working earnings all through the region turned into $28.Zero million compared to $32.Zero million in the previous yr’s sector. Operating fees for the third area elevated $four.3 million versus the prior yr duration due in most cases to higher-income volume-related rate, higher terrible debt expense, and expanded marketing guide. The gross margin became forty-five .2 percent, versus 46. Five percent inside the previous quarter, due in element to $1.Nine million in price lists on Chinese additives. Net earnings within the financial third quarter changed into $22.1 million, or $2.19 in line with diluted percentage, in comparison to $23.Eight million, or $2.37 in line with diluted share, inside the preceding yr 1/3 region.
Fiscal 2019 12 months-to-date net sales grew 1 percentage to $458.Four million versus internet income of $453.1 million in the equal economic nine-month period last year. Total Company running earnings become $61.Nine million compared with $65.0 million all through the earlier financial 12 months’ first nine months. While favorable product mix helped offset the impact of $four.Zero million of the aforementioned tariffs on Chinese additives multiplied working prices drove the decline in working earnings yr over 12 months. The growth in operating cost becomes due often to bad debt and continued funding in marketing sophistication.
Net profits within the financial nine-month duration progressed four percent to $47.5 million, or $four.72 in step with diluted proportion, in comparison with $ forty-five .6 million, or $4.Fifty-four consistent with diluted share, within the equal 9-month length last yr. The 12 months-to-date effective tax rate of 24.9 percent as compared favorably to the previous fiscal first 9 months, which pondered charges associated with the initial implementation of the brand new U.S. Tax Reform Act.
OTHER FINANCIAL INFORMATION
The Company pronounced cash and quick-term investments of $149.Zero million as of June 28, 2019, versus $129.3 million on June 29, 2018. Depreciation and amortization were $10.Four million, as compared to $9.6 million at some point of the first 9 months of the previous economic. Capital spending totaled $12.Zero million at some point of the first 9 months of economic 2019 in comparison with $14.7 million inside the same financial 2018 period.
“At this time, our clear consciousness is on ending the 12 months robust and ensuring our brands are nicely-placed for the future. We continue to be confident in our capacity and plans to power ongoing fulfillment, and our developing cash and debt-loose role enables us to put money into strategic priorities and other possibilities to reinforce our brands and develop our groups, even as continuously paying dividends to shareholders,” said David W. Johnson, Chief Financial Officer.
Humminbird® acquired “Best of Electronics” honors on the 2019 ICAST, the arena’s most prestigious fishing show, with the brand’s new MEGA 360 Imaging™. Showing anglers exactly what’s taking place under the water with a view to make each cast count, MEGA 360 Imaging is the best sonar option that offers an excessive-decision 360-degree view around the boat. Sweeping one hundred twenty-five ft in each direction, MEGA 360 Imaging grants unrivaled detail and coverage, built-in mapping and custom-designed viewing options, so anglers can pick how their returns seem and dial them in based totally on their fishing style, situations and what they’re after. And now not handiest that, however MEGA 360 Imaging enhances the potential for anglers to offer full use of the trolling motor, which will use Spot-Lock™ and other essential Minn Kota capabilities without limiting their capability to use 360-diploma sonar.
Humminbird’s ICE HELIX CHIRP GPS G3N ALL-SEASON™ also grabbed “Best of Ice Fishing” honors, a brand new category delivered to ICAST this 12 months. Humminbird leads the enterprise in ice fishing innovation, and the ICE HELIX CHIRP GPS G3N ALL-SEASON brings the interesting new feature of AutoChart® Live Ice which lets in ice anglers to quick map and locates humps and drop-offs that had been previously unknown on faraway or unmapped lakes. Combined with the readability and element of Humminbird’s proven Dual Spectrum CHIRP sonar, AutoChart Live Ice enables ice anglers to greater without difficulty locate productive fishing holes.
The Company will host a convention call and audio net forged at 11:00 a.M. Eastern Time on Friday, August 2, 2019. A live concentrate-simplest web forged of the conference call may be accessed at Johnson Outdoors’ domestic web page. A replay of the call can be to be had for 30 days at the Internet.
ABOUT JOHNSON OUTDOORS INC.
JOHNSON OUTDOORS is a main international innovator of out of doors endeavor equipment and technology that inspire greater people to experience the awe of the great outside. The corporation designs manufactures and markets a portfolio of prevailing, patron-favored manufacturers throughout four categories: Watercraft Recreation, Fishing, Diving, and Camping. Johnson Outdoors’ iconic manufacturers encompass: Old Town® canoes and kayaks; Ocean Kayak™; Carlisle® paddles; Minn Kota® fishing vehicles, batteries and anchors; Cannon® downriggers; Humminbird® marine electronics and charts; SCUBAPRO® dive system; Jetboil® outside cooking systems; and, Eureka!®camping and hiking device.