US: Black Diamond Q4 earnings climb
- Q4 earnings reach US$0.7m
- Gross margin at 38%
- Sales climb 24%
Outdoor and action sports apparel business Black Diamond saw earnings and sales climb in its fourth-quarter on the back of strong growth across all its brands and major geographies.
In the three months to the end of December, net income amounted to US$0.7m from $0.5m a year earlier. Earnings included $2.7m of non-cash items and $0.2m of merger and integration costs compared to $1.1m of costs in the year ago quarter.
Gross margin increased to 38% in the quarter from 36.3% in the comparable period last year.
Sales were up 24% to $60.4m, boosted by strong growth across all Black Diamond brands and major geographies, as well as the launch of its apparel and an increase in Gregory's sales in Japan.
"In addition to record sales, 2013 was an investment year and a year of significant strategic accomplishments," said CEO Peter Metcalf. "We launched Black Diamond apparel, established our own distribution business in Japan, and finalized the integration of POC and PIEPS. We expect 2014 to be a year highlighted by continuing growth and a strategic shift towards our fastest growing businesses."
For the full year, Black Diamond expects sales to range between $235m to $240m, and gross margin between 39.5% and 40.5%.
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