Johnson Outdoors profit up 50% in Q2

Fishing business leads the way

Johnson Outdoors Inc. makes the Humminbird brand of fish finders and other marine electronics.
Johnson Outdoors Inc. makes the Humminbird brand of fish finders and other marine electronics.

Racine-based outdoor recreation equipment manufacturer Johnson Outdoors Inc. today reported fiscal second quarter net income of $14 million, or $1.39 per diluted share, up 50 percent from $9.3 million, or 93 cents per share, in the second quarter of 2016.

Strong pre-season sales of products in the Humminbird brand helped drive an improved quarter for Johnson Outdoors Inc.
A Johnson Outdoors Humminbird product.

Second-quarter operating profit was $20.5 million, up 35 percent from $15.1 million in the same period a year ago.

Revenue totaled $149.8 million, up from $134.2 million in the second quarter of 2016. The increase was driven by a 16 percent increase in fishing revenue year-over-year, as well as a 6 percent increase in Diving revenue.

The company currently is ramping up for its busy outdoor recreation season, said Helen Johnson-Leipold, chairman and chief executive officer of Johnson Outdoors. However, the continued closure of brick-and-mortar retail stores dinged the company, contributing to a 2 percent decrease in camping sales.

“In camping, performance is being affected by very challenging market conditions. Retail restructuring in the marketplace made it difficult to bring down higher than normal pre-season customer inventory levels before this year’s selling,” Johnson-Leipold said in a call with analysts.

Global turmoil also impacted the company’s diving business, which is still recovering to pre-recession levels, she said.

“Excitement in the market for Johnson Outdoors’ innovative new product line-up is giving us a great start to the year and positioning our brands for continued growth and success,” Johnson-Leipold said. “Ongoing focus and investment against our three key strategic plan priorities – richer consumer insights, enhanced innovation processes and digital sophistication – are essential to ensure continued progress toward our goal of delivering accelerated sustained profitable growth.”

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Molly Dill, former BizTimes Milwaukee managing editor.

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