Columbia Sportswear raises low end of 2026 forecast as Q3 sales rise 2%

Columbia Sportswear Company (COLM) said on Oct. 29 in a regulatory filing that third-quarter net sales rose 2% to $962.6 million from $943.4 million a year earlier. It also raised the low end of its full-year 2026 forecast.

Shares rose 1.9% in after-hours trading as of 4:30 p.m. ET, from a regular-session close of $63.70.

The company sells apparel, footwear, accessories and equipment under the Columbia, SOREL, prAna and Mountain Hardwear brands. Its brands are sold in 122 countries.

Here's how the company did:

• Net sales: $962.6 million vs. $943.4 million a year earlier
• Diluted EPS: $1.66 vs. $0.95 a year earlier
• Operating income: $109.6 million vs. $67.4 million a year earlier
• Gross margin: 49.8% vs. 50.0% a year earlier

The year-earlier period included impairment charges of $29.0 million related to prAna and Mountain Hardwear. Those charges reduced diluted EPS by $0.46 in that quarter, the company said.

Gross margin fell 20 basis points. The company said the decline primarily reflected accommodations to its factory partners, partly offset by the current-period benefit of IEEPA tariff refunds previously received.

U.S. net sales fell, the company said, because later shipments of Fall 2026 wholesale orders offset growth in direct-to-consumer sales. Sales grew in most international markets.

2026 guidance

The company now expects full-year net sales of $3.46 billion to $3.50 billion, up from $3.43 billion to $3.50 billion. It expects diluted EPS of $4.65 to $4.90, up from $4.45 to $4.90.

Operating income is forecast at $300 million to $320 million, from $290 million to $325 million previously.

Fourth-quarter net sales are expected at $1,108 million to $1,145 million. The company gave a range of $929 million to $943 million on July 30, and reported $1,070 million for the fourth quarter of 2025.

CEO Tim Boyle is the chairman and chief executive officer. He said: "We're pleased to have delivered net sales and EPS growth exceeding our guidance for the third quarter." He added that the results gave the company "the confidence to raise the low end of our full-year revenue and EPS guidance."

Operating cash flow is now expected at $230 million to $250 million, down from $290 million to $310 million. The company said the change reflects earlier production of Spring 2027 inventory.

Cash and capital returns

The company repurchased 3,342,569 shares for $200.0 million in the first nine months of 2026. It had $226.5 million left under its repurchase authorization on Sept. 30.

The board declared a quarterly dividend of 30 cents per share, unchanged from the prior rate. It is payable Dec. 3 to shareholders of record on Nov. 19.

The company had $229.6 million of cash, cash equivalents and short-term investments and no borrowings at quarter-end.