Columbia Sportswear Reports Fourth Quarter, Full Year 2025 Earnings and 2026 Outlook

Fourth Quarter 2025: Sales Dip, Margins Hold In the fourth quarter ended December 31, 2025, net sales fell 2% to $1.07 billion (down 3% in constant currency) versus $1.10 billion a year earlier, mainly due to earlier shipment of Fall ’25 wholesale orders and ongoing U.S. softness.

International growth and a modest increase in direct to consumer (DTC) partially offset the decline. Despite lower sales, gross margin expanded 50 basis points to 51.6%, helped by healthier inventory, less clearance, and lower inventory loss provisions, offset by about $20 million in incremental U.S. tariffs before mitigation.

Operating income declined 15% to $116.7 million, or 10.9% of net sales, from $137.3 million and a 12.5% margin in Q4 2024. Net income was $93.2 million, or $1.73 per diluted share, versus $102.6 million and $1.80 per diluted share a year earlier.

Full Year 2025: Slight Growth, Tariffs and Impairments Bite For full year 2025, net sales edged up 1% to $3.40 billion (flat in constant currency) from $3.37 billion in 2024. Gross margin improved 30 basis points to 50.5%, even after absorbing around $31 million in incremental U.S. tariffs ahead of mitigation actions…