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

Columbia Sportswear Company closed 2025 with softer top line trends but stronger than expected profitability and a rock solid balance sheet, while setting cautious but positive guidance for 2026 as its accelerate growth strategy and “Engineered for Whatever” brand platform begin to gain traction. Net sales dipped in the fourth quarter but rose modestly for the full year, even as tariffs, brand impairments, and profit improvement costs weighed on operating income.

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,…