Fishing industry is too quiet, need some new releases regardless of brand

[chrisntab]

Fishing industry is too quiet, need some new releases regardless of brand. Need new technology showcases

[Sirius Rich]

This came out this morning from Johnson Outdoors:

THIRD QUARTER RESULTS Typically the third quarter is the primary selling season for our warm weather outdoor recreation products; however, due to COVID-19, customer inventory and replenishment and consumer sell-through patterns have shifted. Total Company net sales declined 21.5 percent to $138.4 million, versus $176.3 million in the prior year third quarter. Strong demand in Fishing throughout May and June was not enough to offset the impact of COVID-19 in April, resulting in a 20 percent decline in sales. New product innovation and positive market dynamics in Watercraft drove higher demand, leading to a 17 percent growth in revenue. Retail closures and state and national park closures contributed to a 34 percent decline in Camping sales. Diving, our most global business and the first to be affected by stay-at-home mandates, posted a 47 percent decline in revenue. Total Company operating profit was $12.9 million for the third quarter compared to $28.0 million in the prior year third fiscal quarter, due primarily to lower sales volume. Gross margin of 45.2 percent was flat to the prior year quarter. Reduced efficiencies from COVID-19 shutdowns were offset by improved product mix and pricing. Operating expense decreased $2.1 million compared to the prior year quarter, due to reduced sales volume-related costs which were offset in part by a $2.1 million unfavorable impact year-over-year from valuation adjustments to the Company’s deferred compensation plan assets, which are totally offset in Other Income. Net income was $12.9 million, or $1.27 per diluted share, versus $22.1 million, or $2.19 per diluted share in the previous year’s third quarter.

Johnson Outdoors Reports Fiscal Third Quarter Results | wallstreet-online.de - Vollständiger Artikel unter:
https://www.wallstreet-online.de/nac...uarter-results

[bobcoy]

Well, there you go. If you look hard there is still a bunch of new stuff to spend your money on! Bob
Wow! That was a fresh report! Thanks Rich

[granite]

Gross margin of 45.2% ? Does that mean profit margin? Must be nice. (Somebody will set me straight soon, I'm sure)

Edit: Can't be. 12.9 million profit on 138.4 million sales is 9.32%. Off to Google school for me.

[jcyoung517]

Just maybe....They all need to work out the problems they have with the "new stuff " they already have released before !

[Chief Brody]

Tightwads.

Seemed like a good oppurtunity to invest in some new stuff and leave the competition behind

[Sirius Rich]

Gross margin of 45.2% ? Does that mean profit margin? Must be nice. (Somebody will set me straight soon, I'm sure)

Edit: Can't be. 12.9 million profit on 138.4 million sales is 9.32%. Off to Google school for me.

granite,

Using my words and limited business knowledge, let me explain. Let’s say you hire me to wash your boat and service your trailer. You pay me 100 bucks. I pay myself 50 bucks for labor, that’s a 50% gross profit (margin). Out of that $50 gross profit I have to pay taxes, pay for soap, water, grease, R&D on best soap and grease, vehicle, gasoline, insurance, towels and a grease gun. Take the $100 revenue minus all cost of goods that I pay for will give me gross earnings (profit). Generally gross profit % less than 10% is not considered good and may be the reason Johnson Outdoors stock went down on the earnings release. Most companies strive for a minimum of 15%.

[BassCatBrad]

We can't keep GPS/Fishfinders in stock. We are out of 9,10 and 12 inch Helix's and are down to one 15" Solix. It has been an amazing few months of boat, electronics and Power Pole sales.