Citing a stabilization of the global action sports equipment market, after a steep decline in early 2016, Globe International reported relatively flat sales of 70.2 million Australian dollars (€44.7m-$54.8m) in constant currencies for the first half of its financial year, ended Dec. 31.
The company's profitability improved during the period, with Ebitda rising by 27.7 percent to A$4,089,000 (€2,606,200-$3,190,000) and net income going up by 37 percent to A$3,408,000 (€2,172,300-$2,659,100). The gross margin was boosted by a better brand mix and customer mix, sourcing improvements and foreign exchange gains. Operating costs were largely flat, but they were reallocated to emerging and growth brands to drive future growth.
The group's sales performance and profitability varied from one region to the other. In Europe, sales were largely flat at A$11.8 million (€7.5m-$9.2m), delivering Ebitda of just about A$141,000 (€90,024-$110n037).
In Australasia, sales declined by 7 percent to A$38.3 million (€24.4m-$29.9m), but Ebitda grew slightly to A$5,197,000 (€3,311,800-$4,054,200). Sales went up by 13 percent in North America to A$20.1 million (€12.8m-$15.7m), with a rise of 19 percent in local currencies, and the Ebitda loss was halved to A$1,134,000 (€722,800-$884,700).