Easton-Bell Sports’ operating income climbed by 17.4 percent to $35,141,000 in the year ended last Dec. 30, on the back of a rise in sales of 68.2 percent to $638.9 million. The company reported a net loss of $5,852,000, as compared to a gain of $3,082,000 in the prior year. The gross margin fell by 220 basis points to 33.3 percent. In the 4th quarter, sales grew by 66 percent to $143.0 million. The gross margin was up by 520 basis points to 35.1 percent, while the net loss increased to $5,469,000, compared with $2,992,000 in the year-ago quarter.
For the full year, turnover in Europe jumped by 140 percent to $77.8 million, while all other sales outside of North America rose by 227 percent to $14.4 million. Sales in North America increased by 59 percent to $546.8 million.
Turnover in the “Team Sports” division grew by 162 percent to $347.7 million – aided by the acquisition of Easton Sports - and the segment’s operating income expanded by 103 percent to $38.6 million. Revenues for the “Action Sports” division increased by 18 percent to $291.1 million and its operating income was up by 6 percent to $32.8 million.
Easton-Bell Sports continues to integrate Easton Sports. It has already narrowed its workforce and taken in-house its sales of Easton-branded cycling products. This year, where the company will see the full benefit of the acquisition, Easton-Bell plans to consolidate certain facilities and move some production from the USA to the Far East.
Product-wise, the company intends to launch this year a line of goggles and eyewear under the Giro name, in addition to an expanded collection of Easton-branded baseball bats and high-end cycling and ski helmets branded as Bell and Giro.
