Compass Diversified’s (CoDi) branded consumer business was led by Boa in the first quarter ended March 31 as the closure system brand generated a 75 percent increase in adjusted Ebitda to $24.9 million from revenue growth of nearly 56 percent to $56.8 million as compared to $36.5 million. Elsewhere in the company’s Branded Consumer segment, Marucci air-freighted products to gain shelf space in new and existing accounts to help sales lift 42 percent to $52.1 million as the brand’s adjusted Ebitda increased by 5.1 percent to $14.2 million; 5.11 realized a 7.9 percent decline in adjusted Ebitda to $12.0 million despite 4.2 percent sales growth to $104.0 million, and Velocity Outdoor revenues declined by 21.6 percent to $51.4 million as adjusted Ebitda fell by 45.6 percent to $6.6 million. In late February, CoDi said it was postponing an initial public offering for the 5.11 technical gear and apparel business due to suboptimal market conditions.
In reporting a 25 percent increase in consolidated net income to $23.8 million and a 25 percent gain in total revenues to $510.5 million, CoDi senior management described the current M&A market as “muted” and likely to stay that way throughout the second quarter.
