Quantify the Q3 to Q4 sales shift and identify the impacted regions and specific supply chain bottlenecks.

The shift is "north of $30 million" and is a global impact, though predominantly North America-focused. Contributing factors include Middle East conflict disruptions, a rush on supply chains after IEEPA tariff invalidation, and capacity constraints. Q3 and Q4 growth rates would be relatively equivalent (4-5%) if adjusted for the shift. “As it relates to the size of the shift, it's north of the $30 million that you referred to. In fact, if we were to adjust for the timing shift that we're seeing, Q3 and Q4 in growth terms will be relatively equivalent in the 4% to 5% range.”

Inquire about specific drivers or headwinds in China (e.g., weather, macro) and the overall growth rate expectation for the fiscal year.

China remains an enormous opportunity, especially with strong e-commerce growth. The 618 sales event showed robust growth. The company still anticipates double-digit growth for China for the full year. “China for us, as you know, we've talked a lot about it being the biggest opportunity for us in growth. ... I'm still very bullish on China and looking forward to greater things there.”

Elaborate on the demographics of new customers, their purchasing behavior (especially for elevated products), and if this validates the ACCELERATE strategy.

The company is seeing younger consumers purchasing more expensive products, particularly footwear. This is attributed to successful marketing efforts like "Expedition Impossible" and the Robert Irwin campaign, which are effectively promoting newer, younger-focused products. This is a definite result and proof point of the ACCELERATE strategy. “we can see the age of these consumers and sort of in general. And it's really encouraging to see the results of their purchases as it relates to our more expensive product, especially as it relates to footwear. And we think this is a definite result of the promotional activities not dollar promotional, but marketing promotional activities as it relates to the impact of the accelerated marketing efforts we've been focusing on.”

COLM

Columbia Sportswear (COLM) Q2 FY26 earnings call: guidance and Q&A

Earnings call· Jun 2026 (Q2 FY26)· Consumer Discretionary· Jul 30, 2026

Source: earnings call transcript

Executive summary

Columbia Sportswear Q2 FY26 — International Growth and Strategic Progress Offset U.S. Headwinds

Columbia Sportswear delivered Q2 FY26 net sales growth above guidance, primarily driven by robust international performance and emerging brands' e-commerce strength, despite a challenging U.S. market. The company recognized significant tariff refunds which boosted reported margins and EPS, while underlying profitability was impacted by promotional activity. Management highlighted encouraging progress from its ACCELERATE strategy, particularly in footwear and the strong spring '27 order book, but acknowledged ongoing macroeconomic and supply chain pressures impacting the second half outlook.

Highlights

Net sales increased 2% to $614 million, exceeding quarterly guidance.
International business grew 9% year-over-year, leading overall growth.
Spring '27 wholesale order book indicates low to mid-single-digit growth across all brands and geographies, including North America.
Footwear sales grew high single-digit globally in Q2, outpacing apparel in the spring '27 order book.
Recognized $78 million in U.S. tariff refunds, contributing $60 million to operating margin.

Concerns

U.S. net sales decreased 4%, with U.S. wholesale down high single-digit percent.
Gross margin, excluding tariff refunds, contracted 50 basis points due to incremental U.S. tariffs and increased discounting.
Q3 FY26 sales guidance anticipates a decline of 1.5% to flat due to macroeconomic headwinds and supply chain disruptions shifting shipments to Q4.
U.S. DTC brick-and-mortar experienced soft traffic and higher discounts, impacting sales.
Full-year outlook for underlying sales and margin incrementally moderated due to macroeconomic and supply chain headwinds.

Guidance & targets

Category	Target	Timeline	Confidence
Q3 FY26 Sales	down 1.5% to flat high materiality	Q3 · FY26	Medium
Q3 FY26 EPS	$1.15 to $1.35 high materiality	Q3 · FY26	Medium
Full Year FY26 Net Sales Growth	1% to 3% growth high materiality	FY26	Medium
Full Year FY26 Reported Gross Margin	52.1% to 52.3% high materiality	FY26	Medium
Full Year FY26 SG&A as % of Net Sales	43.6% to 44.2% medium materiality	FY26	Medium
Full Year FY26 Reported Operating Margin	8.5% to 9.3% high materiality	FY26	Medium
Full Year FY26 Diluted EPS	$4.45 to $4.90 high materiality	FY26	Medium
Full Year FY26 Tax Rate	~25% medium materiality	FY26	Medium
Spring '27 Wholesale Order Book Growth	low to mid-single-digit percent growth high materiality	Spring '27 · FY27	High
China FY26 Growth	double-digit growth medium materiality	FY26	High
Q3 FY26 Gross Margin	headwind related to factory accommodations medium materiality	Q3 · FY26	High
Q4 FY26 Gross Margin	tailwind related to remaining refunds medium materiality	Q4 · FY26	High

Segment performance

Segment	Revenue	YoY	QoQ	Margin
U.S. Declined slightly more than expected due to soft traffic in DTC stores. Primarily driven by high single-digit percent decline in U.S. wholesale. U.S. DTC net sales were down slightly, offset by improved conversion. E-commerce grew low single-digit percent and exceeded plan, driven by emerging brands. Columbia brand U.S. e-commerce was down low single-digit percent.	—	-4%	—	—
LAAP Driven by strong performance in China, Japan, Korea, and distributor markets.	—	+13% (constant currency)	—	—
China Driven by solid growth in DTC e-com, partly offset by single-digit percent declines in wholesale and DTC stores. Strong performance during 618 shopping event with robust growth and improved markdown rate. Successful spring brand campaign 'It's Nature's Fault' and grassroots events.	—	mid-single-digit percent (constant currency)	—	—
Japan Rebounding from a challenging Q1, with growth in both wholesale and DTC despite weak outlet store traffic and adverse weather. Key drivers included Thrive Revive footwear and cooling apparel.	—	low double-digit percent (constant currency)	—	—
Korea Reflecting double-digit percent growth in both wholesale and DTC e-com. DTC brick-and-mortar grew low single-digit percent but with higher promotional activity due to lower traffic and increased consumer price sensitivity. Robust growth in cooling apparel, channel footwear, and PFG Bahama shirt.	—	low double-digit percent (constant currency)	—	—
LAAP Distributor Markets Driven by the fall '26 order book and earlier fall shipments, reflecting continued momentum and robust growth in Columbia brand apparel.	—	mid-20% growth	—	—
EMEA Overall growth driven by Europe direct and distributor business.	—	high single-digit percent (constant currency)	—	—
Europe Direct Continued momentum in both wholesale and DTC, albeit with higher promotional activity in DTC amid weaker traffic and macro headwinds. Successful spring marketing campaign and HikeFest events.	—	low double-digit percent	—	—
EMEA Distributor Business Driven by increased spring and fall '26 orders, partially offset by later fall shipments.	—	mid-single-digit percent	—	—
Canada Primarily due to declines in wholesale (unfavorable shipment timing, lower spring '26 orders), partly offset by DTC growth (higher e-commerce, lower brick-and-mortar).	—	high single-digit percent decline	—	—
Columbia Brand International growth more than offsetting U.S. declines.	—	+1%	—	—
SOREL Driven largely by later wholesale shipment timing, partly offset by DTC e-com growth. Q2 typically less than 10% of annual business. Expect stronger fall '26 season with growth in wholesale and DTC.	—	-14%	—	—
PrAna Reflecting double-digit percent growth in wholesale and high single-digit percent growth in DTC e-com. Flattish growth in DTC brick-and-mortar on lower traffic, offset by better conversion. Healthy growth in new and retained customers. Opened third full-price store in La Jolla.	—	+14%	—	—
Mountain Hardwear Driven by double-digit percent growth in DTC channels, partly offset by low double-digit percent decline in wholesale due to substantially lower closeout sales (offsetting low single-digit percent full price growth). Fourth collaboration with Susi surpassed prior collections in sales.	—	+6%	—	—

Product announcements

Product	Type	Timeline
Tellurix Titanium OutDry shoe	milestone	Q2 FY26
Kazam Ultra Light Trail backpack	launch	Q2 FY26
Amaize Puff collection	update	Fall '26
Bahama shirt	update	Q2 FY26
Tamiami shirt	roadmap	FY26

Deals & partnerships

Joe Bernaccio Welcome back to Columbia Sportswear's family as the President of SOREL brand.

Joe Bernaccio previously served as President of Mountain Hardwear and brings extensive industry experience.

Susi Fourth collaboration with Mountain Hardwear.

Surpassed each of the prior collections in sales with remarkably strong sell-through.

Risks & headwinds

U.S. tariffs uncertainty Through end of FY26

Current 10% to 12.5% tariff rates assumed to remain in place through end of year.

Mitigation:Financial outlook assumes current rates; factory accommodations to offset tariff tailwind in Q3.

Macroeconomic headwinds and supply chain disruptions Second half FY26

Meaningful shifts in fall '26 shipments from Q3 to Q4; Q3 sales down 1.5% to flat.

Mitigation:Anticipate growth shifting to Q4; underlying sales and margin outlook incrementally moderated.

Elevated global gasoline prices Second half FY26

Putting pressure on discretionary spending and consumer sentiment.

Mitigation:Impacts lower and middle-income consumers; dynamic price adjustments to ensure volume movement.

Increased promotional activity and discounting Q2 FY26, anticipated to continue

Gross margin (ex-tariff refunds) contracted 50 bps YoY; higher discounts in U.S. DTC brick-and-mortar.

Mitigation:Dynamically adjusting price to ensure volume movement; efforts to be less promotional on columbia.com.

Input cost pressure from elevated oil prices Spring '27 (modest), Fall '27 (potential headwind)

Modest impact expected for spring '27; potential headwind for fall '27 if oil prices remain high ($90-$100 range).

Mitigation:Most spring '27 input costs procured before price increases; finalizing product line and mitigations for fall '27.

What to watch in Q3 FY26

Fall '26 wholesale shipments

Q4 FY26

Current Meaningful shifts from Q3 to Q4

Target Successful delivery of shifted shipments in Q4

Why it matters

Successful delivery of these shifted shipments is critical to achieving full-year sales guidance, especially given the macroeconomic headwinds.

These delays are expected to shift all of our anticipated second half growth in the fourth quarter, creating greater risk to our outlook given the macroeconomic headwinds impacting operating environment.

Find out whether COLM delivers this. Inve re-checks your case every morning.

Q&A highlights

Clarification on the Q3 to Q4 shipment shift, its impact on the fall '26 wholesale plan, and the broad-based nature of the spring '27 order book growth, especially in North America.

Management confirmed the Q3/Q4 shift is due to known logistics issues, not cancellations, and represents about a 1% shift. The spring '27 order book shows low to mid-single-digit growth across all brands and geographies, including North America, driven by ACCELERATE. Fall '26 wholesale for U.S. and North America still contemplates growth, but it will be Q4-weighted.

“we're confident that the numbers are going to be coming through as we've got planned. And then you mentioned the spring '26 order book, but you're talking about spring '27, right? ... Yes. And yes, basically, its growth across all the brands and all the geographies, including the North America and U.S.A. business. So we're starting to see the results of accelerate and really exciting good stuff happening that way.”

asked by Robert Drbul · answered by Timothy Boyle

2 min read 6 chapters

Detailed narrative

ACCELERATE Strategy & Brand Pillars

Columbia's multi-year ACCELERATE strategy, launched nearly a year ago, is showing tangible results. The strategy has been refined into five key brand pillars: owning the trail, dominating warmth, powering PFG, fueling outdoor lifestyle, and accelerating footwear. These pillars aim to leverage the brand's heritage while meeting modern consumer demands for credibility, style, and relevance across all seasons and geographies, providing a focused execution framework.

Marketing Success & Consumer Engagement

The company's marketing efforts, particularly the "Expedition Impossible" campaign, have garnered significant industry recognition, including 10 Cannes Lion Awards and the prestigious Dan Wieden Titanium Award, making Columbia the single most awarded company at the event. Another successful campaign featured global brand ambassador Robert Irwin, attracting over 3.7 million views.

These campaigns are driving new customer acquisition and purchase intent, especially among younger, dynamic active consumers, validating the ACCELERATE strategy's impact.

Footwear Momentum

Footwear is a key growth driver, experiencing high single-digit percentage growth globally in Q2. Technical footwear, featuring proprietary OmniMesh technology, showed particular strength, with styles like Tellurix and Peak Freak selling out. The success extends to trail running, highlighted by sponsored athlete Gabriel Gada's win at UTMB Valdoram Ultra Trail race, reinforcing Columbia's emerging presence in elite outdoor sports and validating its performance credibility.

Spring '27 Wholesale Order Book Strength

The spring '27 wholesale order book is nearly complete, with approximately 90% of orders in, and indicates a low to mid-single-digit percentage growth across all brands and geographies, including the U.S. This broad-based growth, with footwear outpacing apparel, is seen as an encouraging sign of the ACCELERATE strategy's effectiveness and strong adoption of newer, elevated styles targeting younger consumers, providing confidence for the first half of next year.

Tariff Refunds & Gross Margin Dynamics

Columbia recognized $78 million in U.S. IEEPA tariff refunds in Q2, with $60 million impacting operating margin as a reduction to cost of sales and $15 million reducing inventory. While this significantly boosted reported gross margin by 920 basis points, the underlying gross margin contracted by 50 basis points due to ongoing U.S. tariffs and increased promotional activity.

The remaining $15 million inventory benefit will be realized in Q3 and Q4, partially offset by factory accommodations in Q3.

Macroeconomic & Supply Chain Headwinds

The operating environment has become more challenging, with macroeconomic headwinds and supply chain disruptions impacting the second half. Elevated global gasoline prices are pressuring discretionary spending, particularly for lower and middle-income consumers. Meaningful shifts in fall '26 shipments from Q3 to Q4 are expected due to longer logistics lead times and capacity constraints, creating greater risk to the full-year outlook, though management is confident in eventual delivery.

Summary of the company's earnings call; see how call summaries are prepared. Not investment advice.