Columbia Sportswear’s second quarter results were met with a negative market reaction, as management pointed to continued headwinds in its U.S. business. International markets drove overall sales growth, with particular strength in Asia and Europe, while U.S. direct-to-consumer traffic remained soft, leading to higher discounting and lower store sales. CEO Tim Boyle cited “mounting inflationary pressure” and “soft traffic in our U.S. DTC brick-and-mortar business” as significant challenges, partially offset by improving e-commerce trends and new customer acquisition within the Columbia brand.
Is now the time to buy COLM? Find out in our full research report (it’s free for active Edge members).
Columbia Sportswear (COLM) Q2 CY2026 Highlights:
- Revenue: $614.4 million vs analyst estimates of $607 million (1.5% year-on-year growth, 1.2% beat)
- EPS (GAAP): $0.52 vs analyst estimates of -$0.40 (significant beat)
- The company reconfirmed its revenue guidance for the full year of $3.47 billion at the midpoint
- EPS (GAAP) guidance for the full year is $4.68 at the midpoint, beating analyst estimates by 21.1%
- Operating Margin: 5%, up from -3.9% in the same quarter last year
- Constant Currency Revenue rose 1% year on year (6% in the same quarter last year)
- Market Capitalization: $2.93 billion
While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Columbia Sportswear’s Q2 Earnings Call
- Bob Drbul (BTIG): asked about supply chain disruptions and order book visibility. CEO Tim Boyle confirmed that shipment timing, not cancellations, is driving changes and growth remains broad-based across geographies.
- Laurent Vasilescu (BNP Paribas): pressed for specifics on shipment timing shifts and regional impact. CFO Jim Swanson clarified the shift exceeds $30 million and primarily affects North America, with Middle East disruptions contributing.
- Tracy Kogan (Citigroup): inquired about monthly U.S. store trends and margin guidance. Swanson described a “step function down” in traffic beginning mid-April, with margins pressured by ongoing promotions and inflation.
- Mitch Kummetz (Seaport Global): sought details on DTC and wholesale trends. Swanson indicated that recent trends inform the cautious outlook, while Boyle highlighted successful new customer acquisition among younger consumers via marketing campaigns.
- Peter McGoldrick (Stifel): questioned promotional activity and pricing strategy. Swanson attributed promotions to consumer pressure, not inventory issues, and Boyle noted weather remains a more significant sales driver than economic indicators.
Catalysts in Upcoming Quarters
In the quarters ahead, our team will monitor (1) the pace of recovery in U.S. direct-to-consumer traffic and the effectiveness of promotional strategies, (2) the resolution of supply chain bottlenecks and the timing of wholesale shipments, and (3) continued international momentum, particularly in China and Europe. Product innovation and execution of the ACCELERATE strategy will also be important markers for Columbia’s progress.
Columbia Sportswear currently trades at $57.22, down from $62.79 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free).
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