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- 2013 Sales Expected to Range Between $216 Million and $221 Million, an Increase of 23% to 26% -
- Management Provides Positive Outlook for 2013, Hosts Investor Call Today at 5:00 p.m. ET -
SALT LAKE CITY, Feb. 14, 2013 (GLOBE NEWSWIRE) -- Black Diamond, Inc. (Nasdaq:BDE) (the "Company" or "Black Diamond"), a global leading supplier of innovative, high performance, outdoor and action sport equipment as well as aspirational active outdoor lifestyle products, reported preliminary results for the fourth quarter and full year ended December 31, 2012. The Company has also provided its outlook for 2013.
Based on preliminary unaudited information, Black Diamond expects to report fourth quarter 2012 total sales of approximately $48.4 million, up approximately 33% from $36.3 million in the year-ago quarter. The increase was primarily attributed to the contribution of POC Sweden AB ("POC") and PIEPS Holding GmbH ("PIEPS") and their respective subsidiaries, which were acquired in the second half of 2012. Total sales were offset by $0.4 million of inventory repurchased and not recognized as revenue from Gregory Mountain Products' Japanese distributor, Kabushiki Kaisha A&F("A&F"), as part of the A&F distribution agreement.
For the year ended December 31, 2012, Black Diamond expects to report total sales of approximately $175.5 million, up approximately 20% from $145.8 million in 2011. The growth in sales was supported by the introduction of new and innovative products, as well as the addition of POC and PIEPS. Total sales were offset by $1.0 million of inventory repurchased as part of the previously mentioned A&F distribution agreement.
Gross margin in the fourth quarter of 2012 is expected to be around 36.0% compared to 39.2% in the year-ago quarter. Gross margin in the fourth quarter of 2012 includes approximately $1.2 million (or 2.5% of expected total sales) for inventory fair value of purchase accounting adjustments related to the acquisitions of POC and PIEPS. In connection with the Company's conference call announcing actual results for the fourth quarter and full year 2012, the Company expects to present a reconciliation table of adjusted gross margin excluding these purchase accounting adjustments from its fourth quarter of 2012 financial results, and anticipates adjusted gross margin to experience a small decline from the year-ago quarter, primarily due to a higher level of discount activity in response to a challenging start to the 2012 winter season.