Johnson Outdoors Reports Increased Net Income and Sales Growth for Q2 2025

Johnson Outdoors Inc. reported a net income of $7.742 million, or $0.75 per diluted share, for the three months ended June 27, 2025, a significant increase from the $1.622 million, or $0.16 per diluted share, recorded in the same period last year. The company’s net sales rose to $180.655 million, reflecting a 5% increase from $172.472 million in the prior year. The gross profit margin improved to 37.6%, up from 35.8% in the previous year, driven by higher sales volumes and improved overhead absorption.

In contrast, the nine-month results showed a net loss of $5.244 million, or $0.52 per diluted share, compared to a net income of $7.733 million, or $0.75 per diluted share, for the same period last year. Year-to-date net sales decreased by 6% to $456.653 million from $486.972 million, primarily due to challenging market conditions affecting sales in the Fishing and Diving segments. The Fishing segment reported a decline in sales of $21.595 million, while the Camping & Watercraft Recreation segment saw a decrease of $6.760 million, largely attributed to the exit from the Eureka! brand.

Strategically, Johnson Outdoors completed the acquisition of Endless Summer Technologies Proprietary, Ltd. for approximately $12.197 million, which is expected to enhance its Diving segment by introducing innovative products and improving operational efficiencies. The company also combined its previously reported Camping and Watercraft Recreation segments into a single segment for better performance assessment and resource allocation.

Operationally, Johnson Outdoors reported an increase in accounts receivable to $81.993 million, reflecting higher sales volumes, while inventories decreased to $163.732 million as part of ongoing efforts to manage inventory levels. The company maintained a debt-free status, with cash and cash equivalents totaling $158.691 million as of June 27, 2025. The company’s cash flow from operating activities improved to $32.810 million for the nine months ended June 27, 2025, compared to $21.899 million in the prior year, indicating better working capital management.

Looking ahead, Johnson Outdoors anticipates continued challenges in the market, particularly in the Fishing and Diving segments, but remains optimistic about the potential benefits from its recent acquisition and new product launches. The company is also assessing the impact of recent tax reforms and tariffs on its operations and profitability, while focusing on strategic initiatives to enhance its market position and financial performance.