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  Salomon snowboards

The Winter Sports and Outdoor division of Finland-based Amer Sports reported flat sales in constant currencies for the third quarter.

 

This division, which includes brands such as Salomon, Arc’teryx, Atomic, Bonfire, and the recently purchased Nikita outerwear and apparel brand, had sales of EUR 411 million, accounting for 68% of total Amer Sports sales during the quarter.

 

Within the Winter Sports and Outdoor division, winter equipment sales declined 15% to EUR 163.7 million in constant currencies. The company said a 13% decline in preorders for this season because of the warm winter last year and later deliveries accounted for the decrease.

 

Some bright spots in the division included apparel, where sales rose 27% to EUR 95 million, led by Salomon and Arc’teryx. Sports Instruments sales rose 24% in constant currencies to EUR 28.1 million.

 

Footwear sales were flat at EUR 92.9 million as European retailers reduced inventories.

 

European sales for the Winter Sports and Outdoor division fell 4% during the quarter in constant currency, and rose 4% in the Americas. Division sales increased 10% in constant currency in Asia Pacific.

 

EBIT for this division rose 8.8% to EUR 86.8 million.

 

Total Amer Sports sales during the quarter rose 2% in constant currency to EUR 601.9 million. Gross margin was flat at 45.3%. Earnings before taxes rose 7.9% to EUR 74.6 million.

 

The company overall is undertaking a restructuring program designed to reduce complexity, duplication, and its reliance on winter sports equipment. Amer is also redirecting resources into expanding softgoods, and well as into markets and channels that are expanding.

 

For all of 2012, Amer expects company wide revenue to grow 5% in constant currency, with a 20% increase in apparel sales and a 5% increase in footwear sales. EBIT is expected to be flat for the year.