8/7/2026

speaker
Operator
Conference Operator

Hello everyone and welcome to Johnson Outdoors 3rd Quarter 2026 Earnings Conference Call. Today's call will be held by Helen Johnson-Leipold, Johnson Outdoors Chairman and Chief Executive Officer. Also on the call is Asad Rahman, Chief Financial Officer. Prior to the question and answer session, all participants will be placed in a listen-only mode. After the prepared remarks, the question and answer session will begin. If you would like to ask a question during that time, please press star and the number 11 on your telephone keypad. This call has been recorded. Your participation implies consent to our recording this call. If you do not agree with these terms, simply drop off the line. I'll now turn the call over to Andres Bautista from Johnson Outdoors. Please go ahead, Mr. Bautista.

speaker
Andres Bautista
Head of Investor Relations

Good morning and thank you for joining us for our discussion of Johnson Outdoors results for the 2026 fiscal third quarter. If you need a copy of today's new release, it is available on our website at johnsonoutdoors.com under Investors Relations. I also need to remind you that this conference call may contain forward-looking statements. These statements are made on the basis of our current views and assumptions and are not guarantees of future performance. Actual events may differ materially from those statements due to a number of factors, many beyond Johnson Outdoors' control. These risks and uncertainties include those listed in our press release and filings with the Securities and Exchange Commission. If you have any additional questions following the call, please contact Asad Rahman or myself. It is now my pleasure to turn the call over to Helen Johnson-Leipold.

speaker
Helen Johnson-Leipold
Chairman and Chief Executive Officer

Good morning, everyone. First of all, I would like to share that Asad Rahman, our new Chief Financial Officer, joined Johnson Outdoors on June 30th This follows a planned retirement later this year of our longtime CFO, Dave Johnson, and we thank Dave for his many years of service and contributions to the company. I'm excited to have Asad on the call with us today. I'll begin by sharing perspective on the third quarter and year-to-date results, as well as give an update on each business. Asad will review the financial highlights, and then we will take your questions. The strength of our market-leading brands helped us deliver solid third quarter results with total company sales increasing 5% versus the prior year quarter. Operating income was $18.3 million, $11 million higher than the prior year quarter, with approximately $15 million in tariff refunds received contributing to the improvements. Year-to-date, our net sales were 15% higher than last year's nine-month period, with operating income and gross margin also up for the fiscal year-to-date period. We are pleased with the results we delivered this quarter and the continued progress on our strategic priorities of innovation leadership, digital and e-commerce excellence, and operational efficiencies. In our fishing business, Minn Kota continues to be the leader in trolling motors, and the quarter's results were driven by continued healthy demand for Minn Kota's full lineup of trolling motors. We are pleased with the momentum of our fishing portfolio. As always, we remain focused on investing in innovation and delivering differentiated technology that enhances the experience of the anglers worldwide. In our diving business, strong sales in regulators and buoyancy compensators helped drive a solid increase in third quarter sales. Digital engagement continues to play an increasingly important role, enhancing connectivity between our ScubaPro brand, retail partners, and consumers. Our focus remains on enhancing brand visibility, improving consumer engagement, and supporting our retail partners around the world. Together, these initiatives strengthen the foundation of the business and underscore the enduring value of the ScubaPro brand. Finally, our camping and watercraft business faced a challenging quarter, primarily due to weakness in marketplace conditions. Jeff Boyle remains a leader in camp cooking and we're focused on capturing the many opportunities we see to further strengthen and expand the brand. With our Old Town brand, our portfolio of innovative, high-quality watercraft continues to resonate with consumers and we remain committed to building on those strengths to drive sustainable growth over time. Overall, our results reflect the strength of our portfolio and the progress we are making against our strategic priorities. By remaining focused on innovation, expanding our digital and e-commerce presence, and driving operational efficiencies, we are positioning the business to perform through a range of market conditions and create long-term value. Now, I will turn the call over to Asad for more details on the financial.

Disclaimer

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