CamelBak 2012 sales up 12 percent in 2012, officials cautious of military cuts in 2013
CamelBak reported a 12 percent increase in sales for 2012, taking in $157.6 million thanks to a lift in hydration system and bottle sales. But officials cautioned that a U.S. Marine Corps. contract was winding down for 2013.
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CamelBak reported a 12 percent increase in sales for 2012, taking in $157.6 million thanks to a lift in hydration system and bottle sales.
But the California-based company, owned by Compass Diversified Holdings (NYSE:CODI), issued caution that a contract to supply hydration systems to the U.S. Marine Corps, which represented “a substantial portion of the increase” would wind down in early 2013, and impact next year’s results after the first quarter.
About 38 percent of CamelBak’s business relies comes from the military, officials said. That’s already down from 41 percent in 2011, as the wars in Iraq and Afghanistan wind down. That means, at least for 2012, CamelBak, successfully made up for some of those military losses in its outdoor and active categories.
When asked Thursday by investors about how the federal government sequester would also affect business moving ahead, officials said they were concerned, but unsure how big of an effect those cuts would make. (Click here to read recent coverage by SNEWS on how the sequester might affect the outdoor industry.)
To see CamelBak’s full 2012 results (as part of Compass’ earnings report) click here. To see a transcript of management’s conference call, click here.
