KMD Brands reports 5.8% sales decline in Q1

KMD Brands, the parent company of outdoor brands Kathmandu, Rip Curl, and Oboz, has reported a 5.8% decline in total sales for the first quarter of the financial year 2025.

Rip Curl had a 6.7% decrease in sales, while Kathmandu's sales were down 2.7%.

Oboz also experienced an 8.6% drop in sales.

However, there were positive developments in direct-to-consumer sales for Rip Curl and Kathmandu.

Rip Curl's global direct-to-consumer sales were 3.4% lower than the previous year, but they continued to outperform the wholesale channel.

Kathmandu, on the other hand, had a 4.3% increase in total sales in Australia, while sales in New Zealand decreased by 15.4%.

The company said the decline in New Zealand was due to strong end-of-line clearance sales in August last year.

KMD Brands' group gross margin was above last year's level.

The company remains cautious about consumer sentiment, given the challenging global macroeconomic environment.

The first half of the financial year will be dependent on the key Black Friday and Christmas retail trading periods.