JOUT - Johnson Outdoors shares crash as supply chain problems curtail sales

Johnson Outdoors (NASDAQ:JOUT) shares cratered on Monday morning after its second quarter results reflected a sharp contraction in both sales and profits. Net sales in the second quarter declined 8 percent from 2021, led lower by a 19 percent slide in fishing products due to increased supply chain disruptions that prevented the company from capitalizing on demand. The bottom line was not much better as operating profits were halved to $15.4 million from $36 million and net income for the first fiscal six months fell to $20.8 million from $47.7 million in the prior year period. Gross margin declined by 860 basis points over the first six months of the fiscal year as well as increased material and freight costs weighed on results “As we work through persisting supply constraints, this fiscal year we are strategically maintaining higher inventory levels as well as seeking alternative sources for key components where possible,”

For further details see:

Johnson Outdoors shares crash as supply chain problems curtail sales