Black Diamond reported sales of $39.1 million for the first quarter of this year, up by 18 percent from a year ago on a pro-forma basis, including the sales of Gregory Mountain Products prior to its acquisition. Black Diamond alone scored a 36.3 percent increase to $28.7 million, with gains of 31.1 percent in the U.S. to $12.1 million and 40 percent elsewhere to $16.6 million.
The group posted net income of $1.2 million in the quarter, compared with a loss of $1.0 million in the year-ago period. Excluding exceptional items such as the relocation of Gregory and of the group’s U.S. distribution facilities in Salt Lake City, which have become operational, the company booked a net profit of $4.4 million.
The gross margin declined to 38.6 percent from 39.6 percent a year ago, mainly due to the negative effect of exchange rates on the company’s European sales, which were up in local currencies. The company recorded operating income (Ebit) of $1.9 million against a loss of $2.4 million in the same period a year ago. Operating results before amortization, restructuring charges and other extraordinary items (Ebitda) amounted to $4.6 million.
Black Diamond recently hired more than half a dozen directors and designers and plans to add other managers to assist in the group’s expansion.