Camelbak raised its sales by 6.4 percent to $42.8 million in the first quarter of 2013, and its operating earnings jumped by 25.1 percent to $8.9 million, as its gross margin improved by 0.7 percentage points to 45.9 percent.
Hydration systems and bottles represented about 88 percent of Camelbak's sales, up from 84 percent in the same period a year ago. Out of the brand's total turnover, 21 percent came from outside the U.S., up from 20 percent.
Sales to U.S. military institutions took up 36 percent of Camelbak's turnover, compared with 35 percent a year ago, and they influenced the results to a large extent. A continuous decline in demand from the U.S. Military led to a drop in sales of gloves, which carry lower gross margins than other products. Camelbak continued to supply hydration packs to the U.S. Marine Corps under a contract that was substantially completed during the latest quarter.
Higher sales and profit increases were recorded at the two other major operations of the Compass Diversified group that owns Camelbak – Fox Factory and Liberty Safe. The group's total net sales thus increased by 23.7 percent to $241.6 million in the quarter, resulting in a net profit of $1.6 million against a net loss of $786,000 in the same period of 2011.