Clarus beats Q1 sales estimates on strong demand in outdoor business, cuts FY sales forecast

Clarus

07/05/2026 21:31

Overview

U.S. outdoor equipment maker's Q1 sales rose 2.5%, beating analyst expectations

Adjusted EBITDA for Q1 missed analyst expectations

Company launched strategic review, retaining Jefferies as financial advisor

Outlook

Clarus now sees 2026 sales between $245 mln and $255 mln, down from $255 mln-$265 mln

Company expects 2026 adjusted EBITDA of $3 mln-$5 mln, down from $9 mln-$11 mln

Clarus expects Q2 sales of $51 mln-$53 mln and adjusted EBITDA loss of about $3 mln

Result Drivers

OUTDOOR SEGMENT - Growth driven by higher global wholesale and distributor revenues, partially offset by lower PIEPS and direct-to-consumer sales

ADVENTURE SEGMENT - Revenue growth supported by favorable wholesale market in Australia for Rhino-Rack and MAXTRAX, partially offset by declines in North America

GROSS MARGIN IMPROVEMENT - Margin expansion driven by higher volumes and favorable product mix at both segments

Company press release: ID:nGNX2yd2Df

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$61.90 mln
$61.09 mln (5 Analysts)
Q1 Net Income
-$3.30 mln
Q1 Adjusted EBITDA
Miss
-$1.10 mln
$200,750 (4 Analysts)
Q1 Gross Margin
36.80%
Q1 Capex
$1.60 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the recreational products peer group is "buy"

Wall Street's median 12-month price target for Clarus Corp is $3.25, about 10.5% above its May 6 closing price of $2.94

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 23 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)