Johnson Outdoors Inc. (NASDAQ:JOUT) Q4 2018 Earnings Conference Call Transcript

Dec 07, 2018 • 11:00 am ET


Johnson Outdoors Inc. (NASDAQ:JOUT) Q4 2018 Earnings Conference Call Transcript


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Hello, everyone. And welcome to the Johnson Outdoors' Fourth Quarter 2018 Earnings Conference Call. Today's call will be lead by Helen Johnson-Leipold, Johnson Outdoors' Chairman and CEO. Also on the call is David Johnson, VP and CFO. Prior to the question-and-answer session, all participants will be placed in a listen-only mode. After the prepared remarks the question-and-answer session will begin.

(Operator Instructions) This call is being recorded. Your participation implies consent to our recording this call. If you do not agree to this terms simply drop off the line.

I would now like to turn the call over to Patricia Penman from Johnson Outdoors. Please go ahead, Ms. Penman.

Patricia Penman

Thank you Bridget. Good morning everyone. Thank you for joining us for our discussion of Johnson Outdoors results for the 2018 fiscal fourth quarter and full-year. If you need a copy of today's news release it is available on our website at under Investor Relations.

(Forward-Looking Cautionary Statements)

If you have additional questions following the call, please contact Dave Johnson or me. It is now my pleasure to turn the call over to Helen Johnson-Leipold.

Helen Johnson-Leipold

Thanks Pat. Good morning and thanks for joining us, I'll begin with an overview of our results due perspective on our brands performance this year and outline key priorities for next year. Dave will review financial highlights and then we'll take your questions. Johnson Outdoors have record results in fiscal 2018. Annual sales grew 11% to $544 million, profits grew 38% to $63 million and net income expanded 16% to $40.7 million or $4.05 per diluted share.

Strong positive momentum continued into our fiscal fourth quarter, which is the period when the outdoor rec industry is in ramped down mode. Total company net sales were $91.1 million, a slight decline versus last year's record high fourth quarter revenue. Dave, will discuss the impact of taxes for the year and the quarter in his remarks.

Overall, we had a great year. Continued new product successes in our flagship Minn Kota, Humminbird and SCUBAPRO brands for outstanding results behind strong growth in every segment and channel. This was largely due to an extraordinarily high level of new products in our fishing portfolio.

Our fishing brands delivered against our goal of bigger, better, new products success. The pioneering Minn Kota Ultrex fishing motor, is a great example. The award wining patented Ultrex is the most technologically advance electrical cable steer motor, the first and only to get foot, pedal control anchors all are breakthrough steering and navigational features in technology at the tap of a foot.

This is a group of avid anglers who've locked to this technical leap and made it their motor of choice. For respective Ultrex have exceeded exception in both year-one and year-two in the market. Additionally, last years re-stage of our electric steer motors which upgraded wireless and GPS technology in this units powered growth across this entire line-up. Legacy technology innovation i-Pilot and i-Pilot Link also added to Minn Kota's success for the