May 10, 2019
What started out looking like a threat turned into a promise as the U.S. raised duties on $200 billion worth of China imports to 25% from 10%, effective today, including a number of key sporting goods categories.
Dorel’s Sports segment swung to an operating profit of $4,501,000 in Q1 from a loss of $774,000 last year that included a $7 million bad debt writedown from the Toys “R” Us bankruptcy, but sales dropped 11% to $184,544,000 from $206,687,000.
Net loss for the final quarter was $5,286,346 compared to a loss of $2,553,196 on 52% higher sales of $1,773,589 vs. $1,166,126 at the activewear company, which opened two new stores in Q4 in Williamsburg, Brooklyn, and, Toronto.
March retail imports were lower than forecast, coming in at 1.61 million Twenty-Foot Equivalent Units, down 4.4% year-on-year, according to the NRF’s Global Port Tracker, but it expects unusually high import levels for the remainder of the spring as retailers rush to stock up before tariffs push up supplier prices.
The Chinese footwear maker’s manufacturing sales gained an implied 3% to $515,078,000 from $499,390,000 last month and its Pou Sheng retail business also increased by 3% to $362,851,000 from $353,866,000.