Tariffs could cost Johnson Outdoors up to $9m in 2019

Article Media Click images to enlarge +

US outdoor leisure goods manufacturer, Johnson Outdoors, expects to lose up to $9m from incurred tariffs in 2019.

Tariffs incurred from manufacturing in China could cost Johnson Outdoors up to $9m in the current financial year.

David W. Johnson, Vice President and Chief Financial Officer of the company, maker of the award–winning Humminbird, Minn-Kota and Old Town Canoes & Kayak fishing brands – told investors at its First Quarter results presentation that it is predicting an impact of between $6m to $9m on its 2019 profits.

He added that the group is working on various tariff mitigation efforts to reduce its exposure.

The group reported a 10.5% slide in profits for the period ended December 28, 2018, impacted by a shift in new product releases in the fishing category and weakness in the diving sector.

“We are building momentum behind an exciting new product line-up, particularly in fishing, as we head into the primary selling period for our warm weather outdoor products,” said Helen Johnson-Leipold, Chairman and Chief Executive Officer.

“At this time, we continue to anticipate year-over-year-growth in revenue in fiscal 2019. We believe our brands are well positioned for marketplace success and confident in Johnson Outdoors sustained industry leadership long-term.”