Clarus Corporation reported first-quarter 2025 sales of $60.4 million, a 13% decrease from $69.3 million in the prior year's quarter. Sales in the Outdoor segment decreased 6% to $44.3 million, while the Adventure segment saw a 28% decline to $16.1 million, partially offset by $1.3 million from the RockyMounts acquisition.
The company's gross margin decreased to 34.4% from 35.9% year-over-year, primarily due to lower volumes and an unfavorable product mix, including the sale of discontinued PFAS inventory. Adjusted EBITDA from continuing operations was a negative $(0.8) million, down from $2.0 million in the prior year quarter.
Clarus announced the appointment of Tripp Wyckoff as the new Managing Director of its Adventure segment, replacing Mathew Hayward, effective immediately. Mr. Wyckoff joined the company in July 2024 and has over 20 years of experience in senior leadership roles in the outdoor industry.
The company also entered into an agreement to sell its PIEPS snow safety brand and JetForce avalanche pack intellectual property for €7.8 million. This divestiture is expected to close before the end of the third quarter of 2025 and aligns with Clarus's strategy to simplify its business and rationalize product categories.
Due to ongoing macroeconomic uncertainty stemming from U.S. global trade policies and potential tariffs, Clarus withdrew its previously issued full-year 2025 revenue, adjusted EBITDA, capital expenditures, and free cash flow guidance. The company stated it would provide updated guidance once visibility improves.
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