Clarus Corporation reported fourth-quarter 2024 sales of $71.4 million, a decrease from $76.5 million in the prior year, and full-year 2024 sales of $264.3 million, down 7.6% from 2023. The Adventure segment experienced a 22.9% sales decrease in Q4, while the Outdoor segment saw a 1% increase.
The company recorded a significant GAAP loss from continuing operations of $73.3 million, or $(1.92) per diluted share, in Q4 2024, primarily due to a $44.8 million non-cash impairment of goodwill and indefinite-lived intangible assets in the Adventure segment and a $21.0 million tax expense for a valuation allowance.
Despite the GAAP loss, adjusted EBITDA from continuing operations for Q4 2024 increased to $4.4 million from $1.6 million year-over-year. For the full year 2024, adjusted EBITDA was $6.9 million, slightly down from $7.3 million in 2023.
Clarus provided its fiscal year 2025 outlook, projecting sales between $250 million and $260 million, and adjusted EBITDA from continuing operations between $14 million and $16 million. Free cash flow for 2025 is expected to range from $8 million to $10 million.
The company highlighted the completion of the RockyMounts acquisition in December, which is expected to deepen Rhino-Rack’s product expertise. Management noted continued efforts to simplify the Outdoor segment and invest in the Adventure segment for global scaling.
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