KMD Brands posted lower sales between August 2024 and May 2025 amid weaker performance from Kathmandu and Oboz.
The group’s sales over the 10-month period declined 0.5 per cent while online sales grew 10.7 per cent.
Oboz’s sales slid 4.1 per cent, with its wholesale sales declining through the fiscal second half to date.
However, the company noted that Oboz’s online sales have been variable since the announcement of global tariffs by the US, but remain higher year-to-date.
Meanwhile, Kathmandu’s sales dipped 1 per cent amid market volatility in the past four months due to the unseasonably warm weather in Australia impacting the brand’s insulation product category.
Cooler weather across Australia and New Zealand has driven a strong uptick in retail sales, with June recording a 13.2 per cent year-on-year increase in the first 17 days of the month.
Kathmandu us also looking to capitalise on school holidays and the start of the ski season to maintain this momentum through the end of the financial year.
“While the volatility of Kathmandu’s sales performance is frustrating, we acknowledge that unseasonably warm weather in Australia, including Victoria’s warmest Autumn on record, has negatively impacted sales,” said Brent Scrimshaw, KMD Brands Group CEO and Managing Director.
“Kathmandu’s significant sales improvement, including strong online momentum in recent weeks, reinforces our enduring brand health and strengthens our confidence in the future growth opportunity.”
Rip Curl’s sales grew 0.4 per cent, thanks to its global direct-to-consumer sales continuing to grow through the second half, with its North American flagship stores delivering strong comparable sales results.
Moving forward, KMD Brands said it will launch the new online trading platform for both Rip Curl and Oboz during the first half of FY26.
It noted that since the rollout of Kathmandu’s online platform in May, online sales have grown 26.1 per cent from last year, with the recent Australian public holiday being the highest online sales day for over two years.
“The Group is proactively working on a range of initiatives to unlock future growth opportunities across the portfolio, address short-term market challenges and improve medium to long-term performance and value for shareholders,” said Scrimshaw.
“We expect to update the market on these initiatives at our Investor Day in September.”