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While indoor athletic activities were curtailed this summer and fall due to Covid, outdoors was a different matter. Items such as bicycles and running shoes were flying off the shelves.
Berkshire Hathaway’s Brooks Running reported record third quarter global revenue up 49 percent year over year, leading to a 2020 outlook of 27 percent growth.
“We believe in the positive power the run can create in someone’s day and its additive benefits over time. It is also an effective antidote in troubling times, and we’ve seen that prove true as running participation increased since March,” said Jim Weber, CEO at Brooks Running. The 2020 running boom created amidst the pandemic has been driven by people running for mental and physical health.
According to Brooks sales data, the brand gained 1.6 million runners through October of this year.
“We have worked alongside our retail, factory and distribution partners to ensure those who want to run can find the product they trust and need to bring positive energy into their lives,” Weber notes.
Despite challenges and uncertainty felt around the world caused by COVID-19 and an ensuing volatile economy, Brooks came into the global pandemic with strong product lines. Market share growth accelerated in Q3 as the brand added new runners.
According to The NPD Group, Brooks captured the largest share increase year-to-date through September in the U.S. adult performance running footwear category, gaining 4 share points versus the same period in 2019.
© 2020 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.