KMD Brands (NZE:KMD, ASX:KMD) expects fiscal 2026 sales to be in the range of NZ$1.040 billion to NZ$1.044 billion, up roughly 5% at the midpoint from a year ago, according to a Wednesday filing with the Australian bourse.
The company projects annual underlying earnings before interest, taxes, depreciation, and amortization of between NZ$38 million and NZ$41 million, an increase of over 123% at midpoint from the prior year.
The outdoor retail company will also wind down operations at its Southeast Asian manufacturing facility over the next 12 months. The divestment is expected to generate net property proceeds of NZ$5 million to NZ$7 million.
Sales at its Kathmandu brand have maintained steady improvement during the year, due to strong demand for rainwear, fleece and base layer product lines. Meanwhile, its Rip Curl business continues to be impacted by weaker consumer sentiment in Australia and grown promotional activity from competitors.
The company's New Zealand shares were up 2% in recent Wednesday trade.