- Johnson Outdoors delivered little in the way of material positive or negative surprises in Q2 2025.
- Progress on cost-out was modest after adjusting for non-underlying items, and the company needs to work harder on expense savings.
- Downside earnings risk relating to tariffs is difficult to quantify, and it is unclear how much of the group’s product manufacturing and assembly is completed domestically.
- After recent share price gains, Johnson Outdoors no longer screens as very cheap relative to valuation, and as such, a downgrade to Hold is warranted.
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