Leatt Corporation (LEAT) reported fourth‑quarter 2025 revenue of $16.02 million, a 43 % increase from $11.12 million in Q4 2024, and net income of $464,808, turning a $1.44 million loss into a profit. Earnings per share rose to $0.08 from a loss of $0.07 a year earlier, a swing of $0.15 that reflects the company’s ability to convert higher sales into profit through improved cost control and a favorable product mix.
Full‑year 2025 revenue reached $61.91 million, up 41 % from $44.03 million in 2024, while net income climbed to $3.26 million from a $2.20 million loss. Gross profit margin expanded to 44 % from 40 % in 2024, driven by a stronger mix of high‑margin helmets and footwear and by lower logistics costs thanks to a more efficient dealer network.
Helmet sales grew 59 %, footwear 40 %, and other products, parts and accessories 56 %. Direct‑to‑consumer sales increased 44 % and dealer‑direct sales rose 22 %, underscoring the company’s successful expansion of its e‑commerce platform and its improved dealer mix, which shifted a larger share of sales to higher‑margin channels.
CEO Sean Macdonald said the turnaround was fueled by “strong international demand for our innovative products, improved stocking dynamics and ordering patterns, and a surge in consumer direct sales.” He added that logistical efficiencies and a better dealer mix helped lift gross margins, even as the company navigated uncertainty around global trade tariffs.
Management acknowledged that trade‑tariff uncertainty remains a headwind, but emphasized that the company’s diversified manufacturing footprint—including new facilities in Thailand, Cambodia and Bangladesh—helps mitigate supply‑chain risk and supports continued growth.
The announcement triggered a 6.09 % rise in the company’s share price to $8.70, reflecting investor confidence in the company’s rebound to profitability, double‑digit growth across product categories, and improved gross margins.
Leatt did not provide new forward guidance, but the results suggest a strong trajectory for the next quarter, with the company positioned to sustain momentum through expanded direct‑to‑consumer channels and ongoing product innovation.
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