Corporate powerhouse Zumiez posted $184.3 million in revenue during the first quarter of 2025, showing solid performance in North America even as the company wrestles with tariffs and weaker international results.
According to the press release, comparable sales rose 5.5% for the quarter that ended May 3, fueled by strong full-price selling across categories like women’s, men’s, footwear, and accessories.
Hardgoods didn’t fare as well, but the overall momentum in Zumiez’s core regions helped offset that drop.
North America led the way with a 7.4% lift in comparable sales, while sales outside the U.S. and Canada - mainly in Europe and Australia - slipped 2.3%.
The story continued into May, with early Q2 results showing a 1.4% increase in total comparable sales. Again, North America did the heavy lifting with a 5.1% gain, while international stores saw a steeper 14.8% drop.
Zumiez currently operates 731 stores across North America, Europe, and Australia. While the U.S. and Canadian markets continue to show strength, the company is still working to find solid footing overseas.
Its European business, Blue Tomato, which has 87 stores across nine countries, has yet to become profitable. While it narrowed losses in late 2024, the new year started off slower than expected. Still, executives say they’re optimistic that things could pick up later in the year.
Despite the global hiccups, the skate shop rival trimmed its net loss to $14.3 million, compared to a $16.8 million loss this time last year.
The company’s strategy to slow store openings is part of a broader plan to focus on profitability and cash flow, according to CFO Chris Work.
This year, Zumiez plans to open nine new stores, six in North America, two in Europe, and one in Australia.
The company is also continuing to reshape its supply chain. By the end of 2024, about half of Zumiez’s products were sourced from China.
That’s expected to drop to roughly 30% by the end of 2025 as the company moves toward more diversification.
Longer-term, the goal is for no single country to account for more than 20% of sourcing. In the meantime, Zumiez is looking at bundle deals and product packages to help customers manage rising prices.