KMD Brands offered a peek at how its businesses shaped up in the first half of its fiscal year, with Rip Curl seeing double-digit sales growth.

The preliminary results for KMD’s first six months of its fiscal year were released Tuesday in New Zealand.

The surf brand’s 18% sales gain in the six-month period ended Jan. 31 was driven by what KMD called “strong growth” in direct-to-consumer. Meanwhile, the company said Rip Curl’s wholesale business was maintained in the first half.

Rip Curl benefited from a bounce back in travel and international tourism in January, KMD noted. The company said the brand’s business in January alone was up 19% on account of the travel boom.

Rip Curl generated total sales of NZ$536.8 million (US$341.4 million) in KMD’s fiscal year 2022, ended July 31.

The brand had 415 stores at the end of the fiscal year, comprising a mix of company-owned, licensed, and joint venture stores.

The two largest revenue generators for Rip Curl last fiscal year were retail at 46% and wholesale, which accounted for 45% of sales coming from the more than 6,000 doors the brand is in. Nearly half, or about 45% of the Rip Curl business, comes from the Australia and New Zealand region.

Rip Curl, which is KMD’s second-largest operation by sales, began testing its loyalty program, called Club Rip Curl, last fiscal year. KMD also pushed brand visibility in the U.S. with Rip Curl’s sponsorship of the World Surf League Finals. The sponsorship is part of a three-year deal announced with the WSL in 2021 and part of the push to double the size of Rip Curl’s North American business.

KMD, which also owns the Kathmandu and Oboz brands, said first half company-wide sales are expected to be NZ$546 million (US$347.2 million), which is up 34% from a year ago. Earnings before interest, taxes, depreciation, and amortization for that same period is expected to total about NZ$45 million (US$28.6 million).

KMD is expected to release the full results of its first half, including profit numbers, on March 22.

Related story on The Daily by Outdoor Retailer: Oboz Sales Up Big in First Half of Fiscal Year

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