Finnish fishing tackle manufacturer Rapala VMC Corporation reported an 11% rise in net sales to 134.8 million euros in the first half of 2026, driven primarily by strong demand in North America.
Comparable operating profit jumped 57% year-over-year to 13.5 million euros, lifting the operating profit margin to 10.0% from 6.9% in the prior-year period. Reported operating profit totaled 15.8 million euros. Net profit surged to 8.5 million euros, up from 2.2 million euros, while basic and diluted earnings per share increased to 0.19 euros from 0.02 euros.
North America accounted for 57% of total sales, with H1 revenue reaching 77.2 million euros, a 19% increase in comparable currencies. Q2 sales in the region rose 18% to 36.7 million euros. Europe’s H1 sales were essentially flat at 44.4 million euros, with Q2 replenishment sales down 4% to 21.7 million euros. The Rest of World segment contributed 13.2 million euros in H1 sales, up 9% on a comparable basis, led by Latin America, including incremental sales from a new Okuma distributorship in Chile.
Cash flow from operations more than doubled to 16.7 million euros, while excluding working capital effects, it improved to 18.5 million euros. Inventory declined to 80.1 million euros, representing 33.8% of sales compared with 36.4% a year earlier. Net interest-bearing debt stood at 77.7 million euros at the end of Q2, with a leverage ratio of 2.28, down from 3.59 in Q1.
The company’s full-year 2026 comparable operating profit is projected between 12 million euros and 14 million euros, up from 8.4 million euros in 2025. Rapala also noted a 2.4 million euro benefit from other items affecting comparability, primarily due to gains from refunding U.S. tariffs under the International Emergency Economic Powers Act. A small negative mark-to-market adjustment of 0.1 million euros on operative currency derivatives was recorded.
