📊 CLAR Key Takeaways
Investment Thesis
Clarus Corp is experiencing severe operational distress with negative operating margins of -23.8% and negative free cash flow of -9.9M, indicating the company is burning cash despite maintaining a healthy balance sheet. The company is unprofitable with a net loss of -46.6M on declining revenue (-5.2% YoY), and operating cash flow is negative, suggesting fundamental business model challenges rather than temporary headwinds.
CLAR Strengths
- Strong balance sheet with zero long-term debt and $36.7M in cash provides runway to address operational issues
- Solid liquidity position with current ratio of 4.23x and quick ratio of 2.18x indicates ability to meet short-term obligations
- Gross margin of 33.1% demonstrates reasonable pricing power and cost structure at the gross profit level
CLAR Risks
- Persistent operating losses with -23.8% operating margin and negative $59.7M operating income indicate structural profitability crisis
- Negative free cash flow of -9.9M means the company is consuming cash reserves; at this burn rate, the $36.7M cash position provides limited runway (3-4 years)
- Declining revenue of -5.2% YoY combined with inability to control operating expenses suggests market share loss and/or demand weakness in the sporting goods sector
- Negative operating cash flow of -4.7M indicates core business operations are not generating cash, raising questions about sustainability
Key Metrics to Watch
- Operating cash flow trend - critical to determine if negative OCF improves or deteriorates further
- Revenue stabilization and growth trajectory - must see positive YoY growth to restore credibility
- Path to operating profitability - need clear visibility on cost reduction initiatives or operational improvements
- Cash burn rate and remaining liquidity runway - monitor how long the company can sustain operations at current burn rate
CLAR Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 4.23x current ratio provides a solid financial cushion.
CLAR Profitability Ratios
CLAR vs Default Sector
How Clarus Corp compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CLAR Balance Sheet & Liquidity
CLAR 5-Year Financial Trend
5-Year Trend Summary: Clarus Corp's revenue has declined by 24% over the 5-year period, indicating business contraction. The most recent EPS of $-0.27 indicates the company is currently unprofitable.
CLAR Growth Metrics (YoY)
CLAR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $67.1M | -$1.6M | $-0.04 |
| Q2 2025 | $55.2M | -$5.2M | $-0.14 |
| Q1 2025 | $60.4M | -$5.2M | $-0.14 |
| Q3 2024 | $67.1M | -$1.3M | $-0.03 |
| Q2 2024 | $56.5M | -$493.0K | $-0.01 |
| Q1 2024 | $69.3M | $1.6M | $0.04 |
| Q3 2023 | $100.1M | -$1.3M | $-0.03 |
| Q2 2023 | $83.7M | -$493.0K | $-0.01 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CLAR Capital Allocation
CLAR SEC Filings
Access official SEC EDGAR filings for Clarus Corp (CIK: 0000913277)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CLAR
What is the AI rating for CLAR?
Clarus Corp (CLAR) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CLAR's key strengths?
Strong balance sheet with zero long-term debt and $36.7M in cash provides runway to address operational issues. Solid liquidity position with current ratio of 4.23x and quick ratio of 2.18x indicates ability to meet short-term obligations.
What are the risks of investing in CLAR?
Persistent operating losses with -23.8% operating margin and negative $59.7M operating income indicate structural profitability crisis. Negative free cash flow of -9.9M means the company is consuming cash reserves; at this burn rate, the $36.7M cash position provides limited runway (3-4 years).
What is CLAR's revenue and growth?
Clarus Corp reported revenue of $250.4M.
Does CLAR pay dividends?
Clarus Corp pays dividends, with $3.8M distributed to shareholders in the trailing twelve months.
Where can I find CLAR SEC filings?
Official SEC filings for Clarus Corp (CIK: 0000913277) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CLAR's EPS?
Clarus Corp has a diluted EPS of $-1.21.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.