Analogy 1: Clarus is like a smaller VF Corporation, owning a portfolio of outdoor and adventure equipment brands such as Black Diamond, Rhino-Rack, and Sierra Bullets.

Analogy 2: Imagine an LVMH or Kering, but instead of luxury fashion, it acquires and grows high-performance outdoor and adventure gear brands.

• Black Diamond Equipment: High-performance gear and apparel for climbing, skiing, and mountain sports activities.
• Rhino-Rack: Robust vehicle roof racks, trays, and various accessories designed for transporting gear and enhancing outdoor utility.

Major Customers of Clarus Corporation (CLAR)

• Outdoor Sports Enthusiasts: This category includes individuals engaged in activities such as climbing, skiing, mountaineering, hiking, and other mountain sports. These customers purchase gear, equipment, and apparel primarily under the Black Diamond and PIEPS brands.
• Shooting Sports Participants & Hunters: This category comprises individuals involved in recreational shooting, competitive shooting, hunting, and ammunition reloading. These customers purchase ammunition and components primarily under the Sierra and Barnes brands.
• General Consumers seeking Outdoor-Focused Personal Care: This category includes consumers interested in skincare and personal care products designed for active lifestyles and outdoor pursuits, primarily through the SKINourishment brand.

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Warren B. Kanders Executive Chairman

Warren B. Kanders has served as Executive Chairman of Clarus' Board of Directors since December 2002 and as a director since June 2002. Since 1990, Mr. Kanders has been the President of Kanders & Company, Inc., a private investment firm that makes investments in and provides consulting services to public and private entities. From January 1996 until its sale to BAE Systems plc in July 2007, he served as Chairman of the Board and from April 2003 as Chief Executive Officer of Armor Holdings, Inc., a New York Stock Exchange-listed company that manufactured and supplied military and armored vehicles and safety products. Mr. Kanders is also the CEO and Chairman of Cadre Holdings Inc. He was a founder of Clarus.

John C. Walbrecht President and Chief Executive Officer

John C. Walbrecht has served as President and Chief Executive Officer of Clarus. He was promoted to Clarus president in March 2018, having previously served as president of the company's Outdoor Group for 18 months. Mr. Walbrecht brings over 30 years of executive leadership experience from various active outdoor brands. Prior to joining Black Diamond (now Clarus), he was president and CEO of Mountain Hardwear, a subsidiary of Columbia Sportswear, and before that, president and CEO of Fenix Outdoor. He also held senior leadership roles at Spyder Active Sports, Timberland, and Dr. Martens.

Michael J. Yates Chief Financial Officer

Michael J. Yates was appointed Chief Financial Officer of Clarus in January 2022. He has nearly 35 years of experience in financial management, executive leadership, accounting, and M&A. Before joining Clarus, Mr. Yates worked at IDEX Corporation (NYSE: IEX), an S&P 500 diversified engineered products company, where he held several accounting and financial executive leadership positions, including chief accounting officer from 2010 to 2021, interim CFO, and corporate controller. Earlier in his career, he worked at PricewaterhouseCoopers and KPMG.

Aaron J. Kuehne Executive Vice President & Chief Operating Officer

Aaron J. Kuehne was promoted to Executive Vice President & Chief Operating Officer in January 2022. He joined Clarus (formerly Black Diamond) in September 2010 and previously served as the company's CFO, Secretary, and Treasurer from 2013 to 2021. During his tenure, Mr. Kuehne has been instrumental in implementing Clarus' operating model and supporting its organic and inorganic growth. Before joining Black Diamond, he was an audit manager at KPMG and Controller at Certiport (DE), Inc.

Neil Fiske President, Black Diamond Equipment

Neil Fiske has served as President of Black Diamond Equipment, a Clarus brand, since February 2023. He previously worked at Marquee Brands, a brand accelerator. Mr. Fiske has nearly 20 years of experience as a CEO in the outdoor, active, and apparel industries. Prior to Marquee Brands, he was CEO of companies such as Billabong International, Eddie Bauer, and the Bath and Body Works division of L Brands.

The clear emerging threat for Clarus (CLAR) stems from the increasing ease of entry and rapid scaling of highly specialized, digitally native, direct-to-consumer (D2C) brands within the outdoor equipment and lifestyle market. These emerging competitors leverage digital channels to build strong community-driven brands, often with a hyper-focus on specific niches (e.g., ultralight gear, niche climbing equipment, hyper-sustainable apparel) and compelling brand narratives (e.g., radical transparency, deep environmental commitment). By bypassing traditional retail distribution and engaging directly with consumers, these agile entrants can quickly gain market share, erode brand loyalty, and outcompete established brands like Black Diamond on specific attributes (such as perceived authenticity, responsiveness, or specialized innovation) and reach, similar to how digital-first content platforms challenged traditional media.

Addressable Markets for Clarus Corporation's Main Products and Services

Outdoor Equipment (Brands include Black Diamond, PIEPS (until July 2025))

• The global Outdoor Gear and Equipment Market was valued at USD 61.7 billion in 2025 and is projected to reach USD 111.78 billion by 2035, growing at a Compound Annual Growth Rate (CAGR) of 5.8%. North America accounted for the largest market share of 40.41% in 2024.
• The global Rock Climbing Gear Market was valued at USD 2.17 billion in 2025 and is projected to reach USD 6.1 billion by 2034, exhibiting a CAGR of 12.16%. The United States market size for climbing gear is projected at USD 0.73682 billion in 2025, Europe at USD 0.56076 billion in 2025, and China at USD 0.55511 billion in 2025.
• The global Ski Gear & Equipment Market size was USD 17.74 billion in 2025 and is forecasted to reach approximately USD 28.53 billion by 2034, expanding at a CAGR of 5.42%. The North America market size surpassed USD 7.24 billion in 2024, and the U.S. market size was USD 5.64 billion in 2024.
• The global Avalanche Safety Equipment Market was valued at US$1.05 billion in 2024 and is projected to reach US$1.65 billion by 2031, growing at a CAGR of 6.8%. Europe and North America collectively account for nearly 60% of this market.

Ammunition/Reloading Components (Brand: Sierra Bullets)

• The global Ammunition Reloading Equipment Market was valued at approximately USD 4.5 billion in 2023 and is projected to reach around USD 7.9 billion by 2032, growing at a CAGR of 6.4%. North America is the dominant market for ammunition reloading equipment.

Adventure/Vehicle-based Overlanding (Brands include Rhino-Rack, MAXTRAX, TRED Outdoors)

• The global Automotive Roof Rack Market was valued at USD 1.66 billion in 2024 and is projected to grow to USD 2.91 billion by 2035, with a CAGR of 5.23%. North America holds the largest market share in this segment, accounting for 48.3%.
• The global Overlanding Accessories Market size was valued at USD 2.7 billion in 2024 and is forecasted to reach USD 6.4 billion by 2033, growing at a robust CAGR of 9.7%.

1. Continued Growth in the Adventure Segment: Clarus's Adventure segment has demonstrated strong performance, with a 16% increase in sales in Q3 2025, primarily driven by robust results in the core Australian market and contributions from the RockyMounts acquisition. The company is actively positioning this segment for a "much stronger, more innovative future."

2. Success and Expansion of the Black Diamond Apparel Line: The revamped Black Diamond apparel line within the Outdoor segment has been a key highlight, experiencing a 29% sales growth in Q3 2025. Apparel is considered critical to Clarus's growth strategy, with management's focus on enhanced creative direction and prioritizing profitable products resonating with customers in both retail and direct-to-consumer channels.

3. Strategic Focus on North American Wholesale and Key Customers: Clarus is prioritizing its most profitable channels, evidenced by a 16% rise in North American wholesale revenue for the Outdoor segment. The company continues to emphasize its "best customers" and leverage momentum with national accounts and specialty retailers.

4. Product Innovation and Strategic Simplification: Clarus is implementing strategic simplification efforts across its business segments, focusing on a more streamlined and profitable product mix. This includes reducing discontinued merchandise and renewing emphasis on product innovation to improve overall margins and enhance long-term profitability.

5. Market Expansion in the Americas and Europe for the Adventure Segment: Looking ahead, Clarus aims to unlock growth opportunities for its Adventure segment in the Americas and Europe. The company has taken steps such as opening a 3PL warehouse in the Netherlands to better serve customers in the Nordic, U.K., and broader European markets.

Share Repurchases

• Clarus' board authorized a $50 million share repurchase program.
• No shares were repurchased under this program in the 12 months ending June 30, 2024.

Share Issuance

• Clarus' shares outstanding increased from 31.13 million in 2020 to 38.40 million as of November 2025.
• This includes an increase of 15.76% in 2021 and 3.44% in 2023.

Outbound Investments

• In October 2020, Clarus acquired certain assets and liabilities of the Barnes business.
• The company acquired Australia-based Rhino-Rack Holdings Pty Ltd for $198 million in July 2021, and Australia-based MaxTrax Australia Pty Ltd in December 2021.
• Clarus expanded its Adventure segment with the acquisition of Australia-based TRED Outdoors Pty Ltd in October 2023, and RockyMounts in December 2024, which specializes in bicycle transport products.

Capital Expenditures

• Capital expenditures were $6.7 million in 2024 and $5.7 million in 2023.
• Capital expenditures for 2025 are expected to range between $4 million to $5 million.
• The company's capital allocation has focused on investments in global marketing, operational improvements, and e-commerce initiatives, particularly for the Adventure segment.