Investors return to fitness: Nautilus regains NYSE compliance

Fitness equipment companies are recapturing their respect on Wall Street. On Monday, Nautilus Inc. regained its compliance with NYSE, a month after Cybex made good with the Nasdaq. Investors have sent both stocks up significantly in 2012.
Publish date:

Fitness equipment companies are recapturing their respect on Wall Street.

On Monday, Nautilus Inc. (NYSE:NLS) announced that it had regained compliance with the New York Stock Exchange’s listing standards after seeing an increase its market capitalization.

Nautilus CEO Bruce Cazenave, who came aboard in May 2011, said the company has improved profitability by introducing new products and reducing overhead costs.

Two weeks ago, Nautilus officials said the company finished 2011 with sales up 7.1 percent to $180.4 million for the full year, while it swung to a yearly profit of $1.4 million, versus a loss of 22.8 million in 2010. Higher sales of bikes and ellipticals at retail and its TreadClimber product through direct channels fueled the improvement, Cazenave said.

Nearly two years ago, the NYSE warned Nautilus that it wasn’t in compliance with the market’s listing standards relating to minimum average global equity market capitalization and total stockholders' equity, either of which needed to be above $50 million over a consecutive 30-day trading period.

With its recent improved performance and increased stock price, Nautilus officials said the company’s average global market capitalization stood at $83 million as of March 23, helping it regain compliance.

The news comes a month after fellow fitness equipment manufacturer Cybex (Nasdaq:CYBI) regained its market compliance in late February. The company had faced a possible delisting from the Nasdaq with its stock price below $1 per share and its stockholders’ equity less than $10 million. That all changed after early February when Cybex announced a lawsuit settlement, which had plagued its balance sheet for the course of nearly two years. A strong earnings finish for Cybex in 2011 helped as well.

Wall Street investors are cheering the recent news for both companies. Year-to-date, through March 26, Nautilus shares are up 62 percent to more than $2.80 per share, and Cybex share are up a whopping 450 percent to more than $2.30 per share.

--David Clucas


Nautilus looks to revive brands, get "FIT"

There's nothing to tip-toe around: After a long growth period that included several high-profile acquisitions and huge stock gains, The Nautilus Group hasn't met its own, Wall Street's or its customers' high expectations lately. That's where new president and CEO, Gregg Hammann, more

Fitness financials: Analyst tells investors to wait on Nautilus, plus Cybex, Johnson Health Tech, Dick's, Hibbett, Sara Lee, Foot Locker, Finish Line, Winmark/Play it Again, Town Sports, Wal-Mart

For May 16-22 Analyst issues concerns, tells investors to wait on NautilusAnalyst Merriman Curhan Ford on May 17 issued a newsletter that SNEWS® obtained expressing concern over the quality of earnings for Nautilus as well as trends in the balance sheet. The group concluded by more

Fitness financials: Nautilus 1Q retail sales plummet; Bally shares to be de-listed from NYSE; plus Brunswick/Life, Cybex, Amer Sports/Precor, Matrix Fitness, Life Time Fitness, Everlast, Winmark, GSI Commerce

Nautilus 1Q sales plummet, guidance revised, WSJ notes stock sales by insidersIn a major dive after consecutive quarters of increasing or steady sales, Nautilus has announced that its first quarter of 2007 was bleak, with most of the gloomy results coming from the retail segment. more