Kathmandu shares have rallied to a nine-month high after the adventure gear retailer's sales grew strongly in the third quarter.
Kathmandu's same store sales jumped 11.5 per cent in the 13 weeks to April 30 and total group sales rose 11.9 per cent due, the company said, to better promotions and strong sales of new products.
However, Kathmandu added that its winter sale in June and July will still be crucial to its full-year result.
Investors were impressed with the sales update and drove the dual-listed company's shares on the ASX up nine cents, or 4.8 per cent, to $1.97.
In the company's presentation slides, it said Amazon's launch in Australia presented both opportunities and risks.
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Kathmandu's online sales accounted for 7.7 per cent of its sales in Australia and six per cent in New Zealand.
Buoyant online sales helped lift Kathmandu's first-half profit by 6.4 per cent to $NZ10 million ($A9.1 million), as reported in March.
The company told investors on Thursday that it continues to invest in systems to boost its website.
It has also poured a significant amount of capital into expanding its store network in the past 10 years and currently has 161 stores across Australia and New Zealand.
The company wants to eventually hit 180 stores.
It is ahead of the competition so far, when it comes to store numbers, with BCF in second place with 134 stores, Macpac with 48, Anaconda with 41, and Mountain Design with 37.
