REI Co-op (Recreational Equipment Inc) ended last year with $3.53 billion in revenue, a 6.2 per cent decline compared to the prior year, as macroeconomic pressures weighed on the outdoor retail category.

The US-based outdoor retailer reported a net loss of $156.4 million, citing increased investment in its workforce, members and non-profit partners. Due to merchandising and operational gains, it delivered an improved gross margin of 40.4 per cent, up 1.7 percentage points from the previous year.

Despite the hiccups, the business still reinvested $282 million into its community. This includes $84.8 million for employee incentives and profit sharing, and $189 million distributed to members through rewards. 

CEO Mary Beth Laughton acknowledged the difficulties of the past few years but reaffirmed the brand’s commitment to its purpose.

“It’s this community, and the incredible work it does in support of our public lands and the inclusive future we seek to build, that drew me to REI,” she added.

REI added more than 1 million new members and opened 10 new stores last year, including its first in Kentucky. The company also advanced its sustainability agenda, reducing emissions by 7 per cent and achieving zero waste across all domestic operations.

Founded in 1938, REI is the largest consumer co-op in the US, with a membership base of more than 25 million. The company is headquartered near Seattle.