NYSE$KTB

Kontoor Brands Inc. · Q4 2024 earnings

Q4 2024 earnings · · Before market open · Investor relations

Briefing

Kontoor Brands reported revenue growth and margin expansion in Q4 2024.

Kontoor Brands posted Q4 2024 revenue of $699 million, representing a 4% year-over-year increase. Wrangler revenue grew 9%, while Lee revenue declined 6%. The company achieved a gross margin of 43.7% and an operating income of $84 million. Adjusted EPS came in at $1.38, reflecting a 2% increase compared to the prior year.

  • Revenue grew 4% year-over-year to $699 million, driven by Wrangler brand strength.
  • Operating income increased to $84 million, with an adjusted operating margin of 14.5%.
  • Adjusted EPS rose to $1.38, a 2% year-over-year increase.
  • U.S. revenue increased 6%, while international revenue declined by 1%.

Headline financials

Total Revenue

$699M

Previous: $670M+4.4%
EPS (adj)

$1.38

Previous: $1.35+2.2%
Free Cash Flow

$368M

Previous: $357M+3.1%
Net Income

$64M

Previous: $68.8M-7.0%
Operating Income

$84.3M

Previous: $75.4M+11.7%
Gross Profit

$306M

Previous: $279M+9.4%

Revenue & EPS history

Kontoor Brands · Revenue · Quarterly

$699M

Q4 2024+4.4%vs Q4 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Kontoor Brands · $613M total across 3 segments · Q1 2026

  • Wrangler
    $436M
  • Helly Hansen
    $165M
  • Other
    $12M

Forward guidance

Kontoor Brands expects modest revenue growth in FY 2025, driven by market share expansion and category expansion.

Tailwinds

  • Revenue expected to be between $2.63 billion and $2.69 billion, up 1% to 3%.
  • Adjusted operating income projected to increase 5% to 7%.
  • Expected EPS between $5.20 and $5.30, reflecting a 6% to 8% increase.
  • Cash from operations anticipated to exceed $300 million.
  • Gross margin expected to expand by 20 to 40 basis points.

Headwinds

  • International revenue expected to face headwinds from currency exchange rates.
  • Retail inventory management could impact sales in the near term.
  • Consumer spending trends remain uncertain globally.
  • Higher product costs could partially offset margin expansion.
  • Foreign currency impact expected to reduce revenue by approximately 1%.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+1.3%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+4.6%

Avg return

30 days after

58%

19 / 33 earnings

Positive

+18.6%

Q4 2025

Best reaction

-17.3%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.4%-1.9%+21.2%
Q4 2025+18.6%+17.7%+6.5%
Q3 2025-9.4%-10.8%-3.3%
Q2 2025+12.4%+24.0%+41.5%
Q1 2025+1.5%+8.0%+7.3%
Q4 2024-13.5%+0.5%-25.7%
Q3 2024+6.6%+10.7%+19.9%
Q2 2024-1.5%-2.2%+6.7%
Q1 2024+5.6%+9.0%+18.0%
Q4 2023-6.8%-7.8%-5.0%
Q3 2023+6.3%+9.7%+19.2%
Q2 2023+16.6%+16.3%+13.7%
Q1 2023-7.9%-9.8%-9.4%
Q4 2022+18.5%+21.7%+9.1%
Q3 2022+10.8%+9.6%+30.7%
Q2 2022+2.1%-1.0%-3.0%
Q1 2022+2.9%+0.0%-2.2%
Q4 2021-3.0%-12.7%-16.5%
Q3 2021+1.5%+5.4%-5.2%
Q2 2021-0.7%-2.0%-6.4%
Q1 2021+0.9%-0.7%-1.3%
Q3 2020+5.3%+14.4%+38.2%
Q2 2020-2.1%+4.0%+13.7%
Q1 2020-8.1%-20.8%+16.2%
Q4 2017-17.3%-18.0%-37.1%
Q4 2019-3.3%-6.6%-60.1%
Q3 2018+1.0%-0.3%+8.5%
Q3 2019-5.8%-5.7%+0.6%
Q2 2018-4.7%+0.8%+11.6%
Q2 2019+16.0%+9.1%+21.5%
Q1 2019+0.5%-4.6%+7.7%
Q4 2018+0.5%-4.6%+7.7%
Q1 2018+0.5%-4.6%+7.7%

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