YETI(YETI) - 2024 Q3 - Quarterly Results

Sales Performance - Net sales increased 10% to 478.4 million, with Coolers & Equipment up 12% and Drinkware up 9%[3][4] - International net sales grew 30%, marking the fourth consecutive quarter of over 30% growth outside the U.S.[3] - Net sales for the three months ended September 28, 2024, were 478.44 million, a 10.3% increase compared to $433.56 million in the same period last year[36] - Net sales for the nine months ended September 28, 2024, were$1.28 billion, a 12.7% increase compared to $1.14 billion in the same period last year[36] - Net sales for the nine months ended September 28, 2024, grew to$1.28 billion, up from $1.14 billion in the same period last year[42] - Total net sales for the three months ended September 28, 2024, were$478,440 thousand, with wholesale contributing $197,629 thousand and direct-to-consumer contributing$280,811 thousand[48] - Total net sales for the nine months ended September 28, 2024, were $1,283,333 thousand, with wholesale contributing$564,326 thousand and direct-to-consumer contributing $719,007 thousand[49] Gross Profit and Margin - Gross margin remained flat at 58.0$277.73 million, a 10.5% increase compared to $251.25 million in the same period last year[36] - Gross profit for the nine months ended September 28, 2024, was$736.85 million, a 17.3% increase compared to $627.96 million in the same period last year[36] - Adjusted gross margin for the nine months ended September 28, 2024, improved to 57.8$0.66, and adjusted EPS rose 18% to $0.71[3][10][11] - Net income for the three months ended September 28, 2024, was$56.28 million, a 31.9% increase compared to $42.66 million in the same period last year[36] - Net income for the nine months ended September 28, 2024, was$122.54 million, a 34.2% increase compared to $91.29 million in the same period last year[36] - Net income for the nine months ended September 28, 2024, increased to$122.5 million from $91.3 million in the same period last year[40] - Adjusted net income for the nine months ended September 28, 2024, rose to$149.4 million from $118.2 million in the prior year[44] - Adjusted net income per diluted share for the nine months ended September 28, 2024, increased to$1.74 from $1.35 in the same period last year[44] - Adjusted net income for fiscal 2024 is forecasted at$227,896 thousand, compared to $196,987 thousand in fiscal 2023[51] - Adjusted net income per diluted share is anticipated to rise to$2.65 in fiscal 2024 from $2.25 in fiscal 2023[51] Operating Income and Expenses - Adjusted operating income increased 11$79.2 million, representing 16.6% of adjusted sales[9][10] - Adjusted operating income for the nine months ended September 28, 2024, increased to $198.8 million from$160.2 million in the same period last year[44] - Adjusted operating income as a percentage of adjusted net sales is expected to increase to 16.5% in fiscal 2024 from 15.6% in fiscal 2023[51] - Adjusted SG&A expenses as a percentage of adjusted net sales decreased to 42.4% for the nine months ended September 28, 2024, from 41.7% in the prior year[42] Cash Flow and Capital Expenditures - Inventory increased 8% to $370.2 million, while cash remained stable at$280.5 million[22] - Capital expenditures for 2024 are expected to be approximately $50 million, primarily for technology and new product innovation[24] - Cash and cash equivalents as of September 28, 2024, were$280.46 million, a decrease of 36.1% compared to $438.96 million as of December 30, 2023[38] - Net cash provided by operating activities decreased to$35.8 million for the nine months ended September 28, 2024, from $114.8 million in the prior year[40] - Cash and cash equivalents decreased to$280.5 million as of September 28, 2024, from $438.9 million at the beginning of the period[40] Inventory and Assets - Inventory as of September 28, 2024, was$370.23 million, a 9.8% increase compared to $337.21 million as of December 30, 2023[38] - Total assets as of September 28, 2024, were$1.27 billion, a 1.9% decrease compared to $1.30 billion as of December 30, 2023[38] - Total liabilities as of September 28, 2024, were$503.21 million, a 12.3% decrease compared to $573.58 million as of December 30, 2023[38] Channel and Category Performance - Direct-to-consumer (DTC) channel sales increased 8$280.8 million, driven by growth in Coolers & Equipment and Drinkware[5] - Wholesale channel sales increased 14% to 197.6 million, driven by growth in Drinkware and Coolers & Equipment[5] - Coolers & Equipment category sales for the three months ended September 28, 2024, were 192,595 thousand, while Drinkware sales were 274,981 thousand[48] - Coolers & Equipment category sales for the nine months ended September 28, 2024, were 518,443 thousand, while Drinkware sales were $736,084 thousand[49] - United States net sales for the three months ended September 28, 2024, were$390,176 thousand, with international sales at $88,264 thousand[48] - United States net sales for the nine months ended September 28, 2024, were$1,052,858 thousand, with international sales at $230,475 thousand[49] Share Repurchase and Financial Outlook - The company repurchased$100 million of common stock during the nine months ended September 28, 2024[40] - Updated 2024 outlook expects adjusted sales to increase approximately 9%, with adjusted EPS of $2.65, reflecting an 18$1,831,650 thousand, up from $1,680,413 thousand in fiscal 2023[51]