Wolverine World Wide(US:WWW)2025-11-05 11:32Revenue Performance - Total revenue for Q3 2025 was $470.3 million, representing a year-over-year increase of 6.8% compared to $440.2 million in Q3 2024[5] - Active Group revenue increased by 10.7% to $352.8 million, while Work Group revenue decreased by 2.9% to $105.9 million[5] - International revenue for Q3 2025 was $242.7 million, an increase of 13.5% compared to $213.8 million in Q3 2024[5] - Revenue for Q3 2025 was $470.3 million, a 6.8% increase from $440.2 million in Q3 2024[24] - Fiscal 2025 revenue guidance is projected to be between $1,855 million and $1,870 million, with a gross margin of 47.1%[34] Profitability Metrics - Gross margin improved to 47.5%, up 240 basis points from 45.1% in the prior year, driven by supply chain cost initiatives and lower promotional activity[5] - Gross profit increased to $223.2 million in Q3 2025, with a gross margin of 47.5%, compared to $198.7 million and 45.1% in Q3 2024[1] - Operating profit rose to $39.6 million in Q3 2025, resulting in an operating margin of 8.4%, up from $34.7 million and 7.9% in Q3 2024[1] - The operating margin for Fiscal 2025 is projected to be 8.9%, up from a reported margin of 7.8%[34] Earnings Per Share - Diluted earnings per share for Q3 2025 were $0.30, a 7.1% increase from $0.28 in Q3 2024[5] - Diluted earnings per share for Q3 2025 was $0.30, an increase from $0.28 in Q3 2024[1] - Adjusted diluted earnings per share for 2025 are projected to be in the range of $1.29 to $1.34[10] - Adjusted diluted EPS for Fiscal 2025 is expected to be between $1.29 and $1.34, reflecting a $0.21 adjustment from reported EPS of $1.08 to $1.13[34] Net Earnings - Net earnings attributable to Wolverine World Wide, Inc. were $25.1 million in Q3 2025, compared to $23.2 million in Q3 2024, reflecting a 8.2% increase[1] - For the quarter ended September 27, 2025, net earnings attributable to Wolverine World Wide, Inc. were $25.1 million, with diluted EPS of $0.30[39] - Year-to-date net earnings as of September 27, 2025, were $68.5 million, reflecting an increase of $2.8 million from adjustments[39] - Net earnings for Fiscal 2025 are forecasted to be between $109 million and $113 million, with adjustments accounting for $18 million[34] Balance Sheet and Debt - Inventory at the end of Q3 2025 was $293 million, down $2 million or approximately 0.7% from the prior year[6] - Net debt decreased to $543 million, down $20 million or approximately 3.6% compared to the prior year[6] - Total current assets decreased to $716.8 million as of September 27, 2025, from $771.5 million a year earlier[19] - Total liabilities decreased to $1,315.6 million in Q3 2025, down from $1,462.5 million in Q3 2024[19] - Cash and cash equivalents at the end of Q3 2025 were $133.9 million, a decrease from $140.2 million at the end of Q3 2024[21] Accounting Changes - The company has changed its inventory accounting method from LIFO to FIFO, which will impact future financial results[7] - The company has changed its inventory costing method from LIFO to FIFO, impacting financial results for fiscal years 2025, 2024, and 2023[38] Tax and Expenses - The effective tax rate for Q3 2025 was 20.5%, compared to 17.7% in Q3 2024[1] - Operating expenses as a percentage of revenue increased to 39.0% in Q3 2025 from 37.3% in Q3 2024[1] Non-GAAP Measures - The company believes that non-GAAP measures provide useful information for evaluating operating performance and trends[34] - Constant currency presentation is used to exclude the impact of foreign currency fluctuations, providing a clearer view of operational results[34]