YETI Expands Globally With 30% International Growth

Core Insights - YETI Holdings demonstrated solid growth in Q4 and fiscal year 2024 despite competitive pressures and macroeconomic challenges [1] - The company is focusing on international expansion, product innovation, and strategic capital allocation to drive long-term growth [10] International Growth - Sales outside the U.S. increased by 27% in Q4 and 30% for the full year 2024, now accounting for 18% of total sales, up from 16% the previous year [2][3] - YETI plans to expand into Japan in 2025, viewing it as a foundational year for market entry [3] Product Innovation and Diversification - The Coolers & Equipment category grew by 17% in Q4 and 14% for the full year, driven by strategic diversification of the product portfolio [4] - Recent acquisitions, including Mystery Ranch and Butter Pat, support the launch of new products like cast iron cookware and a limited release backpack [5] Cash Flow and Capital Allocation - YETI generated $220 million in free cash flow for 2024, allowing for strategic investments and stock buybacks [6][7] - The board increased its share repurchase authorization by$350 million, totaling $450 million available for buybacks [8] Future Outlook - For 2025, YETI expects sales growth between 5% and 7%, with stronger performance anticipated in the second half of the year [10] - The company anticipates a 100-basis-point headwind from foreign exchange rates in 2025 but remains confident in its strategic direction [10]