Kontoor Brands (KTB) Q1 Earnings Surpass Estimates

Core Insights - Kontoor Brands (KTB) reported quarterly earnings of $1.20 per share, exceeding the Zacks Consensus Estimate of $1.16 per share, and showing an increase from $1.16 per share a year ago, representing an earnings surprise of 3.45% [1] - The company posted revenues of $622.9 million for the quarter ended March 2025, which was below the Zacks Consensus Estimate by 0.35% and a decrease from $631.2 million year-over-year [2] - Kontoor shares have declined approximately 25.7% since the beginning of the year, contrasting with the S&P 500's decline of 3.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.05 on revenues of $625.6 million, while for the current fiscal year, the estimate is $5.21 on revenues of $2.67 billion [7] - The estimate revisions trend for Kontoor is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Textile - Apparel industry, to which Kontoor belongs, is currently ranked in the bottom 24% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]