Gildan reports record Q3 ahead of HanesBrands acquisition

Core Insights - Gildan Activewear reported Q3 net sales of $911 million, a 2.2% increase year-over-year, aligning with previous guidance for low single-digit growth [1] - Operating income decreased by 0.4% to $192.1 million, while net profit fell by 8.6% to $120.2 million compared to Q3 2024 [1] Sales Performance - Activewear sales reached $831 million, up 5.4%, driven by a favorable product mix and higher net prices [3] - Hosiery and underwear sales dropped to $80 million, a decline of 22.1% year-over-year, attributed to lower sales volumes and a timing shift of shipments [4] - International sales decreased to $60 million, down 6.1% year-over-year, primarily due to ongoing demand softness across markets [4] Strategic Outlook - Gildan's CEO highlighted the effectiveness of the Gildan Sustainable Growth strategy in driving financial performance and expressed optimism about future growth, particularly with the upcoming acquisition of Hanesbrands [2][3] - The company maintains its full-year revenue growth guidance at mid-single digits for 2025, despite a challenging macroeconomic environment [5] - The full-year adjusted operating margin is projected to increase by approximately 70 basis points, exceeding previous guidance of 50 basis points [6]