Categories Earnings, LATEST, Other Industries

Earnings: Yeti Q2 profit rises on 12% sales growth; lifts FY19 guidance

YETI Holdings Inc. (NYSE: YETI), a leading manufacturer of coolers, reported stronger than expected earnings for the second quarter of 2019, helped by a 12% increase in revenues. The company also revised up its full-year 2019 guidance.

Net sales rose 12% year-over-year to $231.7 million and came in above the estimates. Sales of the direct-to-consumer channel increased 43%, while wholesale channel sales remained broadly unchanged at $149.2 million. There was a 16% growth in drinkware sales, aided by the introduction of new colorways, sizes, and accessories.

The company reported adjusted earnings of $0.33 per share for the three-month period, up from $0.28 per share in the second quarter of 2018. The bottom line exceeded the forecast. Reported profit was $22.2 million or $0.26 per share, compared to $18.8 million or $0.23 per share last year.

Also see: Lam Research Q4 profit falls but beats estimates

“YETI delivered strong second quarter results, highlighted by our DTC business and demonstrating the brand’s growing reach and relevance during the important gift giving period for moms, dads, and grads,” said CEO Matt Reintjes.

Picture Courtesy: Your Best Digs (flickr)

Net sales are currently expected to increase between 13.5% and 14% year-over-year in fiscal 2019, with growth across both channels and led by the DTC channel. The guidance represents an upgrade from the 11.5-13% growth estimated earlier.

The forecast for operating income, as a percentage of sales, is between 13.9% and 14.1%, reflecting margin expansion of 80 to 100 basis points. The guidance for earnings share has been revised up to the range of $0.88 to $0.90, representing a 27-31% annual growth.

Related: YETI Q4 2018 Earnings Conference Call Transcript

Adjusted earnings per share are now expected to be between $1.07 and $1.09, up 18-21% from last year. The earlier forecast was $1.02-$1.06 per share. The company is looking for capital expenditures in the range of $35 million to $40 million. Debt repayments are estimated to be about $80 million.

The value of Yeti’s shares more than doubled since the beginning of the year. The stock closed the last trading session lower.

We’re on Flipboard! Follow us to receive the latest stock market, earnings, and financial news at your fingertips

Most Popular

Infographic: How Starbucks (SBUX) performed in Q1 2023

Starbucks Corporation (NASDAQ: SBUX) reported first quarter 2023 earnings results today. Consolidated net revenues increased 8% year-over-year to $8.7 billion, in line with projections.   Global comparable store sales increased

Earnings: Google parent Alphabet (GOOG, GOOGL) reports lower Q4 profit

Alphabet Inc. (NASDAQ: GOOGL, GOOG) on Thursday reported a 1% increase in fourth-quarter 2022 revenues, with strong contributions from the cloud business. The company, which owns the largest internet search

HOG Earnings: Key quarterly highlights from Harley-Davidson’s Q4 2022 financial results

Harley-Davidson, Inc. (NYSE: HOG) reported fourth quarter 2022 earnings results today. Revenue increased 12% year-over-year to $1.14 billion. Net income attributable to Harley-Davidson, Inc. rose 94% YoY to $42 million,

Add Comment
Viewing Highlight