109 0 Kommentare Wolverine Worldwide Affirms Preliminary 2023 Financial Results in Line With Guidance

Wolverine World Wide, Inc. (NYSE: WWW) today, in advance of its presentation at the 2024 ICR Conference, provides an update on its preliminary, unaudited financial results for its fiscal year 2023, along with an update on its continuing transformation efforts.

“We’re executing the stabilization phase of our strategic transformation with tremendous pace, while redesigning Wolverine Worldwide for the future,” said Chris Hufnagel, President and Chief Executive Officer. “For the fourth quarter and full year, we expect to deliver financial results in line with our guidance – while achieving better-than-anticipated year-end debt and inventory levels. Importantly, the performance of our direct-to-consumer business met our expectations for the critical holiday period as well – led by Merrell, Saucony, Sweaty Betty and Wolverine. We enter the new year on increasingly firmer footing, and with a focus on furthering our efforts to transform the Company into a great builder of global brands, investing in product design and storytelling to fuel future growth, and ultimately, creating greater value for our shareholders.”

Fiscal year 2023 financial results:

The Company expects the following preliminary and unaudited financial results for its ongoing business as of December 30, 2023:

Full year and fourth quarter reported revenue of approximately $2.24 billion and $527 million, respectively - in line with November guidance. Full year and fourth quarter revenue for its ongoing business of approximately $2.20 billion and $521 million, respectively - in line with November guidance;
Full year and fourth quarter adjusted gross margin above 39% and 36%, respectively - in line with November guidance;
Full year and fourth quarter adjusted pre-tax earnings in line with our expectations.

Also, as of December 30, 2023, the Company expects:

Inventory of approximately $460 million compared to November guidance of $490 million; and
Net debt of approximately $750 million compared to November guidance of approximately $850 million.

Key transformation updates:

In fiscal 2023, the Company executed asset monetization transactions generating nearly $250 million in cash, of which $91 million was received in the fourth quarter of 2023. These actions, listed below, have simplified the business and enabled debt paydown.

On December 28, 2023, the Company finalized the sale of its Kentucky distribution center, generating $23 million of cash in the fourth quarter of 2023. Saucony and Sperry brands will continue to operate out of this facility under a lease agreement;

Other previously announced asset monetization transactions in 2023 generated approximately $227 million in proceeds, including Keds, Hush Puppies intellectual property in China, Wolverine Leathers, and the new operating model for Merrell and Saucony in Greater China;