Wolverine Worldwide delivers “better-than-expected” Q3, lifts outlook

Wolverine Worldwide revenues for the third quarter of 440.2 million dollars declined by 16.6 percent or 16.9 percent constant currency, while revenue from the ongoing operations declined 7 percent or 7.4 percent constant currency to 440.1 million dollars.

Gross margin for the quarter of 45.3 percent improved 450 bps and adjusted gross margin improved 380 bps to 45.3 percent. Diluted earnings per share were 28 cents, while adjusted diluted earnings per share reached 29 cents.

“In the third quarter, we delivered better-than-expected revenue and earnings – led by Merrell and Saucony outpacing our forecast – as we continue to make progress on our plan to turnaround and transform the Company for the future,” said Chris Hufnagel, president and chief executive officer of Wolverine Worldwide.

For fiscal year 2024, the company currently expects revenue from its ongoing business to be approximately 1.730 to 1.745 billion dollars, a decline of approximately 13.1 percent to 12.4 percent and a constant currency decline of approximately 13.3 percent to 12.6 percent compared to 2023.

Gross margin is expected to be approximately 44.5 percent, up 460 basis points, operating margin to be approximately 5.8 percent and adjusted operating margin to be approximately 7.2 percent, up 330 basis points compared to 2023.

Diluted earnings per share are forecasted to be in the range of 56 cents to 66 cents and adjusted diluted earnings per share in the range of 80 cents to 90 cents.