Wolverine Worldwide lowers FY outlook after missing on revenue
Wolverine Worldwide has cut its full-year revenue outlook after missing expectations in the second quarter of the year.
In the three months to July 2, the US company made revenue of 713.6 million dollars, up 12.9 percent from the prior year and up 25.5 percent from two years ago.
Its international business performed particularly well, with revenue up 45.3 percent to 295.2 million dollars.
Based on its results, it now expects full-year revenue in the range of 2.74 billion dollars and 2.79 billion dollars, down from its previous estimate of between 2.775 billion dollars and 2.85 billion dollars.
Wolverine Worldwide president and CEO Brendan Hoffman told investors: “Despite a slowdown in June shipments, we are pleased with delivering record organic revenue in the quarter.”
The company posted a better-than-expected operating margin of 23.5 percent despite “unplanned headwinds related to elevated customer inventory, a stronger US dollar, and some lingering supply chain delays”.
Net income came in at 124.5 million dollars, up from 44.4 million dollars a year earlier.
The company made an adjusted diluted earnings per share of 67 cents, down from 67 cents a year earlier, but still ahead of expectation.
It now expects full-year diluted earnings per share of between 2.62 dollars and 2.72 dollars.