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Kontoor Brands (KTB) investor relations material
Kontoor Brands Q4 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved record revenue, earnings, and cash flow in 2025, driven by Wrangler growth and Helly Hansen acquisition, with Q4 revenue at $1.02 billion, up 46% year-over-year.
Returned over $140 million to shareholders via dividends and share repurchases, including $25 million in Q4.
Project Genius/Jeanius transformation programs delivered significant profit improvement and investment capacity.
Integration of Helly Hansen exceeded expectations, providing strong revenue and earnings accretion and a 36-point Q4 revenue benefit.
Strategic priorities for 2026 include further Helly integration, accelerating Wrangler growth, and Lee brand turnaround.
Financial highlights
Full year 2025 revenue reached $3.15 billion, up 21% year-over-year; Q4 adjusted EPS was $1.73, up 25% year-over-year.
Adjusted gross margin expanded 210 bps to 46.8% in Q4; full-year adjusted gross margin was 46.6%, up 150 bps.
Generated over $450 million in cash from operations; year-end cash balance was $108 million.
Net debt at $1 billion; net leverage ratio at 2.0x.
Q4 adjusted EBITDA was $163.5 million (16.1% margin); full-year adjusted EBITDA was $508.6 million (16.1% margin).
Outlook and guidance
2026 revenue expected at $3.40–$3.45 billion, ~9% growth; adjusted EPS expected at $6.40–$6.50, up 15%–16%.
Adjusted gross margin forecasted at 47.2%–47.4%, up 60–80 bps; adjusted operating income at $506–$512 million, up 8–9%.
Cash from operations projected at ~$425 million.
Voluntary term loan payments of $225 million planned for 2026; net leverage ratio targeted below 1.5x by year-end.
Outlook includes full-year Helly Hansen contribution and impact from increased tariffs, with larger tariff impact in H1 2026.
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