
Kontoor Brands Inc. announced revenue for the third quarter totalled US $ 655 million, increasing 8 per cent, driven by strength in US wholesale and DTC, offsetting decreases in China revenues.
The company that owns Lee and Wrangler jeans reported that third-quarter US sales increased by 12 per cent to US $ 506 million, with a 12 per cent increase in US wholesale due to continued increases in market share and strong performance across all categories and distribution channels.
The ongoing strength of DTC, as evidenced by the 11 per cent increase in US own.com revenue, contributed to the growth in US wholesale.
Internationally, revenue fell by 4 per cent to US $ 149 million, with growth in DTC more than offsetting a drop in wholesale. In the three months that ended in September, Europe grew by 4 per cent while China fell by 23 per cent.
Brand-wise, global revenue for the Wrangler brand climbed by 9 per cent to US $ 445 million, while global revenue for the Lee brand increased by 5 per cent to US $ 208 million.
“In the third quarter, we delivered strong revenue growth and profitability that was ahead of our expectations, excluding the duty charge, reflecting the broad-based strength of our business,” said Scott Baxter, president, chief executive officer and chair of Kontoor Brands.
Looking ahead, Kontoor said full-year revenue is now expected to increase approximately 1 per cent, compared to the prior outlook of a low-single digit per centage increase.






