Kontoor Brands, Inc., the American denim pioneer that owns Wrangler and Lee, has announced its Q3 results.
The revenue for the quarter saw a fall of 9 per cent year-over-year (Y-o-Y) to clock US $ 583 million, which was quite expected following the massive impact of the coronavirus.
However, the fall was partially offset by growth in e-commerce as well as some new business development wins.
A notable highlight of the Q3 result was the huge increase in the brand’s income. The net income shot up by massive 319 per cent to post US $ 60.79 million. It was US $ 14.5 million during the same period last year.
While EBITDA rose by 150 per cent in the third quarter, adjusted EBITDA too saw a rise of 22 per cent from the previous year.
Brand wise, Wrangler’s global revenue fell by 6 per cent to touch US $ 347 million though its US revenue rose by 2 per cent majorly owing to e-commerce growth and business wins.
Lee’s worldwide revenue too saw a dip of 8 per cent to register US $ 214 million. However, like Wrangler, Lee too gained from its US business with the revenue growing by 10 per cent.
Notably, despite a fall of 30 per cent in international revenue, Kontoor Brands saw its business in Europe and China recover during Q3 and the brand is confident of revenue showing continued sequential improvement in the next quarter as well.
