Wolverine World Wide (WWW) Q4 2025 earnings summary

Executive summary

• FY2025 delivered strong financial results, with revenue and adjusted EPS exceeding expectations, led by Merrell and Saucony, and supported by transformation initiatives and improved brand health.

• Ongoing business results exclude the Sperry business, which was divested in January 2024.

• The company improved its balance sheet, reducing net debt by $81 million (16.2%) to $415 million by year-end.

• Entering FY2026 with enhanced product pipelines, robust marketing, and operational momentum.

Financial highlights

• FY2025 revenue reached $1.874 billion, up 7.1% year-over-year (6% constant currency), with a 53rd week contributing 70 bps to growth.

• Gross margin improved 300 bps to 47.3%, driven by lower supply chain costs and more full-price sales.

• Adjusted operating margin rose 170 bps to 9.0%; adjusted diluted EPS increased 53.4% to $1.35.

• Q4 revenue was $517 million (+4.6% year-over-year), with gross margin up to 47%.

• Net earnings for 2025 were $101.0 million, up from $48.8 million in 2024.

Outlook and guidance

• FY2026 revenue expected at $1.96–$1.985 billion (+5.2% at midpoint), with foreign currency providing a $14 million benefit.

• Gross margin projected at 46% (down 130 bps), reflecting higher tariffs partially offset by pricing and cost savings.

• Adjusted operating margin expected at 9.1%, with adjusted EPS in the $1.35–$1.50 range.

• Operating free cash flow forecasted at $105–$120 million.

• Q1 2026 revenue expected at $445–$450 million (+8.5% year-over-year), with gross margin at 47.5%.