Wolverine World Wide (WWW) Q4 2025 earnings summary

Executive summary

• FY2025 delivered strong financial results, with revenue reaching $1.87B (up 7.1% year-over-year) and adjusted EPS rising 53% to $1.35, led by Merrell and Saucony's robust growth.

• Saucony posted a record year with 31.1% revenue growth, while Merrell grew 8.4%; Sweaty Betty improved in the UK and Wolverine stabilized after a reset.

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

• Balance sheet strengthened with net debt reduced by $81M (16.2%) to $415M by year-end.

• Fourth quarter and full year results exceeded expectations, reflecting successful transformation initiatives and operational momentum into 2026.

Financial highlights

• FY2025 revenue was $1.874B, up 7% year-over-year (6% constant currency), with a 53rd week contributing to growth.

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

• Adjusted operating margin increased 170 bps to 9%; adjusted diluted EPS rose 53% to $1.35.

• Q4 revenue was $517M (+4.6% year-over-year), with gross margin up to 47% and adjusted EPS at $0.45 (+13%).

• Net earnings for 2025 were $101M, up from $48.8M in 2024.

Outlook and guidance

• FY2026 revenue expected at $1.96–$1.985B (+5.2% year-over-year at midpoint), with mid-single-digit growth in Active Group and flat Work Group.

• Gross margin projected at 46% (down 130 bps), reflecting $60M in higher tariffs, partially offset by pricing and cost actions.

• Adjusted operating margin expected at 9.1%; adjusted EPS guidance is $1.35–$1.50.

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