The US clothing retailer Kontoor Brands Inc. closed the 2021 financial year with a high increase in sales. The parent company of the denim labels Wrangler and Lee was able to more than double its profits. For the current year, the company forecast further growth on Tuesday.
In the last fiscal year, the group’s sales amounted to 2.48 billion US dollars (2.22 billion euros). This corresponded to growth of 18 percent (currency-adjusted +17 percent) compared to 2020. The Wrangler brand increased its sales by 17 percent (currency-adjusted +16 percent) to 1.58 billion US dollars, Lee sales even increased by 29 percent ( currency-adjusted +26 percent) and reached a level of 887.1 million US dollars.
The group of companies was able to more than triple its operating profit: It jumped from USD 72.9 million in the previous year to USD 244.6 million now. At $195.4 million, net income was more than double the 2020 figure of $67.9 million. (+188 percent). Diluted earnings per share increased to $3.31 from $1.17.
In the current year, the group intends to continue on its growth course: Management forecast sales growth “in the high single-digit percentage range” to around 2.7 billion US dollars. Earnings per share are to be increased to between 4.65 and 4.75 US dollars.