Kontoor Brands Reports Strong Q2 2025 Results

Kontoor Brands ( (KTB) ) has released its Q2 earnings. Here is a breakdown of the information Kontoor Brands presented to its investors.

Kontoor Brands, Inc. is a prominent player in the lifestyle, outdoor, and workwear sectors, renowned for its iconic brands such as Wrangler, Lee, and Helly Hansen. The company leverages its global platform and strategic sourcing model to drive growth and deliver value to its stakeholders.

In the second quarter of 2025, Kontoor Brands reported an 8% increase in revenue, reaching $658 million, bolstered by the acquisition of Helly Hansen. The company also reported a significant improvement in its gross margin and operating income, reflecting strong organic growth and efficient integration of its recent acquisition.

Key financial highlights include an adjusted gross margin of 46.4%, a 25% increase in adjusted operating income to $100 million, and an adjusted EPS of $1.21, marking a 23% rise from the previous year. The acquisition of Helly Hansen contributed positively to these metrics, with the company’s strategic initiatives and cost management efforts further enhancing performance.

Looking ahead, Kontoor Brands has raised its full-year 2025 outlook, anticipating revenue between $3.09 billion and $3.12 billion, a 19-20% increase from the previous year. The company expects to navigate recent tariff increases effectively, leveraging its robust supply chain and strategic investments to sustain growth and market share gains.

Kontoor Brands remains optimistic about its future, with management confident in the company’s ability to mitigate tariff impacts and capitalize on its strong brand portfolio. As the year progresses, Kontoor Brands aims to continue its momentum, supported by strategic investments and operational resilience.