Gildan Activewear (TSE:GIL)
TSX:GIL
Earnings Data
Report Date
May 06, 2026Before Open (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.49Last Year’s EPS
0.82Same Quarter Last Year
Strong Buy
Based on 11 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
Overall the call presents a constructive and positive strategic outlook: management reported record revenues and strong adjusted profitability for FY2025, integration of the HanesBrands acquisition is ahead of plan with an increased synergy target ($250M) and clear 2026 guidance that implies strong adjusted EPS and free cash flow generation. Near-term challenges include temporary capacity tightness, channel destocking that pressures Q1 sales, elevated leverage (3.0x) and acquisition-related accounting impacts (higher SG&A, amortization and reported GAAP EPS decline). Management has plans to delever (free cash flow and potential HAA proceeds) and reiterated multi-year growth and margin objectives, leading to a net-positive forward view despite short-term execution and financial headwinds.Company Guidance
Record Revenues and Strong Full-Year Profitability
Record revenues from continuing operations of about $3.6 billion for FY2025, with a full-year adjusted operating margin of 21.5% (up 20 bps year-over-year) and adjusted diluted EPS of $3.51, up 17% YoY.
Fourth Quarter Top-Line Growth
Q4 sales from continuing operations were $1.078 billion, up 31.3% YoY; excluding Hanes contribution of $217 million for Dec 1–28, Q4 organic growth was +4.9%.
Activewear and Innerwear Performance
Activewear sales grew 10.3% in Q4 to $788 million; Innerwear sales increased ~171% YoY in Q4 primarily due to late-December Hanes contribution, while Gildan's organic Innerwear volumes were slightly lower.
Improved Adjusted Gross Margin (Post-Purchase Accounting)
Adjusted gross profit was $347 million in Q4 representing a 32.2% adjusted gross margin versus 30.8% prior year (≈+140 basis points), after adjusting for a $35.4 million inventory fair value step-up recorded on the Hanes acquisition.
Integration Progress and Increased Synergy Target
Integration of HanesBrands is ahead of plan; manufacturing footprint optimization initiated including closure of two Hanes textile factories. Synergy run-rate target increased from $200 million to $250 million over three years (now expected $100M in 2026, $100M in 2027 and ≥$50M in 2028).
Capital Allocation and Cash Generation
Operating cash flow (including discontinued ops) of $606 million in FY2025 (vs $501 million prior year) and free cash flow of ~$493 million after $114 million CapEx. Returned $319 million to shareholders in 2025 (dividends + repurchased ~3.8 million shares).
2026 Financial Guidance
2026 continuing-operations guidance: revenue $6.0–$6.2 billion; adjusted operating margin ≈20%; adjusted diluted EPS $4.20–$4.40 (implies ~20%–25% growth vs $3.51); free cash flow > $850 million; CapEx ≈3% of net sales.
Strategic Capacity Expansion
Announced Phase 2 Bangladesh textile facility to begin construction over next 18 months with initial production expected late 2027 (supports 2028 growth); CapEx for expansion remains within guidance.
TSE:GIL Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TSE:GIL Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 26, 2026 | C$97.11 | C$94.15 | -3.06% |
Oct 29, 2025 | C$84.67 | C$83.37 | -1.53% |
Jul 31, 2025 | C$70.56 | C$69.13 | -2.03% |
Apr 29, 2025 | C$58.31 | C$62.46 | +7.11% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Gildan Activewear (TSE:GIL) report earnings?
Gildan Activewear (TSE:GIL) is schdueled to report earning on May 06, 2026, Before Open (Confirmed).
What is Gildan Activewear (TSE:GIL) earnings time?
Gildan Activewear (TSE:GIL) earnings time is at May 06, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is TSE:GIL EPS forecast?
TSE:GIL EPS forecast for the fiscal quarter 2026 (Q1) is 0.49.
