Kontoor Brands Inc (NYSE:KTB) saw its shares take a dive mid-morning Tuesday, as the company reported fourth-quarter FY21 sales growth of 3.1% year-on-year, to $681 million, missing the consensus of $688.23 million.
The company attributed the revenue growth to strength in digital own.com, positive trends in the U.S. wholesale business, and solid performance in international markets.
Revenue in the U.S. increased 1% Y/Y, and international revenue rose 12%. Global revenue from the Wrangler brand decreased 1% Y/Y, and the Lee brand grew 14%.
Adjusted EPS of $0.88 topped the consensus estimate of $0.79.
Kontoor Brands held $185.3 million in cash and equivalents as of December 2021. Cash provided by operating activities for twelve months totaled $283.8 million.
The company's regular quarterly cash dividend of $0.46 per share is payable on March 18, to shareholders of record on March 8.
Kontoor Brands sees FY22 sales of about $2.7 billion versus the consensus of $2.64 billion.
The company expects FY22 EPS of $4.65 - $4.75, above the consensus of $4.58.
KTB shares are trading lower by $2.81, or 5.7% at $46.73 Tuesday morning.
