Loading...
•
Jun 28
YETI Q2 2025 Earnings Report
YETI reported a decrease in net sales and adjusted EPS, while GAAP EPS and net income increased in the second quarter of 2025.
Key Takeaways
YETI's second quarter of 2025 saw a 4% decrease in net sales to $445.9 million, primarily due to a promotional drinkware market, consumer caution, and supply chain constraints. Despite this, GAAP EPS increased by 3% to $0.61 and net income rose by 1% to $51.2 million. Adjusted EPS, however, decreased by 6% to $0.66, impacted by higher tariff costs. The company is making progress on strategic priorities including innovation, global brand expansion, and supply chain diversification, and raised its full-year EPS outlook.
Net sales decreased by 4% to $445.9 million, attributed to a promotional drinkware market, cautious consumers, and supply chain issues.
GAAP EPS increased by 3% to $0.61, and net income rose by 1% to $51.2 million.
Adjusted EPS decreased by 6% to $0.66, primarily due to a $0.07 net impact from higher tariff costs.
The company repurchased 0.7 million shares for $23 million and raised its 2025 EPS outlook, targeting $200 million in share repurchases for the year.
YETI
YETI
YETI Revenue by Segment
YETI Revenue by Geographic Location
Revenue by Segment
Direct-to-Consumer Revenue
CapyFin.comWholesale Revenue
CapyFin.comDrinkware Revenue
CapyFin.comCoolers & Equipment Revenue
CapyFin.comOther Revenue
CapyFin.comRevenue by Geographic Location
United States Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
YETI modestly lowered its top-line expectations for Fiscal 2025 due to a prolonged recovery in U.S. drinkware but raised its EPS outlook, driven by strong operating execution and tariff adjustments. The company remains confident in its full-year outlook, emphasizing innovation, brand strength, and global opportunities.
Positive Outlook
- Adjusted operating income as a percentage of adjusted sales is expected to be between 14.0% and 14.5% (up from 12.0%).
- Adjusted net income per diluted share is projected between $2.34 and $2.48 (up from $1.96 and $2.02).
- Free cash flow is expected to be between $150 million and $200 million (up from $100 million and $125 million).
- Capital expenditures are reduced to approximately $50 million (from $60 million).
- Anticipates completing approximately $200 million in share repurchases during 2025.
Challenges Ahead
- Adjusted sales are expected to be flat to up 2% (down from 1% to 4%).
- Outlook includes an approximately 300 basis point unfavorable impact from supply chain disruptions.
- Adjusted operating income outlook reflects an approximate 220 basis point net impact from higher tariff costs versus the prior year.
- Adjusted net income per diluted share includes an approximately $0.40 net unfavorable impact from higher tariff costs.
- Effective tax rate is expected to be approximately 25.5% (up from 24.5% in the prior year period).
Revenue & Expenses
Visualization of income flow from segment revenue to net income