Hanesbrands Posts 15% Jump In Revenues
4th Q 2014 Saw 18% Increase
Apparel maker Hanesbrands (asi/59528) announced 2014 sales of $5.32 billion, a 15% rise over revenues in 2013. The firm’s full-year adjusted operating profit increased by 28% to $763 million, while its adjusted earnings per share hit $5.66, an increase of 45%. For the fourth quarter, Hanesbrands reported sales of $1.52 billion, an 18% year-over-year rise.
“We had another outstanding year in 2014, generating significant shareholder value and again achieving record results for sales, operating profit and EPS,” said Richard A. Noll, chairman and CEO of Hanes. “We are in the midst of a multiyear period of strong growth supported by our powerful company-owned global supply chain, Innovate-to-Elevate product platforms, and acquisitions.”
Net sales growth was at least high single digits for each of Hanesbrands’ business segments in 2014. Innerwear sales rose 11% and activewear sales were up 10%, with both units reporting double-digit operating profit margins. Sales of the Champion label, excluding mass retail, increased by more than 20%. International revenues, meanwhile, grew by 157% in the fourth quarter and by 68% in 2014. Sales in Hanes’ direct to consumer segment were up 8% in 2014, although Q4 revenues increased just 1%.
For 2015, Hanesbrands expects net sales of approximately $5.775 billion to $5.825 billion. “Our guidance for 2015 translates into another year of double-digit EPS growth and what would be another record year for sales, profit and EPS, despite the challenges of currency exchange rates,” said Noll.