HanesBrands, the American apparel company, exceeded expectations with its sales performance for the full year of 2021. The company saw a significant increase in sales in its innerwear segment and experienced strong success with its Champion brand. In the fourth quarter ending on January 1, 2022, net sales from continuing operations reached $1.75 billion, reflecting a $63 million increase or 4% growth. This growth was mainly driven by a 10% rise in global sales for the Champion brand.

The company’s growth in net sales can be attributed to robust consumer demand and positive trends in point-of-sale across various markets, including the United States, Europe, the Americas, and certain Asian markets such as China. Despite Covid-related challenges in Australia and Japan, these positive trends outweighed the negative impact. Sales of innerwear, excluding personal protective equipment (PPE), increased by 3% compared to the previous year, fueled by growth in point-of-sale across different channels. Activewear sales also saw a substantial increase of $46 million, or 11%, compared to the prior year, thanks to strong point-of-sale trends across HanesBrands’ activewear brands. International sales rose by 4% to $19 million.

In the fourth quarter, the company’s net income surged to $60 million, or $0.17 per diluted share, marking a significant recovery from the prior year’s loss of $323 million, or ($0.95) per diluted share. For the full year, net sales rose by 11% to $6.8 billion compared to the previous year, and net income also experienced a solid recovery, totaling $77 million compared to a loss of $75.5 million the year before.

CEO of HanesBrands, Steve Bratspies, expressed his optimism about the company’s performance and its potential for future growth. He stated, “We are rapidly creating a new HanesBrands, focused on growth and serving our consumers and customers like never before.” Bratspies highlighted the company’s outperformance in 2021, leading to increased financial projections in their three-year “Full Potential” growth plan. Looking ahead, HanesBrands anticipates full-year sales from continuing operations to range between $7 billion and $7.15 billion in 2022.

Bratspies further emphasized the company’s confidence in future growth by announcing a three-year $600 million stock repurchase program. He expressed gratitude to the company’s global associates for their dedication and commitment to serving customers amidst challenges. With a solid financial foundation and a focus on growth, HanesBrands is well-positioned for a strong performance in 2022.

Links:
– For more information on HanesBrands’ financial performance and growth plans, visit their official website: https://www.hanes.com/.
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