Wolverine World Wide, Inc. has provided an update on its financial outlook for the fiscal year 2022, revealing its forecasted revenue, earnings, inventory, and net debt. The company made this update shortly after announcing its decision to divest its Keds and leather business. For the twelve-month period ending on December 31, 2022, Wolverine World Wide is projecting full-year revenue of $2.685 billion. This would represent an 11% growth or 14% growth on a constant currency basis. Additionally, the company expects fourth-quarter revenue to be approximately $665 million, reflecting a 5% growth or 8% growth on a constant currency basis.

Regarding inventory and net debt, Wolverine World Wide anticipates year-end inventory to be around $805 million, down from $880 million in the third quarter. This year-end inventory includes $40 million for Keds and Wolverine Leathers, which are currently being sold. Furthermore, the company estimates year-end net debt to be $1 billion, a decrease from $1.3 billion in the third quarter.

Brendan Hoffman, the President and CEO of Wolverine Worldwide, expressed his thoughts on the company’s performance, stating that they had achieved their revenue, inventory management, and cash flow goals during the fourth quarter. Hoffman acknowledged that the acceleration of inventory reduction efforts might impact fourth-quarter earnings but affirmed their commitment to long-term growth and profit improvement strategies. He also highlighted the progress made in liquidating end-of-life inventory and expressed confidence in clearing these goods in early 2023.

In addition to the financial updates, Wolverine World Wide recently made the decision to divest its leather and Keds brands from its portfolio. This choice followed a business reorganization and management reshuffle that occurred in November.

Wolverine World Wide is determined to establish a strong foundation for future growth and profitability. The company is actively working on operational improvements and maintaining its focus on reducing inventory. With its recent updates and strategic decisions, Wolverine World Wide is positioning itself for success in the ever-evolving footwear industry.

For more information on Wolverine World Wide’s financial updates, please visit their official website [link]. To learn about the company’s recent decision to divest its leather and Keds brands, click here [link].