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Revenue: $470 million, a 7% increase compared to the prior year.

Gross Margin: 47.5%, an increase of 240 basis points from the prior year.

Adjusted Operating Margin: 9.1%, an increase of 150 basis points from the prior year.

Adjusted Earnings Per Share (EPS): $0.36, a 29% increase from $0.28 in the prior year.

Net Debt: $543 million, down 4% compared to the same time last year.

Saucony Revenue Growth: 27% increase in the third quarter.

Merrell Revenue Growth: 5% increase in the third quarter.

Sweaty Betty Revenue Decline: 4% decrease in the third quarter.

Work Group Revenue Decline: 3% decrease in the third quarter.

Fiscal Year 2025 Revenue Guidance: $1.855 billion to $1.87 billion, approximately 6.4% growth at the midpoint.

Fiscal Year 2025 Adjusted EPS Guidance: $1.29 to $1.34, representing a 50% growth at the midpoint.

Fourth Quarter Revenue Guidance: $498 million to $513 million, a 2.2% increase at the midpoint.

Fourth Quarter Adjusted EPS Guidance: $0.39 to $0.44.

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Release Date: November 05, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Wolverine World Wide Inc (NYSE:WWW) exceeded expectations on both the top and bottom line, with revenue growing approximately 7% driven by Merrell and Saucony.

Saucony achieved a 27% revenue growth in the third quarter, driven by strong performance in both the performance run and lifestyle categories.

Merrell grew revenue by 5% in the third quarter, with strong market share gains in the hike category and successful product launches.

Sweaty Betty showed signs of improvement with a 4% revenue decline, better than expected, and progress in its core EMEA market.

The company reported a record gross margin of 47.5%, an increase of 240 basis points compared to the prior year, driven by product cost savings and lower promotional activity.

The Wolverine brand and Work Group underperformed, with revenue down 8% and 3% respectively, and not meeting the company's expectations.

The Work Group is expected to finish the year with a high single-digit decline in revenue compared to 2024.

The company faces challenges with tariff impacts, estimating an unmitigated impact of approximately $65 million annually, affecting future margins.

DTC revenue declined 5% compared to the prior year, primarily due to lower promotional activity in the US.

The company is still working on improving execution in the Work Group and addressing inconsistent performance in the Wolverine brand.

Q: Can you break down the contribution of new distribution versus like-for-like growth within Saucony's 25% constant currency growth? A: Christopher Hufnagel, CEO, explained that about one-third of Saucony's growth in the quarter was attributed to new distribution, with the rest coming from existing channels and categories.

Q: How does the split between lifestyle and performance footwear look for Saucony, and what is the future balance between these categories? A: Christopher Hufnagel noted that while the lifestyle segment is growing faster, the performance segment is also expanding. Saucony is gaining market share in both lifestyle and performance channels, with a strategic focus on both elite performance and everyday lifestyle running.

Q: What are the expectations for Saucony's door count in spring 2026, and how are you addressing underperforming doors? A: Christopher Hufnagel stated that the first half of 2026 will see a higher door count than the first half of 2025. They are focusing on responsible brand management, emphasizing sell-through over sell-in, and addressing underperformance by enhancing brand awareness and adjusting strategies where needed.

Q: Can you provide insights into the growth potential for the Active Group, particularly Merrell and Saucony, heading into 2026? A: Christopher Hufnagel expressed confidence in the momentum of Merrell and Saucony, highlighting their market share gains and growth in both performance and lifestyle segments. He emphasized the rigorous execution of their strategic playbook as a key driver of success.

Q: How is the DTC channel performing, particularly for Saucony, and what are the plans for SG&A investments going into 2026? A: Christopher Hufnagel reported that Saucony's e-commerce business grew by mid-teens, driven by strong brand management and product innovation. Taryn Miller, CFO, added that they are balancing margin expansion with strategic investments in marketing, talent, and product development to fuel long-term growth.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.