(Updates with stock price movement in the headline and first paragraph.)
Kontoor Brands (KTB) shares were up more than 8% in Wednesday trading after the company reported better-than-expected Q2 adjusted earnings and raised its full-year adjusted earnings per share outlook.
The company reported fiscal Q2 adjusted earnings of $1.06 per diluted share, up from $0.94 a year earlier.
Analysts polled by FactSet expected $1.05.
Net revenue for the quarter ended July 4 was $584.3 million, up from $492.6 million a year earlier.
Analysts expected $587.0 million.
The company said it now expects full-year 2026 adjusted EPS from continuing operations of $5.25 to $5.35, up from a prior outlook of $5.15 to $5.25. Analysts expect $5.22.
The company said it continues to expect full-year revenue of $2.66 billion to $2.71 billion. Analysts expect $2.7 billion.
Kontoor also said that Joseph Alkire has been appointed president and chief financial officer, effective immediately.
Additionally, the company said it continues to expect the Lee divestment to close in Q4, and plans to use $400 million of the expected proceeds for an accelerated share repurchase agreement, with the remaining proceeds to be used for voluntary debt payments.
Price: $81.38, Change: $+6.47, Percent Change: +8.64%