YETI will continue to focus on expanding digital and in-person branding opportunities and its redesigned eCommerce platform after those efforts paid off for the company in its 2022 first-quarter earnings report, released Wednesday (May 11).
YETI’s Q1 sales for the three months ending April 2 increased 19% year-over-year to $ 293.6 million. That was highlighted by a 24% hike in drinkware sales to $ 184 million – led by new colors, sizes and a push for customization – and a 23% growth in direct-to-consumer sales to $ 156 million.
D2C sales is now 53% of YETI’s overall sales, up from 51% in the first quarter of fiscal 2021.
Wholesale channel sales rose 14% to $ 137.7 million, driven by coolers, equipment and drinkware sales. Coolers and equipment sales increased 10% to $ 103 million, with bags, outdoor living products, hard coolers and cargo leading the growth.
“We are very encouraged with this performance when measured against the backdrop of ongoing and emerging challenges that continue to pressure consumer spending and sentiment,” said Matt Reintjes, president and CEO, in the company press release.
“While cost pressures remain a heightened focus, we are reiterating our operating income and operating margin outlooks for the year. Additionally, we are increasing our EPS outlook reflecting the return of $ 100 million to shareholders through our share repurchase activity during the quarter, ”he said.
Related: Under Armor Gets Stomped, Says Unexpected Supply Chain, COVID and Asian Headwinds Are Temporary
Baltimore-based apparel and footwear retailer Under Armor said Friday (May 6) that investors need to be patient while the company works through a mix of headwinds it said were surprising but temporary.
Under Armor is counting on a rebound in footwear sales, which fell 4% last quarter, to outpace growth at its much larger apparel business, which accounts for nearly 70% of its sales. The company is looking to boost its direct-to-consumer (D2C) business, which was up just 1%, as well as its eCommerce sales, which account for 45% of D2C sales and rose 2% in the latest results.