Gildan Activewear reported third‑quarter 2025 net sales of $910.6 million, up 2.2% year‑over‑year, with activewear sales of $830.6 million, up 5.4%. Gross profit reached $307 million, or 33.7% of net sales, an increase of 2.5 percentage points from the same period last year. Selling, general and administrative expenses were $95 million, or 10.4% of sales, and operating income stood at $192 million, or 21.1% of net sales.
Adjusted operating income was $212 million, up 23.2% year‑over‑year. Adjusted diluted earnings per share were $1.00, a 17.6% increase. GAAP diluted earnings per share were $0.80, slightly below the prior year’s $0.82. Net financial expenses were $44 million, largely driven by $30 million in interest and $14 million in transaction fees related to the HanesBrands acquisition financing.
Year‑to‑date net sales totaled $2,541 million, up 3.7% from the same period in 2024. Year‑to‑date activewear sales were $2,300 million, an 8.7% increase. The nine‑month gross margin was 32.2%, up 1.5 percentage points. International sales declined 6.1%, with softness reported in Europe, Asia‑Pacific, and Latin America. The Hosiery & Underwear segment fell 22.1% year‑over‑year to $150 million, driven by lower volumes and a shipment timing shift.
Gildan reaffirmed full‑year 2025 revenue growth of 4‑5% and adjusted diluted EPS guidance of $3.45 to $3.51. The company highlighted its Gildan Sustainable Growth strategy, focusing on capacity expansion, product innovation, and integration of HanesBrands. The HanesBrands acquisition, valued at $2.2 billion equity and $4.4 billion enterprise, is expected to close late 2025 or early 2026. Financing for the deal has increased net financial expenses and paused share repurchases for 2025.
Management noted ongoing tariff impacts, with price increases offsetting higher raw material costs. Lower manufacturing costs were driven by a 3% decline in cotton prices and a 2% decline in polyester prices, while favorable pricing contributed a 1.2% year‑over‑year increase in average selling price. The company also paused its share repurchase program and declared a quarterly dividend of $0.226 per share, payable December 15 2025.
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