YETI Holdings, Inc. reported third‑quarter 2025 results that showed a 2% increase in net sales to $487.8 million, up from $478.4 million in the same quarter last year. The company’s adjusted earnings per share of $0.61 surpassed the consensus estimate of $0.58, while GAAP EPS of $0.48 fell short of the $0.57 estimate. Net income declined 30% to $39.4 million, and operating income dropped 22% to $54.4 million, reflecting the impact of higher tariff costs and a shift in product mix.
The quarter’s revenue growth was driven by a 12% rise in Coolers & Equipment sales to $215.4 million, offset by a 4% decline in Drinkware sales to $263.8 million. U.S. sales slipped 1% to $387.3 million, whereas international sales expanded 14% to $100.4 million, representing 20.6% of total revenue—down from 23% previously reported. The international surge was led by strong performance in Europe, Australia, and the newly launched Japanese market.
Gross margin contracted to 55.9% from 58.0% year‑ago, largely due to a 320‑basis‑point adverse impact from tariff costs and a lower mix of lower‑margin Drinkware. Adjusted gross margin mirrored the decline at 55.9% from 58.2%. Operating income fell 22% as the company invested in supply‑chain transformation and product innovation, while net income fell 30% after a $38 million acquisition of Helimix shaker‑bottle designs and $149.9 million of share repurchases in the quarter.
Management raised its full‑year 2025 adjusted sales guidance to 1%–2% growth and adjusted operating income as a percentage of sales to 14.0%–14.5%, signaling confidence in sustaining profitability amid supply‑chain changes. The share‑repurchase target was increased to $300 million, and the company reaffirmed its near‑$1.2 billion free‑cash‑flow generation target since 2019. These moves underscore a focus on returning capital to shareholders while funding continued product development.
YETI also completed the $38 million acquisition of Helimix’s shaker‑bottle designs and announced a supply‑chain transition that will reduce China exposure by year‑end 2025. The company plans to launch over 30 new products in 2025, including a branded shaker bottle, and has opened a new Development and Innovation Office in Vietnam to support this pipeline.
Matt Reintjes, President and CEO, said the quarter “continues to show the strength of YETI and the positive momentum of our long‑term growth strategy.” He highlighted accelerated product innovation, a powerful global brand, and expanding international reach as key drivers, noting that the company is on track to return to its long‑term growth target.
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