YETI Reports Strong Q4 Earnings, Exceeding EPS Estimates
Outdoor lifestyle brand YETI (NYSE: YETI) reported its fourth quarter 2024 financial results, showcasing growth and innovation.
Key Highlights:
* Revenue of $546.5 million, marginally below analyst estimates of $552.5 million (5.1% YoY growth)
* Adjusted EPS of $1.00, surpassing estimates of $0.93 (7.7% beat)
* Adjusted EBITDA of $135.7 million, exceeding forecasts of $117 million (24.8% margin, 16% beat)
* Guidance for FY2025 adjusted EPS of $2.93 at the midpoint, 1.2% higher than consensus
Operational Performance:
* Operating margin decreased to 15.1% from 18.9% in Q4 2023
* Free cash flow margin improved to 39.4% from 30.7% in Q4 2023
Management Commentary:
"YETI's successful Q4 concludes a strong 2024, demonstrating the expansion of our brand, product innovation, and global reach," said Matt Reintjes, President and CEO. "Despite market headwinds, we delivered excellent financial results, including strong adjusted gross and operating margins, and robust cash generation."
Company Overview:
Founded by two brothers, YETI specializes in durable outdoor gear, including coolers, drinkware, and equipment for adventure enthusiasts.
Growth and Performance:
* 14.9% compounded annual sales growth rate over the past five years
* Recent demand slowdown, with 7.1% revenue growth over the last two years
Cash Flow:
* Free cash flow margin averaged 12.9% over the past two years
* Free cash flow of $215.1 million in Q4, with a 39.4% margin
Key Takeaways:
* YETI exceeded analysts' EPS expectations
* Revenue slightly missed estimates
* Strong EBITDA performance
* Guidance indicates continued growth
Disclaimer: This summary is for informational purposes only and should not be considered investment advice.