YETI Holdings, Inc. (“YETI”) (NYSE: YETI) today announced its financial results for the fourth quarter and fiscal year ended December 31, 2022.
In addition, YETI announced an update on the notification to the U.S. Consumer Product Safety Commission (“CPSC”) of a potential safety concern regarding the magnet-lined closure of certain products, which was previously disclosed in YETI’s Form 8-K dated February 6, 2022.
Matt Reintjes, President and Chief Executive Officer, commented, “On top of a remarkable 29% increase in 2021, YETI delivered strong sales growth in 2022 with 13% reported sales growth and 16% adjusted sales growth. Our results reflect the impact of the proposed voluntary recalls that we recognized during the fourth quarter. We believe these recalls are the right decision for our customers and our brand, and consistent with our commitment to durability, performance, quality and design.
“Excluding the impact of the voluntary recalls, our fourth quarter results were in line with our expectations, driven by the strength of our direct-to-consumer channel and the momentum of our international business. In the wholesale channel, while we generated positive sell-through for the quarter, later-than-planned consumer demand impacted order volume and flow. In what was a dynamic environment in the fourth quarter, we remained focused on the premium positioning of our brand, while driving growth through new innovation, robust digital customer engagement, and by executing against strong consumer demand across our omni-channel.”
Fourth Quarter 2022 Results
Sales increased 1% to $448.0 million, compared to $443.1 million during the same period last year. Sales include a $38.4 million unfavorable impact related to the voluntary recalls, which impacted certain products in Coolers & Equipment.
Gross profit decreased 34% to $167.0 million, or 37.3% of sales, compared to $254.8 million, or 57.5% of sales, in the fourth quarter of 2021. Gross profit included a $97.0 million, or 1,700 basis points, unfavorable impact related to the voluntary recalls. Gross profit was also negatively impacted by higher inbound freight, higher product costs, and the unfavorable impact of foreign currency exchange rates, partially offset by favorable channel mix and the price increases implemented in the first quarter of 2022.
Full Year 2022 Results
Sales increased 13% to $1,595.2 million, compared to $1,411.0 million in the prior year. Sales include a $38.4 million unfavorable impact related to the voluntary recalls, which impacted certain products in Coolers & Equipment.
Gross profit decreased 6% to $763.4 million, or 47.9% of sales, compared to $816.1 million, or 57.8% of sales in the prior year. Gross profit included a $97.0 million, or 480 basis points, unfavorable impact related to the voluntary recalls. Gross profit was also negatively impacted by higher inbound freight, higher product costs, and the unfavorable impact of foreign currency exchange rates, partially offset by the price increases implemented in the first quarter of 2022.
more at: https://investors.yeti.com/news/news-details/2023/YETI-Reports-Fourth-Quarter-and-Fiscal-Year-2022-Results/default.aspx