Published on 9 May 2024 on Zacks via Yahoo Finance

Hanesbrands (HBI) Q1 Loss Narrower Than Expected, Sales Down

Hanesbrands Inc. HBI reported mixed first-quarter 2024 results, with the top line declining year over year and missing the Zacks Consensus Estimate. The bottom line improved from the year-ago quarter’s reported figure and surpassed the consensus mark. Management reaffirmed its 2024 guidance.

Q1 in Detail

The company posted an adjusted loss from continuing operations of 2 cents per share, narrower than the Zacks Consensus Estimate, which was pegged at a loss of 6 cents. The metric improved from a loss of 6 cents per share reported in the year-ago quarter.Net sales from continuing operations declined 16.8% to $1,156.2 million and came below the Zacks Consensus Estimate of $1,173.1 million. The metric includes nearly 120 basis points (bps) impact from the U.S. Hosiery divestiture and almost 105 bps from unfavorable currency rates. On a constant-currency basis, organic net sales fell nearly 15%. The downside was caused by headwinds in the Activewear segment.Global Champion brand sales tumbled 26%, with a decline of 35% in the United States and 17% internationally. Global Champion brand sales fell 25% at constant currency (cc). International brand sales declined 16% at cc compared with the prior-year quarter’s tally.