Kontoor Brands raised its full-year outlook after a strong Q2 2026.
On Wednesday, the Wrangler and Helly Hansen owner raised its full-year outlook, forecasting revenue in the range of $2.66 billion to $2.71 billion, representing growth of approximately 12 to 13 percent from the prior year
More from WWD Adjusted EPS is now expected to be in the range of $5.25 to $5.35, an increase from prior outlook range $5.15 to $5.25. This includes the impact of approximately $0.55 of unmitigated overhead and other expenses that were previously allocated to the Lee business. In May, Authentic Brands Group signed a definitive agreement with Kontoor Brands to acquire Lee in a deal valued at up to $1 billion.
Kontoor said it expects the divestiture of Lee to be immaterial to earnings per share over a 12-to-18-month period. Upon closing of the Lee business divestiture, Kontoor said it intends to deploy the expected proceeds into a $400 million Accelerated Share Repurchase agreement, with the remaining proceeds allocated towards voluntary debt payments. The company expects to return more than $900 million of capital in 2026 through share repurchases, dividends and voluntary debt payments, including the proceeds from the Lee divestiture.