HanesBrands Sees Earnings In Q2, Backs FY24 Outlook; Stock Up In Pre-market

(RTTNews) - Apparel maker Hanesbrands Inc. (HBI), while reporting narrower than expected adjusted loss in its first quarter, on Thursday issued outlook for second quarter, and maintained its fiscal 2024 view.

In pre-market activity on the NYSE, Hanesbrands shares were gaining around 5.4 percent to trade at $4.70.

For the second quarter, the company projects earnings in a range of about $0.02 to $0.06 per share and adjusted earnings in a range of about $0.07 to $0.11 per share.

Net sales would be between about $1.335 billion and $1.375 billion, representing an approximate 6 percent decrease as compared to prior year at the midpoint, or an approximate 3 percent decrease on an organic constant currency basis.

Analysts on average expect the company to report earnings of $0.10 per share on sales of $1.34 billion, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

For fiscal year 2024, the company continues to project earnings in a range of about $0.22 to $0.28 per share and adjusted earnings in a range of about $0.42 to $0.48 per share on net sales between about $5.35 billion and $5.47 billion.

At the midpoint, sales represent an approximate 4 percent decrease as compared to prior year on a reported basis and an approximate 2 percent decrease on an organic constant currency basis.

The Street is looking for earnings of $0.43 per share on net sales of $5.33 billion for the year.

In its first quarter, the company reported wider loss for its first quarter, while adjusted loss was lower and beat the Street estimates.

The company's loss was $39.12 million, or $0.11 per share, compared to loss of $34.40 million, or $0.10 per share a year ago.

Adjusted loss was $7.40 million or $0.02 per share for the period, compared to loss of $21 million or $0.06 per share last year.

Analysts had expected the company to report loss of $0.07 per share.

The company's revenue for the quarter fell 16.5 percent to $1.16 billion from $1.39 billion last year.

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