Wolverine Worldwide Benefits From Increased Demand for New Footwear

Wolverine Worldwide, whose portfolio includes Saucony and Merrell, rode the wave in the upward-trending footwear market with a 20% revenue increase in the first quarter of fiscal 2022, according to a company press release Wednesday (May 11).

Sperry led the increase for the three months ending April 2 with an 18.7% upswing to $67.4 million, followed by Wolverine’s 12.2% year-over-year increase to $58.8 million. Saucony grew 3.7% to $106.4 million, while Merrell fell 1.5% to $147.9 million. Sweaty Betty, which Wolverine acquired in August, reported $53.6 million in the quarter, according to the press release.

“We delivered strong financial results in the quarter despite continued supply chain challenges and macro headwinds,” Wolverine Worldwide President and Chief Executive Officer Brendan Hoffman said in the press release. “Revenue and operating margin exceeded expectations, despite gross margin pressure related to higher supply chain costs and channel mix shift.

“We are encouraged to see continued strong demand across brands and have upcoming product launches and powerful marketing initiatives planned to drive further excitement among consumers. Looking ahead, we remain committed to advancing our primary growth strategies, with a more focused approach on execution as we capitalize on a favorable industry backdrop in outdoor, performance and work categories,” he said.

Wolverine’s $614.8 million in quarterly revenue was highlighted by its growth in wholesale and international distributor sales, while consumer revenue was up 24% year over year.

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Elsewhere in the footwear space, Puma looking is introducing new faces and athletes through the She Moves Us campaign, which paired the buzz surrounding the first F1 race in Miami last weekend with British race car driver Naomi Schiff.

Meanwhile, after Authentic Brands Group completed its $2.5 billion acquisition of Reebok from Adidas in March, it was reported that the label would be taking on other trendy new topics to add to its stable, including the addition of NFTs and crypto payments, after rolling out numerous new lines and looks over the past year, including its partnership with singer Cardi B.