“We are pleased that the Company managed through a challenging supply chain to deliver nearly 25% revenue growth in the fourth quarter. I am thrilled to be leading the organization at such a pivotal time. Our strong portfolio of iconic brands combined with the operational foundation built over the last decade positions us to capitalize on very favourable consumer and category trends. Excluding Sweaty Betty, fiscal 2021 revenue exceeded 2019 which speaks to our team’s resolve and tenacity in overcoming the impact of COVID-19. We expect to further unlock the growth potential of our brands as we deliver on our fiscal 2022 outlook of mid to high-teens revenue growth”, commented Brendan Hoffman, Wolverine Worldwide’s President and Chief Executive Officer.

(The following fourth-quarter and full-year results include the brand Sweaty Betty, from the date that it was acquired by Wolverine Worldwide, on the 2nd of August 2021)

Fourth Quarter Results

In the fourth quarter of 2021, Wolverine Worldwide’s revenue increased by 24.7%, totalling 635.6 million US dollars, as compared to the same period of 2020. On a constant currency basis, revenue grew by 24.6%. E-commerce revenue was up by 58.3% and by 108.5%, as compared to the fourth quarter of 2020 and 2019, respectively.

In the last quarter of 2021, diluted earnings per share corresponded to 0.18 US dollars, as compared to diluted earnings per share of 2.10 US dollars in the prior year. Adjusted diluted earnings per share were 0.41 US dollars, and on a constant currency basis, were 0.39 US dollars, as compared to 0.21 US dollars in the prior year.

Full Year 2021

In 2021, the company's revenue reached 2.31 billion US dollars, reflecting an increase of 34.8%, on a comparable basis to 2020. On a constant currency basis, revenue was up by 33.4%. E-commerce reported revenue grew by 39.7% and by 109.4%, as compared to 2020 and 2010, respectively.

Gross margin widened from 41.1% in 2020 to 42.6% last year, and adjusted gross margin improved to 44.1% from 41.5% in the prior year. Operating margin corresponded to 6.4% in 2021, as compared to 7.7% in the prior year, and adjusted operating margin rose to 10.6% from 7.5% in 2020.

Diluted earnings per share for full-year 2021 were 0.81 US dollars, as compared to diluted earnings per share of 1.70 US dollars in the prior year. Adjusted diluted earnings per share were 2.09 US dollars, and on a constant currency basis were 2.05 US dollars, as compared to 0.93 US dollars in the prior year.

Full Year 2022 Outlook

“We are very encouraged by our fourth quarter and full-year performance and momentum, despite the ongoing impact of the pandemic on our business. Revenue and earnings exceeded expectations entering the year. As we transition to 2022, demand remains at historic levels and the progress made in 2021 to improve flow of goods and our inventory position gives us confidence in our outlook for high-teens revenue growth in 2022”, added Mike Stornant, Senior Vice President and Chief Financial Officer.

For fiscal 2022, Wolverine Worldwide is forecasting revenue in the range of 2.76 billion US dollars to 2.85 billion US dollars. Diluted earnings per share are expected to be between 2.30 US dollars to 2.45 US dollars, and adjusted diluted earnings per share are expected to be between 2.50 US dollars to 2.65 US dollars.