{
  "id": 655205,
  "title": "Kontoor Brands raises 2026 earnings outlook on strong results",
  "url": "https://urgent.news/2026/08/12/kontoor-brands-raises-2026-earnings-outlook-on-strong-results",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-12T10:56:39.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/company-news/kontoor-brands-raises-2026-earnings-outlook-on-strong-results-93CH-4854369"
  },
  "original_language": "en",
  "account": "Greensboro, North Carolina - Fibers company Kontoor Brands (NYSE: KTB) announced an uplift to its earnings expectations for 2026 due to robust performance. The company's second quarter revenue surged 19 percent year-over-year to $584 million, with adjusted earnings per share reaching $1.06, a 13 percent increase over the previous year. Wrangler brand sales grew by 2 percent to $469 million, while Helly Hansen contributed $114 million. Adjusted gross margin expanded by 710 basis points to 53.8 percent, fueled by Project Jeanius, the Helly Hansen acquisition, and a favorable mix of channels and products. Operating income rose 19 percent to $94 million. Kontoor repurchased $50 million of common stock at an average price of $74 per share during the quarter, and has now repurchased a total of $75 million at $75 per share year-to-date. The company has increased its 2026 earnings per share outlook to a range of $5.25 to $5.35, reflecting 27 to 29 percent growth compared to the prior year. Adjusted gross margin expectations have also risen to 49.8 to 50.0 percent, a 330 to 350 basis point increase from the prior year. The company anticipates full-year revenue to fall within $2.66 to $2.71 billion. The sale of the Lee business is slated to conclude in the fourth quarter, with $400 million from the expected proceeds to be reinvested in an accelerated share repurchase, while the remainder will be used for voluntary debt payments. Kontoor expects to return over $900 million in capital to shareholders in 2026 through share repurchases, dividends, and debt payments, including funds from the Lee divestiture.",
  "summary": null,
  "key_points": [
    "Kontoor Brands raises 2026 earnings outlook to $5.25-$5.35 per share",
    "Q2 revenue up 19% to $584 million, adjusted EPS up 13% to $1.06",
    "Adjusted gross margin expands to 49.8-50.0% range"
  ],
  "editors_take": "Kontoor Brands' raised 2026 earnings outlook signals confidence in sustaining growth momentum, driven by brand performance and strategic actions, and reflects a significant increase in expected returns to shareholders.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}