With Q4 profit up, Wolverine focusing on omnichannel and global expansion

Rockford, Mich. -- Wolverine Worldwide posted fourth-quarter net income of $10.7 million, following a $1.7 million loss for the year-ago period. The company said it is increasing its brand-building investments in 2015, focusing on omnichannel initiatives and international expansion.



“We believe 2015 is the right time to make these investments and expect this, along with our ongoing global expansion strategies, to position our company for accelerated growth and drive significant future shareholder value,” stated Blake Krueger, chairman, CEO and president, Wolverine Worldwide, which operates 16 brands, including Stride Rite, Hush Puppies and Merrell.



Wolverine’s revenue for the period rose to $808.9 million, from $740.8 million in the comparable quarter. The company said revenues grew in every region except North America, where sales were flat in the United States and fell in Canada.



“We had a strong close to the year, with nine of our 16 brands generating double-digit revenue growth in the fourth quarter, and our two largest brands, Merrell and Sperry, delivering mid single-digit and high single-digit revenue growth, respectively,” Krueger stated. “I am equally pleased with our full-year performance, which was highlighted by our fifth consecutive year of record revenue, as well as record adjusted earnings. We believe the strategic investments we are planning for our brands position us to capitalize on the many opportunities we’ve identified to accelerate our growth around the world.”



Wolverine Worldwide expects fiscal 2015 year-end earnings per share to range between $1.71 to $1.78 on revenues between $2.82 billion to $2.87 billion. Analysts anticipate earnings of $1.65 per share on revenue of $2.88 billion. On Feb. 12, the company's board of directors declared a quarterly cash dividend of 6 cents per share of common stock to be paid on May 1 to stockholders of record on April 1.



“The company intends to increase its investments behind consumer-demand creation, omnichannel initiatives and international expansion -- all focused on deepening connections with consumers, elevating brand awareness and driving sustained growth for the portfolio,” the company said in a statement. "The company plans to incrementally invest approximately $30 million in these brand-building initiatives in fiscal 2015.”