Wolverine reports 34% Q1 sales fall, appoints new CFO

Wolverine World Wide announced on Wednesday revenue fell 34.1% to $394.9 million for the first quarter ended March 30, 2024, after downsizing its business throughout 2023.

The Rockford, Michigan-based footwear and apparel firm said international revenue fell 31.5% to $178.5 million, while direct-to-consumer sales were down 15.9%, to $106.4 million.

By brand, Merrell fell 26.2% to $133 million, Saucony declined 24.5% to $100.1 million, and Wolverine brand sales decreased 20.3% to $41.2 million. The company’s Sweaty Betty brand decreased 4.8% to $45.2 million during the quarter. 

“We delivered better-than-expected revenue and earnings in the first quarter, and we are beginning to see proof points emerge as early validation of our strategy and execution – including record gross margin in the quarter, acceleration in our direct-to-consumer business, improving order trends across our wholesale operations, and a healthier balance sheet,” said Chris Hufnagel, president and chief executive officer of Wolverine Worldwide. 

“We’re executing our turnaround and transformation with pace and continue to make meaningful progress towards realizing the full potential of our brands, platforms, and teams. While we have more work to do, I’m encouraged by the great work of our teams and the power of our brand-building model – focused squarely on creating awesome products, telling amazing stories, and driving the business each and every day.”

The company sold its Keds brands in February, 2023, as well as the Hush Puppies intellectual property in China, Hong Kong, and Macau in August. Most recently, Wolverine sold its Sperry brand to Authentic Brands in January of this year. 

Looking ahead, Wolverine said 2024 revenue is expected to be approximately $1.68 billion to $1.73 billion, representing a decline compared to 2023 of 15.7% to 13.2%. 

In a separate update, Wolverine announced the appointment of Taryn Miller as the company’s chief financial officer, effective May 9, 2024. She succeeds Michael Stornant, who will be retiring after nearly 30 years with the company. 

With more than 25 years of global business experience, Miller joins Wolverine from Corteva Agriscience, an international pure-play agriculture company, where she served as vice president of corporate and commercial finance. 

Prior to that, she served as the chief financial officer of Global Business Units, Enterprise FP&A, and Investor Relations at Kimberly-Clark Corporation.