YETI Holdings, Inc. (NYSE: YETI) reported Q3 EPS of $0.61, $0.24 better than the analyst estimate of $0.37. Revenue for the quarter came in at $294.6 million versus the consensus estimate of $260.23 million.

• Net Sales Increased 29%
• Gross Margin Expanded 670 Basis Points
• EPS Increased 137% to $0.58; Adjusted EPS Increased 126% to $0.61

Matt Reintjes, President and Chief Executive Officer, commented, “YETI continued to successfully harness both the momentum we experienced pre-pandemic and the accelerating interest in active, outdoor activities during the pandemic. During this dynamic period, we generated very strong third quarter revenue growth of +29% and expanded operating margin by 900 basis points. In addition, we continued to strengthen our balance sheet by amassing $235 million of cash and voluntarily paid down $50 million of debt in the process. We are now focused on continuing the momentum through the 2020 holidays and into 2021 as we build supply to meet demand across our omni-channel and invest in the long-term, sustainable growth of the brand.”

Mr. Reintjes concluded, “YETI’s performance in the quarter and throughout 2020 is a result of the incredible efforts of our global employees who have not only adapted but thrived in this extraordinary environment, and our customers and partners who have continued to show their support and confidence in our innovation and our brand.”

GUIDANCE:

YETI Holdings, Inc. sees Q4 2020 EPS of $0.57-$0.60, versus the consensus of $0.56.

Due to the uncertainty of the duration and severity of the COVID-19 pandemic, YETI is only providing the following limited outlook for the fourth quarter of Fiscal 2020:

• Net sales are expected to increase between 15% and 16%, reflecting expectations for strong demand balanced by inventory constraints and including the impact of the 53rd week in Fiscal 2020;
• Net income per diluted share is expected to be between $0.55 and $0.58, compared to $0.05 in the fourth quarter of Fiscal 2019; and
• Adjusted net income per diluted share is expected to be between $0.57 and $0.60, reflecting 31% to 38% growth compared to the fourth quarter of Fiscal 2019.

For earnings history and earnings-related data on YETI Holdings, Inc. (YETI) click here.