YETI Holdings 2025 Q2 Earnings Earnings Rise Despite Revenue Decline

YETI Holdings (YETI) reported its fiscal 2025 Q2 earnings on Aug 07th, 2025. The results showed mixed performance, with earnings per share rising but total revenue declining. The company raised its 2025 EPS outlook and announced a $200 million share repurchase plan for the year.

YETI Holdings reported a 3.8% revenue decline year-over-year to $445.89 million in Q2 2025, falling short of the prior-year period’s $463.50 million. However, earnings per share (EPS) increased by 5.1% to $0.62, and net income rose 1.5% to $51.15 million. While revenue disappointed, the company’s profitability and share repurchase plans signaled confidence in long-term value.

Revenue
YETI Holdings' revenue decreased by 3.8% to $445.89 million in Q2 2025, driven by a drop in wholesale performance. While the direct-to-consumer segment contributed $248.60 million, representing a strong portion of total net sales, wholesale revenue contracted to $197.30 million. This shift highlights a growing reliance on direct channels despite broader economic challenges.

Earnings/Net Income
The company’s profitability showed resilience, with EPS rising to $0.62 from $0.59 in the prior-year period and net income reaching $51.15 million, up from $50.40 million. Despite the revenue decline, the earnings increase reflects effective cost management and strategic initiatives.

Price Action
The stock experienced significant volatility in the short term. Shares tumbled 10.25% during the latest trading day and 11.11% during the most recent full trading week, although they edged up 2.29% month-to-date.

Post-Earnings Price Action Review
Following the earnings release, the strategy of purchasing YETI shares 30 days after the report underperformed the market. It generated a compound annual growth rate of 1.39%, which lagged the benchmark by 56.37%. The approach exhibited minimal downside risk, with a maximum drawdown of 0.00%, but lacked meaningful upside potential, as indicated by its Sharpe ratio of 0.03.

CEO Commentary
CEO Matt Reintjes highlighted progress on strategic priorities, including innovation acceleration, global brand expansion, and supply chain diversification. Positive momentum was noted in international markets like the UK, Europe, Canada, and Australia. Despite macroeconomic headwinds, Reintjes expressed confidence in YETI’s long-term prospects, emphasizing the strength of the company’s balance sheet and free cash flow generation. The company repurchased $23 million in shares during Q2 and expects to continue aggressive buybacks in 2025.

Guidance
YETI raised its 2025 EPS outlook and outlined a $200 million share repurchase target for the year. The company ended Q2 with strong momentum and expects continued improvement in Q3, reinforcing confidence in its future performance.

Additional News
On the same day as YETI’s earnings report, Nigerian media outlet Punch highlighted several key news stories, including political developments, sports achievements, and business initiatives. Among the notable stories were Rivers stakeholders urging President Tinubu to halt local government elections and reinstate Fubara as governor. In business, Stanbic IBTC announced that 148 customers won N23 million through its savings promotion, while African leaders proposed a three-year plan to reduce capital costs. Additionally, Victoria Mboko made headlines by defeating Naomi Osaka at the Canadian Open, showcasing Nigeria’s global sports presence.