Kontoor Brands, Inc. Quarterly report [Sections 13 or 15(d)]

Quarterly report [Sections 13 or 15(d)]

BUSINESS SEGMENT INFORMATION (Tables)

BUSINESS SEGMENT INFORMATION (Tables)

6 Months Ended

Jul. 04, 2026

Schedule of Financial Information for Reportable Segments

The following table presents financial information for the Company's reportable segments and income from continuing operations before income taxes:


	Three Months Ended June				Six Months Ended June

(In thousands)	2026		2025		2026		2025
Wrangler
Net revenues (1)	$	469,047	$	461,279	$	904,886	$	881,525
Cost of goods sold	218,586		248,029		420,551		474,213
Selling, general and administrative expenses	109,274		102,949		219,020		208,778
Other segment items (2)	2,247		2,210		4,606		3,595
Segment profit	$	138,940	$	108,091	$	260,709	$	194,939
Helly Hansen
Net revenues (1)	$	106,811	$	26,672	$	272,291	$	26,672
Cost of goods sold	43,763		12,549		114,764		12,549
Selling, general and administrative expenses	60,614		18,911		135,321		18,911
Other segment items (2)	557		25		676		25
Segment profit	$	1,877	$	(4,813)	$	21,530	$	(4,813)

Total reportable segment profit	$	140,817	$	103,278	$	282,239	$	190,126
Corporate and other expenses (3)	(51,667)		(14,747)		(105,411)		(80,302)
Interest expense	(15,673)		(13,485)		(31,757)		(23,293)
Interest income	1,843		2,820		4,027		6,139
Loss related to other revenues (4)	(2,368)		(1,037)		(2,543)		(1,254)
Income from continuing operations before income taxes	$	72,952	$	76,829	$	146,555	$	91,416

(1) Refer to Note 4 to the Company's financial statements in this Form 10-Q for the reconciliation of reportable segment revenues to consolidated net revenues.
(2) "Other segment items" primarily includes funding fees related to the sale of trade accounts receivable program discussed in Note 6 to the Company's financial statements in this Form 10-Q. Funding fees are reflected in the Company's statements of operations on a continuing operations basis within "Other (expense) income, net".

(3) Costs previously allocated to the Lee segment that did not qualify for classification as discontinued operations and are reported within "Corporate and other expenses" above are as follows: for the three and six months ended June 2026, $14.2 million and $25.5 million, respectively, and for the three and six months ended June 2025, $8.4 million and $17.2 million, respectively.

(4) "Loss related to other revenues" includes the operating results of the Musto®, and Chic® brands, as well as other company-owned brands and private label apparel, along with the Rock & Republic® brand through the date of disposition, for purposes of reconciling "total reportable segment profit" to "income from continuing operations before income taxes."