HanesBrands Inc. has reported better-than-expected financial results for the second quarter of 2025, prompting the company to raise its full-year guidance for sales, operating profit and earnings per share.

The apparel manufacturer posted net sales of $991 million for the quarter, a 1.8% increase compared to the same period last year. Gross margin surged by 1,100 basis points to 41.6%, supported by cost savings, productivity initiatives, assortment management, and reduced input costs.

Operating profit grew by 345% year-on-year to $155 million, with an adjusted figure of $153 million representing a 22% increase. Earnings per share reached $0.24, up 162% from last year, while adjusted EPS rose 60%.

“Our strategy is delivering consistent results,” said CEO Steve Bratspies. “With strong performance and visibility into cost savings, we’re confident in our long-term potential.”

The company continues to consolidate and optimise its supply chain, aiming to improve efficiency and reduce fixed costs. In the US market, growth in basics, activewear and new product categories was offset by declines in intimate apparel. International sales were steady on a constant currency basis, despite a reported 3% decline due to unfavourable exchange rates.

HanesBrands also made significant progress in reducing debt. Its leverage ratio dropped to 3.3 times net debt-to-adjusted EBITDA, down from 4.6 times a year ago.

For the full fiscal year ending January 3, 2026, the company now expects:

- Net sales of approximately $3.53 billion

- Adjusted operating profit of around $485 million

- Adjusted EPS of $0.66

- Free cash flow of approximately $300 million

Third-quarter sales are expected to be around $900 million, with adjusted EPS forecast at $0.16.

www.hanes.com