Kontoor Brands, the global apparel company that owns the iconic brands Wrangler and Lee, has reported its Q4 and full-year results for 2022, and provided its financial outlook for 2023. In Q4 2022, the company recorded revenues of $732m, an increase of 7% YoY, and reported EPS of $0.91, compared to Q4 2021's $0.75.

For the full year, revenue was $2.63bn, up 6% YoY, and reported EPS of $4.31 compared to $3.31 in 2021. The company also announced that it had returned $166m to shareholders through a combination of share repurchases and dividend payouts.

Kontoor's Q4 revenues were driven by strength in domestic wholesale and digital, offset by decreases in international, with China particularly affected by COVID-related lockdowns and restrictions. In contrast, U.S. revenue increased 16% YoY to $605m, with gains in both Wrangler and Lee brands, and strength in digital wholesale, which increased 66% YoY. U.S. own.com revenue also increased by 19% YoY. International revenue fell 20% YoY to $127m due to the continued impact of COVID restrictions in China.

Looking ahead to 2023, the company expects revenue to increase at a low single-digit percentage compared to 2022, with an EPS in the range of $4.55 to $4.75. CEO Scott Baxter praised the company's performance despite "unprecedented macroeconomic challenges", and said he expects the company's "strategic investments in talent, demand creation and innovation" to drive growth across DTC channels, categories, and international markets.