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Investing.com -- YETI Holdings (NYSE: YETI) reported second-quarter results that exceeded earnings expectations and raised its full-year adjusted EPS guidance, though shares slipped 1.65% premarket following the announcement.
The outdoor products company posted adjusted EPS of $0.67 for the quarter ended July 4, beating the analyst estimate of $0.55 by $0.12. Revenue increased 9% YoY to $483.9 million, matching analyst expectations. Sales growth was driven by 16% growth in Coolers & Equipment and 19% international expansion, reflecting demand across categories and regions.
YETI raised its full-year 2026 adjusted EPS guidance to a range of $2.94 to $3.00, representing 19% to 21% growth. The midpoint of $2.97 exceeds the company's previous guidance range of $2.83 to $2.89. The company maintained its sales growth outlook of 7% to 8% for the full year while increasing its adjusted operating income margin forecast to 14.9%, up from 14.6% previously.
"YETI delivered a strong second quarter, with 9% top-line growth, and stronger-than-expected profitability," said Matt Reintjes, Chair of the Board and Chief Executive Officer. "We also completed $130 million in share repurchases, reflecting the durability of our business model and the cash-generating strength of our operating platform."
Adjusted gross margin increased 170 basis points to 59.5%, including 110 basis points of favorable operational drivers from pricing discipline and product cost management, and 60 basis points from net tariff benefits. The company received $45.6 million in IEEPA tariff refunds during the quarter.
US sales increased 6% to $391.0 million, while international sales surged 19% to $92.9 million, driven by growth in Europe, Australia, Canada and Japan. Drinkware sales rose 2% to $241.4 million.
YETI will host an Investor Day on September 17, 2026, in Austin, Texas.
