By Will Feuer
Wolverine World Wide’s sales dropped in the second quarter, dragged down by a steep decline in its lifestyle category.
The maker of Merrell boots and Saucony sneakers posted a profit of $24.0 million, or 30 cents a share, down from $124.6 million, or $1.53 a share, in the same period last year. Analysts surveyed by FactSet expected earnings of 19 cents a share.
Revenue dropped 17.4% to $589.1 million, topping the roughly $583 million in sales that analysts expected, according to FactSet. Sales fell across all of the company’s segments, but the decline was steepest in its lifestyle category, where sales fell by 38.2%.
“We are confident that the work we are undertaking will drive significant profit improvement in 2024 and quickly set a strong growth foundation for the company,” said Chief Executive Christopher Hufnagel, who was appointed CEO earlier Thursday.
The company also cut its full-year sales and earnings outlook, citing caution by retailers in placing wholesale orders.
Shares tumbled 28% in premarket trading.
Write to Will Feuer at Will.Feuer@wsj.com
