After a year of work to stabilize and the size of the right, the CEO of Wolverine Worldwide, Chris Hufnagel, thinks that 2025 will allow the company to focus again on growth, especially in the companies of sauce and merrell .
“As we think of 2025 specifically, we have done a lot of Work to stabilize the organization, ”noted the CEO. “We have highlighted this, and we are largely finishing to talk about reversal, and now we can focus on the next chapter, namely growth.”
Hufnagel continued: “We have made good progress, but I am the first to admit that we have more work to do. There is no doubt that Wolverine Worldwide is much stronger today than it was only 12 months ago, but the most important chapter is certainly the next one. Although it is still at the beginning of our inflection chapter, and I am sure that the path will not be perfect, our company is developing again and our biggest brands are positioned grow significantly this year. “”
Hufnagel said it was the same story for Merrell.
“We worked hard to reposition this business. And our team did an excellent job, resetting the wholesale landscape of the United States, engaging with long-term partners And How Merrell presents himself each Day on the sales floor, ”said Hufnagel. “At the same time, opening a new distribution and striking the opportunity for wider open -air lifestyle And not just concentrated On the path. So opening new doors is there toonot entirely to the pace to which Sauconn opened, but satisfied with the first yields, And Especially for her.
He admitted that Merrell was underweight for female consumption, but also said that the company had worked hard to develop the product range.
“We have a new product manager,” noted Hufnagel. “It brings an excellent work history for major brands, but we are very focused on it and on broader opportunities. I am therefore happy that you have raised these two brands, very encouraged by the progress we have made in 2024 and excited for these brands go to do in 2025. “
Merrell posted his second consecutive growth quarter in the fourth quarter of 2024, which increases from 1% in annual sliding to 163.4 million dollars, against 161.8 million dollars in the fourth quarter 2023. Hufnagel said the Business health continued to improve also, causing a gross expansion of the margin of almost 400 bases from one year to the next.
“In the American hiking category, the brand has once grown up and has taken up significant market share during the quarter, its eighth time it has done in the last nine quarters, while winning simultaneously The share of the Trail race, “said the CEO. “As a leader in hiking, Merrell remains focused on modernizing the path through faster and lighter And more versatile products, including Moab Speed 2 And Agility peak 5. “”
In the fourth quarter, Hufnagel said that the two franchises continued to establish themselves as important collections for the brand, adding income and fueling performance with key accounts.
“This more athletic product has also allowed the brand to associate with several of its main retailers in the past year to reshape their assortments on the soil and start to evolve the perception of the brand’s consumers on the market”, he noted.
Advance his push further to modernize the trail, Merrell launched the disruptor Speedarc Surge Boa franchise last month, one of the TimeThe best new inventions of 2024 and a winner of the ISPO Prize. Advanced shoe materials Also Include the latest Speedarc platform of the brand, Float Proplus Supercritical foam and a flexible stabilizer plaque for comfort with advanced energy feedback.
“So far (this one) has exceeded our expectations to sell quickly to almost $ 300,” said Hufnagel. “A layer that supports the brand with the follow -up of this introduction with a second style in the collection, the Speedarc Madness. “”
The CEO said that Merrell continues to progress regularly on the side of the company’s lifestyle. Tests with key accounts of this year have demonstrated the demand of young consumers and led to an expansion of doors and income with the self -employed of American specialties, increasing by solid two -digit figures in the fourth quarter.
“Key performance franchise expeditions, including Moab Speed 2,, Agility peak 5 And Moab 3 almost quadruple the number of lifestyle in the last quarter. Merrell actively stimulates innovation in the category And Its strategy to modernize the path wins a real traction Around the world“Added Hufnagel. “In 2025, we adopted a reflected approach, prioritizing these initiatives focused on our greatest growth opportunities which, in our view, will be the most impactful.”
Prospects
For the full year 2025, the financial director Taryn Miller said that the company is expecting income from the active group, which includes Saucony, Merrell And Sweaty Betty, to develop in high -sieve figures in constant sieve.
“New products, lifestyle extension And The targeted targeted initiatives, including key activations in the city, should stimulate the growth of the active group, “noted Miller.
“Merrell is expected To grow by mid-term figures (in 2025), by building second half-time gains in 2024, “said Miller. “We expect key products, including the Speedarc collection, Moab Speed 2 and Agility Peak 5 will continue to stimulate the global category.”
During the question / answer session, Hufnagel was requested On the specialized retail company and where the company is growing growing. “We are certainly encouraged by the progress we have seen in Merrell, both in performance piece And THE lifestyle piece“He said. “And you know as well as anyone, there was Really Significant opposite winds in this outdoor space, and Merrell gains in sharing at the fastest rate since we follow it, which encourages us.
“The specialized doors, obviously, there are a lot of unique specialized outdoor accounts that we worked hard with our team to re -engage. At the same time, we open a new expansion of lifestyle. You will start to see and see Merrell show up in a shopping center from a lifestyle point of view where we are not – we have not been for years.
“So, a reset of this wholesale American landscape, the team made a very good Withdrawal of the reestablishment of the weakening, then, engage with them and go beyond the basic products that Merrell has been known for years, and abandon new products, whether the Moab Speed 2 or L ‘Agility peak 5, we are encouraged by. So, beautiful regular progress, two consecutive growth districts for Merrell And Encouraging news in the big chain for Merrell, here in the United States and Emea. »»
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