HanesBrands has announced the departure of its CEO Steve Bratspies as the company reports better-than-expected results in the last fiscal year.

Bratspies, who has been CEO over the past five years, will leave the company by the end of this calendar year or upon the appointment of his successor. 

The board has begun a comprehensive search for the next CEO and has retained executive search firm Spencer Stuart to support the process.

Bratspies will also step down from the board but will stay on in an advisory role to support a smooth transition.

In a separate release, HanesBrands reported a 4.5 per cent increase in sales for the fourth quarter ended December 28, reversing the 2.5 per cent decline in the third quarter.

By segment, US sales up 3 per cent and international sales up 2 per cent. Operating profit increased 27 per cent to $120 million and operating margin increased 240 basis points to 13.5 per cent.

The company’s full-year sales fell 3.6 per cent and operating profit decreased 30.2 per cent.

Bratspies said the company’s transformation strategy helped deliver a strong quarter and full year, with results across all key metrics exceeding expectations.

“We believe we are well positioned to build on fourth quarter’s momentum and deliver positive sales growth, additional margin expansion, strong cash generation and continued debt reduction, providing us multiple levers to create additional shareholder value in 2025 and beyond,” he added.