Wolverine Worldwide has reported better-than-expected sales for the fourth quarter, which management attributed to the results of its turnaround strategy.

The company’s revenue fell 6.1 per cent in the quarter ended December 28, an improvement compared to the 16.6 per cent in the third quarter.

Its ongoing revenue, which excluded the impact of the Keds sale last February, rose 3 per cent.

Merrell sales increased 1 per cent while Wolverine sales surged 20.5 per cent. Saucony and Sweaty Betty fell 5.3 per cent and 5.9 per cent, respectively.

On the bottom line, gross margin rose 740 basis points to 44 per cent. Net debt at the end of the quarter was $496 million, down 33.1 per cent compared to the prior year.

For the full year, total revenue dropped 21.8 per cent and ongoing revenue slid 12.1 per cent. Gross margin 

Chris Hufnagel, president and CEO of Wolverine Worldwide, said the company exceeded expectations for revenue and earnings and inflected to growth in the fourth quarter. He added that the full-year results were also better than expected.

“A year ago, we outlined an ambitious turnaround strategy composed of three chapters: stabilization, transformation, and inflection. We shared a plan to meaningfully strengthen the company’s balance sheet, expand profitability, and sequentially improve revenue trends.

 “I’m pleased to report that we accomplished all of these objectives,” he added.

For FY25, the company expects revenue to grow 2.5 per cent to 4.3 per cent.