Gildan Activewear Inc
TSX:GIL

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Gildan Activewear Inc Logo
Gildan Activewear Inc
TSX:GIL
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Price: 87.15 CAD 5.5% Market Closed
Market Cap: 16.1B CAD

Gildan Activewear Inc
Investor Relations

Gildan Activewear Inc. is a textile and apparel company that has woven itself into the fabric of the North American wardrobe through strategic integration and efficient operations. Founded in Canada, the company has established itself as one of the leading manufacturers of everyday basic apparel, including T-shirts, socks, and underwear. Gildan's success lies in its vertical integration model, which allows the company to control nearly every aspect of production, from yarn spinning to finished garments. By doing so, it not only ensures consistent quality but also achieves significant cost efficiencies. The company leverages its large-scale, centralized manufacturing facilities, primarily based in locations like Honduras and the Dominican Republic, where labor costs are lower, making the production process both scalable and economically viable.

At the heart of Gildan's business model is its diversified brand portfolio combined with a robust distribution network. It caters to a variety of markets, from wholesale distributors to screen printers and retailers, under its own labels and other well-recognized brands. The breadth of Gildan's product range and its keen focus on sustainability—through initiatives aimed at reducing water usage and emissions—contribute to its broader appeal in an increasingly eco-conscious market. Revenue streams are strengthened by its flexible manufacturing which allows for quick response to market trends and retailer demands. By maintaining a steady balance between cost-efficiency and quality assurance, Gildan not only secures its profitable foothold in the industry but also paves the way for sustainable growth amid the changing dynamics of the apparel business.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Oct 29, 2025
AI Summary
Q3 2025

Record EPS: Gildan delivered record adjusted diluted EPS of $1 for Q3, up 17.6% versus last year.

Revenue Growth: Q3 sales rose 2.2% year-over-year to $911 million, driven by 5.4% growth in Activewear.

Margin Expansion: Gross margin increased by 250 basis points to 33.7%, and adjusted operating margin hit a record 23.2%.

Guidance Updates: Full-year adjusted EPS guidance narrowed to $3.45-$3.51 and operating margin guidance increased to up 70 bps; free cash flow guidance lowered to about $400 million.

HanesBrands Acquisition: Integration planning is underway; transaction expected to close late 2025 or early 2026 with at least $200 million in synergy targets.

Activewear Strength: Distributor channel and national accounts remained solid, with Comfort Colors brand seeing double-digit growth.

Underwear Weakness: Hosiery and underwear sales fell 22% due to shipment timing shifts and market softness, but management expects growth to return in Q4.

Market Conditions: The overall market remains down low single digits year-over-year, but Gildan is outperforming with mid-single-digit revenue growth.

Key Financials
Revenue
$911 million
Activewear Sales Growth
5.4%
Hosiery and Underwear Sales Change
-22%
International Sales Change
-$4 million
Gross Margin
33.7%
Adjusted Operating Income
$212 million
Adjusted Operating Margin
23.2%
Adjusted Diluted EPS
$1
Operating Cash Flow (First 9 Months 2025)
$270 million
CapEx (First 9 Months 2025)
$82 million
Free Cash Flow (First 9 Months 2025)
$189 million
Capital Returned to Shareholders (First 9 Months 2025)
$286 million
Dividends Paid (First 9 Months 2025)
$102 million
Shares Repurchased (First 9 Months 2025)
3.8 million shares
Net Debt
$1.7 billion
Net Debt to Adjusted EBITDA Leverage Ratio
2x
Earnings Call Recording
Other Earnings Calls

Management

Mr. Glenn J. Chamandy
President, CEO & Director
No Bio Available
Mr. Rhodri J. Harries
Executive VP and Chief Financial & Administrative Officer
No Bio Available
Mr. Benito A. Masi
President of Manufacturing
No Bio Available
Mr. Jason DeHaan
Chief Information Officer
No Bio Available
Ms. Jessy Hayem
Head of Investor Relation
No Bio Available
Ms. Geneviève Gosselin
Director of Corporate Communications & Corporate Marketing
No Bio Available
Mr. Peter Iliopoulos
Senior Vice President of Taxation, Sustainability & Government Affairs
No Bio Available
Ms. Elisabeth Hamaoui CPA
Director of Investor Communications
No Bio Available

Contacts

Address
QUEBEC
MONTREAL
33Rd, 600 De Maisonneuve Blvd W Floor
Contacts
+15147352023.0
www.gildanbrands.com