NYSE:WWW
WOLVERINE WORLD WIDE INC /DE/
A leading global provider of high-performance motorcycle safety gear and lifestyle apparel with a strong presence in North America and Europe.
Key Metrics
Investment Thesis
Bull Case
Investors may find value in the company's successful turnaround trajectory evidenced by consecutive years of improving net income and revenue stabilization near $1.87B. The balance sheet shows substantial cash reserves of $206.3M against manageable long-term debt, providing flexibility for future growth initiatives or shareholder returns.
Bear Case
Revenue has contracted significantly from a peak of $2.68B in 2022 to $1.75B in 2024, suggesting lingering headwinds in the discretionary apparel sector. The large accumulated other comprehensive loss of -$126.4M and retained earnings deficit of $917.2M indicate historical capital destruction that requires sustained profitability to fully erase.
About WOLVERINE WORLD WIDE INC /DE/
Wolverine World Wide Inc. designs, manufactures, and distributes premium motorcycle apparel, gear, and accessories globally through its extensive retail network and e-commerce platforms.
Analysis
Management Discussion
The company demonstrated significant operational improvement with net income turning positive at $101.0M in the latest period, a stark recovery from prior years of losses. Cash flow from operations of $140.0M underscores strong liquidity generation despite capital expenditures of $14.5M and debt repayments of $32.5M.
Industry Overview
The global motorcycle apparel industry is competitive but fragmented, with leaders defined by their ability to combine advanced material technology with safety certification compliance. Market growth is driven by increasing rider participation in urban environments and a rising demand for safety-conscious gear among new riders.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2026 |
|---|---|---|---|---|
| Revenue | $2.68B | $2.24B | $1.75B | $1.87B |
| Cost of Revenue | $1.61B | $1.37B | $973.5M | $987.6M |
| Gross Profit | $1.07B | $872.5M | $781.5M | $886.7M |
| Operating Expenses | $1.28B | $940.7M | $680.5M | $736.5M |
| Operating Income | $-208.4M | $-68.2M | $101.0M | $150.2M |
| G&A | $906.4M | $856.2M | $690.0M | $729.9M |
| Stock-Based Comp | $33.4M | $15.2M | $19.1M | $24.4M |
| D&A | $34.6M | $35.1M | $26.2M | $25.9M |
| Depreciation | $26.7M | $27.7M | $21.4M | $21.1M |
| Amortization | $7.9M | $7.2M | $4.8M | $4.8M |
| Other OpEx | $372.4M | $84.5M | $-9.5M | $6.6M |
| Non-Operating Income | $-44.5M | $-66.0M | $-39.4M | $-28.7M |
| Pre-Tax Income | $-252.9M | $-134.2M | $61.6M | $121.5M |
| Income Tax | $-63.8M | $-95.0M | $10.1M | $20.5M |
| Continuing Ops | $-189.1M | $-39.2M | $51.5M | $101.0M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $-189.1M | $-39.2M | $51.5M | $101.0M |
| Minority Interest | $-800.0K | $400.0K | $3.6M | $5.2M |
| Net to Common | $-188.3M | $-39.6M | $47.9M | $95.8M |
| Metric | 2022 | 2023 | 2024 | 2026 |
|---|---|---|---|---|
| Current Assets | $1.27B | $1.03B | $688.5M | $729.4M |
| Accounts Receivable | $241.7M | $230.8M | $209.4M | $162.1M |
| Inventory | $745.2M | $373.6M | $240.6M | $274.2M |
| Other Current Assets | $278.4M | $420.7M | $238.5M | $293.1M |
| Long-Term Assets | $1.23B | $1.04B | $980.3M | $979.9M |
| PP&E (Net) | $136.2M | $96.3M | $89.7M | $80.6M |
| Goodwill | $485.0M | $427.1M | $424.6M | $431.3M |
| Operating Leases | $174.7M | $118.2M | $102.1M | $99.9M |
| Other LT Assets | $431.5M | $396.1M | $363.9M | $368.1M |
| Total Assets | $2.49B | $2.06B | $1.67B | $1.71B |
| Current Liabilities | $1.11B | $869.4M | $533.1M | $521.1M |
| Accounts Payable | $272.2M | $206.0M | $200.9M | $174.7M |
| Current Debt | $10.0M | $10.0M | $10.0M | $0 |
| Current Leases | $39.1M | $34.7M | $33.7M | $35.0M |
| Other Current Liab | $789.0M | $618.7M | $288.5M | $311.4M |
| Long-Term Liabilities | $1.04B | $893.4M | $819.2M | $765.1M |
| Long-Term Debt | $723.0M | $605.8M | $568.0M | $546.7M |
| LT Operating Leases | $153.6M | $132.4M | $116.0M | $105.3M |
| Other LT Liab | $-258.2M | $-149.8M | $65.2M | $38.1M |
| Total Liabilities | $2.15B | $1.76B | $1.35B | $1.29B |
| Shareholders' Equity | $339.0M | $300.0M | $316.5M | $423.1M |
| Retained Earnings | $907.2M | $834.8M | $849.5M | $917.2M |
| AOCI | $-132.9M | $-142.2M | $-147.8M | $-126.4M |
| Treasury Stock | $891.3M | $891.0M | $890.8M | $905.1M |
| Total L&E | $2.49B | $2.06B | $1.67B | $1.71B |
| Metric | 2022 | 2023 | 2024 | 2026 |
|---|---|---|---|---|
| Net Income (CFO) | $-189.1M | $-39.2M | $51.5M | $101.0M |
| Non-Cash Adjustments | $-446.4M | $538.0M | $322.4M | $61.2M |
| Working Capital Changes | $456.6M | $-377.0M | $-193.8M | $-22.2M |
| Cash from Operations | $-178.9M | $121.8M | $180.1M | $140.0M |
| Capital Expenditures | $36.5M | $14.6M | $20.2M | $14.5M |
| Cash from Investing | $54.6M | $171.6M | $86.8M | $-13.9M |
| Debt Repayments | $10.0M | $118.3M | $39.2M | $32.5M |
| Share Buybacks | $81.3M | $0 | $0 | $14.5M |
| Dividends Paid | $32.8M | $32.6M | $32.5M | $33.3M |
| Cash from Financing | $107.1M | $-246.3M | $-299.2M | $-77.7M |
| FX Effect | $-9.0M | $2.0M | $-200.0K | $5.8M |
| Net Change in Cash | $-26.2M | $49.1M | $-32.5M | $54.2M |
| Beginning Cash | $161.7M | $131.5M | $179.0M | $152.1M |
| Ending Cash | $131.5M | $179.0M | $152.1M | $206.3M |
Frequently Asked Questions
How does WOLVERINE WORLD WIDE INC /DE/ make money?
The company generates revenue primarily through the design and sale of protective riding gear including jackets, pants, gloves, and boots; secondarily through accessories like helmets and bags; and thirdly via licensing agreements for its brands to other manufacturers.
What are the main risks for WWW?
Fluctuating global supply chain costs affecting margins for imported components; sensitivity to discretionary consumer spending during economic downturns impacting apparel sales; and potential regulatory changes in safety standards requiring costly product redesigns.
What is WWW's competitive advantage?
Strong brand equity in safety-critical motorcycle apparel categories allowing premium pricing; extensive direct-to-consumer digital channels reducing reliance on third-party retailers; and a diversified product portfolio spanning both professional racing heritage and lifestyle markets.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.