WOLVERINE WORLD WIDE INC /DE/

Previous wording

The Company’s brands are marketed in approximately 170 countries and territories at September 27, 2025, including through owned operations in the U.S., Canada, the United Kingdom and certain countries in continental Europe and Asia Pacific. In other regions (Latin America, portions of Europe and Asia Pacific, the Middle East and Africa), the Company relies on a network of third-party distributors, licensees and joint ventures. At September 27, 2025, the Company operated 120 retail stores in the U.S., United Kingdom, Ireland and Italy and 39 direct-to-consumer eCommerce sites.

Current wording

The Company’s brands are marketed in approximately 170 countries and territories at April 4, 2026, including through owned operations in the U.S., Canada, the United Kingdom and certain countries in continental Europe and Asia Pacific. In other regions (Latin America, portions of Europe and Asia Pacific, the Middle East and Africa), the Company relies on a network of third-party distributors, licensees and joint ventures. At April 4, 2026, the Company operated 126 retail stores in the U.S., United Kingdom, Ireland and Italy and 38 direct-to-consumer eCommerce sites.

Previous wording

•The effective tax rates in the third quarters of 2025 and 2024 were 20.5% and 17.7%, respectively.

Current wording

•The effective tax rates in the first quarters of 2026 and 2025 were 18.8% and 8.9%, respectively.

Previous wording

•Diluted earnings per share for the third quarter of 2025 was $0.30 per share compared to diluted earnings per share of $0.28 per share for the third quarter of 2024.

Current wording

•Diluted earnings per share for the first quarter of 2026 was $0.24 compared to $0.15 for the first quarter of 2025.

Previous wording

•The Company declared cash dividends of $0.10 per share in the third quarters of both 2025 and 2024.

Current wording

•The Company declared cash dividends of $0.10 per share in the first quarters of both 2026 and 2025.

Previous wording

•Cash flow used in operating activities was $6.2 million for the first three quarters of 2025 compared to cash flow provided by operating activities of $97.7 million for the first three quarters of 2024.

Current wording

•Cash flow used in operating activities was $83.2 million for the first quarter of 2026 compared to $83.8 million for the first quarter of 2025.

Previous wording

•Compared to the third quarter of 2024, inventory as of the end of the third quarter of 2025 decreased $2.2 million, or 0.7%.

Current wording

•Compared to the first quarter of 2025, inventory as of the end of the first quarter of 2026 increased $1.1 million, or 0.4%.

Previous wording

Revenue was $470.3 million for the third quarter of 2025, representing an increase of $30.1 million compared to the third quarter of 2024. The change in revenue reflected a $34.1 million, or 10.7%, increase from the Active Group, a $3.2 million, or 2.9%, decrease from the Work Group, and a $0.8 million, or 6.5%, decrease from the Other category. The Active Group’s revenue increase was primarily driven by an increase of $28.3 million from Saucony®and $8.1 million from Merrell®, partially offset by a decrease of $1.8 million from Sweaty Betty®. The Work Group’s revenue decrease was primarily driven by decreases of $4.1 million from Wolverine®, $1.3 million from Harley-Davidson®and $0.6 million from HYTEST®, partially offset by an increase of $2.4 million from Cat®. The decrease in Other revenue was primarily driven by decreases from joint venture and royalty revenue recorded at the corporate level. Changes in foreign exchange rates increased revenue by $6.0 million during the third quarter of 2025. Direct-to-consumer revenue decreased during the third quarter of 2025 by $5.6 million, or 5.0%, compared to the third quarter of 2024.

Current wording

Revenue was $457.6 million for the first quarter of 2026, representing an increase of $45.3 million compared to the first quarter of 2025. The change in revenue reflected a $44.9 million, or 13.7%, increase from the Active Group, a $0.9 million, or 1.2%, increase from the Work Group, and a $0.5 million, or 4.6%, decrease from the Other category. The Active Group’s revenue increase was primarily driven by an increase of $26.1 million from Saucony® and $19.1 million from Merrell®. The Work Group’s revenue increase was primarily driven by increases of $0.9 million from HYTEST® and $0.8 million from Harley-Davidson®, partially offset by a decrease of $1.0 million from Wolverine®. The decrease in Other revenue was primarily driven by a decrease in Hush Puppies® royalty revenue. Changes in foreign exchange rates increased revenue by $15.4 million during the first quarter of 2026. Direct-to-consumer revenue increased during the first quarter of 2026 by $2.9 million, or 3.0%, compared to the first quarter of 2025.

Previous wording

Operating expenses increased $19.6 million, from $164.0 million in the third quarter of 2024 to $183.6 million in the third quarter of 2025. The increase was primarily driven by 2024 gains on the sale of businesses, trademarks, and intangible assets ($8.5 million), higher selling costs ($6.1 million), higher incentive compensation costs ($4.9 million), higher advertising costs ($3.0 million), and higher general and administrative costs ($0.7 million), partially offset by lower reorganization costs ($2.3 million), lower environmental and other related costs, net of insurance recoveries ($0.8 million) and lower distribution costs ($0.2 million). Environmental and other related costs were $0.5 million and $2.2 million in the third quarter of 2025 and 2024, respectively.

Current wording

Operating expenses increased $8.8 million, from $175.1 million in the first quarter of 2025 to $183.9 million in the first quarter of 2026. The increase was primarily driven by higher advertising costs ($8.0 million), higher selling costs ($5.5 million), higher distribution costs ($2.2 million), and higher incentive compensation costs ($0.9 million), partially offset by lower general and administrative costs ($4.4 million), lower environmental and other related costs, net of insurance recoveries ($1.9 million) and 2025 reorganization costs that did not reoccur ($1.8 million).

Previous wording

Net interest expense was $8.1 million in the third quarter of 2025 compared to $9.6 million in the third quarter of 2024. Net interest expense was $24.6 million in the first three quarters of 2025 compared to $33.5 million in the first three quarters of 2024. The decrease in interest expense for both the quarter-to-date and year-to-date periods is primarily due to lower average principal balances of variable rate debt and lower weighted average interest rates on variable rate debt.

Current wording

Net interest expense was $6.5 million in the first quarter of 2026 compared to $8.0 million in the first quarter of 2025. The decrease in interest expense is primarily due to lower average principal balances of variable rate debt.

Previous wording

The Company also reports “Other” and “Corporate” categories. The Other category consists of Sperry® footwear, Hush Puppies® footwear and apparel, sourcing operations that include third-party commission revenues, multi-branded direct-to-consumer retail stores and the Stride Rite® licensed business. The Corporate category consists of unallocated corporate expenses, such as corporate employee costs, corporate facility costs, reorganization activities, impairment of long-lived assets and environmental and other related costs.

Current wording

The Company also reports “Other” and “Corporate” categories. The Other category consists of Hush Puppies® footwear and apparel, sourcing operations that include third-party commission revenues, multi-branded direct-to-consumer retail store and the Stride Rite® licensed business. The Corporate category consists of unallocated corporate expenses, such as corporate employee costs, corporate facility costs, IT costs, reorganization activities, impairment of long-lived assets and environmental and other related costs.

Previous wording

The Active Group’s operating profit increased $12.1 million, or 22.7%, in the third quarter of 2025 compared to the third quarter of 2024. The operating profit increase was due to revenue increases and a 200 basis point increase in gross margin, partially offset by a $11.0 million increase in selling, general and administrative expenses. The Active Group’s operating profit increased $56.6 million, or 43.0%, in the first three quarters of 2025 compared to the first three quarters of 2024. The operating profit increase was due to revenue increases and a 350 basis point increase in gross margin, partially offset by a $34.2 million increase in selling, general and administrative expenses. The increase in gross margin in the current year periods was primarily due to a higher mix of full price sales, lower promotional activity, the benefit of supply chain cost initiatives, and the positive impact from recent price increases, partially offset by the impact of incremental U.S. tariffs. The increase in selling, general and administrative expenses in the current year periods was primarily due to higher advertising costs, selling costs and employee costs.

Current wording

The Active Group’s operating profit increased $8.3 million, or 14.3%, in the first quarter of 2026 compared to the first quarter of 2025. The operating profit increase was due to revenue increases, partially offset by an 80 basis point decrease in gross margin and a $10.9 million increase in selling, general and administrative expenses. The decrease in gross margin in the current year period was primarily due to increased U.S. tariff costs and unfavorable product mix. The increase in selling, general and administrative expenses in the current year period was primarily due to higher advertising and selling costs.

Previous wording

The Work Group’s operating profit increased $3.5 million, or 21.5%, in the third quarter of 2025 compared to the third quarter of 2024. The operating profit increase was due to a 380 basis point increase in gross margin and a $0.6 million decrease in selling, general and administrative expenses, partially offset by revenue decreases. The Work Group’s operating profit increased $3.6 million, or 8.3%, in the first three quarters of 2025 compared to the first three quarters of 2024. The operating profit increase was due to a 200 basis point increase in gross margin and a $3.7 million decrease in selling, general and administrative expenses, partially offset by revenue decreases. The increase in gross margin in the current year periods was primarily due to a higher mix of full price sales, lower promotional activity, the benefit of supply chain cost initiatives, and the positive impact from recent price increases, partially offset by the impact of incremental U.S. tariffs. The decrease in selling, general and administrative expenses in the current year period was primarily due to lower distribution costs and selling expenses.

Current wording

The Work Group’s operating profit decreased $0.6 million, or 8.5%, in the first quarter of 2026 compared to the first quarter of 2025. The operating profit decrease was due to a $2.1 million increase in selling, general and administrative expenses, partially offset by a 160 basis point increase in gross margin. The increase in selling, general and administrative expenses in the current year period was primarily due to higher advertising costs. The increase in gross margin in the current year period was primarily due to a favorable product mix within the international third party channel, partially offset by higher U.S. tariffs.

Previous wording

Corporate expenses increased $10.1 million in the third quarter of 2025 compared to the third quarter of 2024, primarily due to 2024 gains on the sale of businesses, trademarks, and intangible assets ($8.5 million) and higher incentive compensation costs ($5.2 million), partially offset by lower reorganization activities ($2.3 million) and lower environmental and other related costs ($0.8 million).

Current wording

Corporate expenses decreased $5.6 million in the first quarter of 2026 compared to the first quarter of 2025, primarily due to lower corporate general and administrative costs ($2.7 million), lower environmental and other related costs ($1.9 million), lower reorganization activities ($1.8 million), lower bad debt expense ($0.7 million), partially offset by higher incentive compensation costs ($0.9 million).

Previous wording

Cash and cash equivalents of $133.9 million as of September 27, 2025 were $6.3 million lower compared to September 28, 2024. The decrease is due primarily to repayments less borrowings of debt of $27.5 million, cash dividends paid of $33.1 million, additions to property, plant and equipment of $21.9 million, employee taxes paid under stock-based compensation of $9.7 million, and payments of debt issuance costs of $3.9 million partially offset by cash provided by operating activities of $76.2 million and proceeds from the exercise of stock options of $15.3 million. The Company had $456.0 million unborrowed under the Revolving Facility as of September 27, 2025. Cash and cash equivalents located in foreign jurisdictions totaled $99.9 million as of September 27, 2025.

Current wording

Cash and cash equivalents of $119.6 million as of April 4, 2026 were $13.1 million higher compared to March 29, 2025. The increase is due primarily to cash provided by operating activities of $140.6 million, proceeds from the exercise of stock options of $12.1 million, and proceeds from company owned life insurance of $2.2 million, partially offset by net repayments of debt of $73.0 million, cash dividends paid of $33.5 million, purchases of common stock of $14.5 million, employee taxes paid under stock-based compensation of $11.1 million, additions to property, plant and equipment of $8.6 million, and cash used in other investing activities of $1.5 million. The Company had $492.9 million of unborrowed under the Revolving Facility as of April 4, 2026. Cash and cash equivalents located in foreign jurisdictions totaled $92.9 million as of April 4, 2026.

Previous wording

The Company did not repurchase shares of its common stock during the first three quarters of both 2025 and 2024.

Current wording

The Company did not repurchase shares of its common stock during the first quarter of both 2026 and 2025.

Previous wording

A detailed discussion of environmental remediation costs is found in Note 15 to the consolidated condensed financial statements. The Company has established a reserve for estimated environmental remediation costs based upon an evaluation of currently available facts with respect to each individual affected site. As of September 27, 2025, the Company had a reserve of $33.4 million, of which $19.0 million is expected to be paid in the next 12 months and is recorded as a current obligation in other accrued liabilities and the remaining $14.4 million is recorded in other liabilities and is expected to be paid over the course of up to 25 years. The Company's remediation activity at its former Tannery site and sites where the Company disposed of Tannery byproducts is ongoing. It is difficult to estimate the cost of environmental compliance and remediation given the uncertainties regarding the interpretation and enforcement of applicable environmental laws and regulations, the extent of environmental contamination and the existence of alternative cleanup methods.

Current wording

A detailed discussion of environmental remediation costs is found in Note 15 to the consolidated condensed financial statements. The Company has established a reserve for estimated environmental remediation costs based upon an evaluation of currently available facts with respect to each individual affected site. As of April 4, 2026, the Company had a reserve of $25.5 million, of which $11.1 million is expected to be paid in the next 12 months and is recorded as a current obligation in other accrued liabilities and the remaining $14.4 million is recorded in other liabilities and is expected to be paid over the course of up to 25 years. The Company's remediation activity at its former Tannery site and sites where the Company disposed of Tannery byproducts is ongoing. It is difficult to estimate the cost of environmental compliance and remediation given the uncertainties regarding the interpretation and enforcement of applicable environmental laws and regulations, the extent of environmental contamination and the existence of alternative cleanup methods.

Previous wording

On September 24 2025, the Company entered into a 2025 Replacement Facility Amendment and Reaffirmation Agreement (the “Credit Agreement”) to replace the existing revolving credit facility and term loan A facility. The Company’s credit agreement provides for a revolving credit facility (the “Revolving Facility”). The maturity date of the loans under the Revolving Facility is September 24, 2030. The credit agreement provides for a debt capacity of up to an aggregate debt amount (including existing revolver commitment amounts in addition to permitted incremental debt)not to exceed $850.0 million. The Revolving Facility allows the Company to borrow up to an aggregate amount of $600.0 million.

Current wording

On September 24 2025, the Company entered into a 2025 Replacement Facility Amendment and Reaffirmation Agreement (the “Credit Agreement”) to replace the existing revolving credit facility and term loan A facility. The Credit Agreement provides for a revolving credit facility (the “Revolving Facility”). The maturity date of the loans under the Revolving Facility is September 24, 2030. The Credit Agreement provides for a debt capacity of up to an aggregate debt amount (including existing revolver commitment amounts in addition to permitted incremental debt)not to exceed $850.0 million. The Revolving Facility allows the Company to borrow up to an aggregate amount of $600.0 million.

Previous wording

The Company’s debt at September 27, 2025 totaled $676.4 million compared to $648.0 million at December 28, 2024. The Company expects to use the current borrowings to fund organic growth initiatives and for general corporate purposes. The increased debt position is due to higher borrowings under the Revolving Facility mainly resulting from operating cash outflows and capital expenditures.

Current wording

The Company’s debt at April 4, 2026 totaled $638.9 million compared to $621.7 million at January 3, 2026. The Company expects to use the current borrowings to fund organic growth initiatives and for general corporate purposes. The increased debt position is due to higher borrowings under the Revolving Facility mainly resulting from operating cash outflows, partially offset by lower cash balances.

Previous wording

For the first three quarters of 2025, an increase in net working capital represented a use of cash of $97.4 million. Working capital balances were unfavorably impacted by an increase in inventories of $41.9 million, an increase in other operating assets of $4.9 million, a decrease in accounts payable of $55.2 million, a decrease in income taxes payable of $0.2 million and a decrease in other operating liabilities of $0.5 million, partially offset by a decrease in accounts receivable of $5.3 million. Operating cash flows included adjustments for environmental and other related costs, net of cash payments and recoveries received, cash outflow of $8.3 million, depreciation and amortization expense adjustment of $20.3 million, stock-based compensation expense adjustment of $18.4 million, pension expense adjustment of $0.5 million, and deferred income taxes of $0.2 million.

Current wording

For the first quarter of 2026, an increase in net working capital represented a use of cash of $115.2 million. Working capital balances were unfavorably impacted by a decrease in other operating liabilities of $55.0 million, a decrease in accounts payable of $35.5 million, an increase in accounts receivable of $21.4 million, an increase in inventories of $7.6 million, partially offset by a decrease in other operating assets of $4.3 million. Operating cash flows included adjustments for stock-based compensation expense of $5.8 million, depreciation and amortization expense adjustment of $5.2 million, environmental and other related costs, net of cash payments and recoveries received, cash outflow of $1.9 million, and deferred income taxes of $0.2 million.

Previous wording

The Company made capital expenditures of $13.9 million and $12.2 million in the first three quarters of 2025 and 2024, respectively, for corporate headquarters building improvements, eCommerce site and information system enhancements.

Current wording

The Company made capital expenditures of $1.7 million and $7.6 million in the first quarter of 2026 and 2025, respectively, for corporate headquarters building improvements, eCommerce site and information system enhancements, and store openings.

Previous wording

The current year debt activity includes net borrowings under the Revolving Facility of $60.0 million. The Company paid $32.5 million and $39.2 million in principal payments associated with its long-term debt during the first three quarters of 2025 and 2024, respectively. The Company paid $3.9 million in debt issuance costs during the first three quarters of 2025. The Company paid $9.1 million and $2.0 million during the first three quarters of 2025 and 2024, respectively, in connection with shares or units withheld to pay employee taxes related to awards under stock incentive plans. The Company had cash proceeds from the exercise of stock options of $9.1 million during the first three quarters of 2025. The Company did not repurchase sharesin the first three quarters of 2025 or 2024.

Current wording

The current year debt activity includes net borrowings under the Revolving Facility of $17.0 million. The Company paid $2.5 million in principal payments associated with its long-term debt during the first quarter of 2025. The Company paid $8.1 million and $7.7 million during the first quarter of 2026 and 2025, respectively, in connection with shares or units withheld to pay employee taxes related to awards under stock incentive plans. The Company received cash proceeds from the exercise of stock options of $0.2 million and $0.3 million during the first quarter of 2026 and 2025. The Company did not repurchase its sharesin the first quarter of 2026 or 2025.

Previous wording

The Company declared cash dividends of $0.30 per share duringthe first three quarters of 2025 and 2024. Dividends paid in the first three quarters of 2025 and 2024 totaled $25.0 million and $24.4 million, resp ectively. A quarterly dividend of $0.10 per share was declared on October 29, 2025 to stockholders of record on January 2, 2026.

Current wording

The Company declared cash dividends of $0.10 per share duringthe first quarter of 2026 and 2025. Dividends paid in the first quarter of 2026 and 2025 totaled $8.7 million and $8.5 million, resp ectively. A quarterly dividend of $0.10 per share was declared on May 6, 2026 to stockholders of record on July 1, 2026.

Previous wording

The Company has identified the critical accounting policies used in determining estimates and assumptions in the amounts reported. For information regarding our critical accounting policies refer to Part II, Item 7: “Management’s Discussion and Analysis of Financial Conditions and Results of Operations” in the Company’s 2024 Form 10-K. Management believes there have been no material changes in those critical accounting policies.

Current wording

The Company has identified the critical accounting policies used in determining estimates and assumptions in the amounts reported. For information regarding our critical accounting policies refer to Part II, Item 7: “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s 2025 Form 10-K. Management believes there have been no material changes in those critical accounting policies.