October 29, 2025 – Gildan Activewear Inc. (TSX & NYSE: GIL) posted record third-quarter earnings as the company continues to build on its Gildan Sustainable Growth (GSG) strategy and prepares for its high-profile acquisition of HanesBrands. brbr
“We were pleased with this quarter’s results as we continue to drive profitable growth,” said Glenn J. Chamandy, Gildan’s President and CEO. “Our record-setting third quarter results once again showcase the effectiveness of the Gildan Sustainable Growth (GSG) strategy to drive strong financial performance, and we’re excited about the next phase of our growth journey. Our keen focus on execution, combined with Gildan’s low-cost vertically integrated business model, will be further enhanced by the added capabilities and reach introduced through the HanesBrands acquisition, which is expected to close later this year or early in 2026,” he added. brbr
Activewear Leads the Way:
Sales in Gildan’s core Activewear category climbed 5.4% to $831 million, driven by a stronger product mix, higher pricing, and steady demand from U.S. distributors and national accounts. The company cited continued momentum for Comfort Colors® and growing interest in new brands like Champion® and ALLPRO™, which are expanding Gildan’s reach into premium and performance categories. brbr
Financial Highlights:
• Total Q3 Sales: $911 million (up 2.2% year-over-year)
• Gross Margin: 33.7%, up 250 basis points, aided by lower manufacturing and raw material costs
• Adjusted EPS: $1.00, up 18% year-over-year — the highest in company history
• Operating Income: $212 million (23.2% of sales), slightly above guidance
• Hosiery and underwear sales declined 22% amid market softness, while international sales slipped 6%.
A Look Ahead
For the first nine months of 2025, Gildan’s Activewear segment is up 8.7% year-to-date, reflecting strong demand from North American distributors. The company also returned $286 million to shareholders through dividends and share repurchases, signaling confidence in long-term growth.
HanesBrands Deal Expected to Expand Reach
Gildan’s pending $4.4 billion acquisition of HanesBrands, announced in August, remains on track to close by early 2026. The move would unite two of the industry’s best-known names, creating new opportunities in both printwear basics and retail-branded apparel.
“Our record-setting results showcase the strength of our vertically integrated model,” said Glenn J. Chamandy, President and CEO. “The HanesBrands acquisition will further expand our capabilities and market reach as we enter our next phase of growth.”