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News November 04, 2025

Gildan Activewear Announces Q3 Sales, Reports 2.2% YoY Growth Ahead of Hanes Acquisition

The Counselor Top 40 supplier has also released new full-year guidance.

By  Tara Lerman

Key Takeaways

• Gildan (asi/56842) reported record third-quarter net sales of $911 million, a 2.2% increase year over year, with activewear sales up 5.4%.

• In August, Gildan announced its $2.2 billion acquisition of Hanes, expected to close by early 2026.

• Gildan projects mid-single-digit revenue growth, a 70-basis point increase in operating margin and adjusted EPS of $3.45-$3.51, up 15%-17% year over year.

Gildan Activewear (asi/56842) has had quite a quarter. The Counselor Top 40 supplier based in Montreal, Canada, has announced earnings for its third quarter, which ended September 28. The report shows a record Q3 net sales of $911 million, surpassing Q3 of last year by 2.2%. Activewear sales of $831 million were up 5.4%.

Gildan also generated a gross profit of $307 million versus $278 million in the same period last year. The 250-basis point improvement was driven by lower manufacturing costs and complemented by pricing increases implemented as a response to tariffs, the company said.

“Our record-setting third quarter results once again showcase the effectiveness of the Gildan Sustainable Growth strategy to drive strong financial performance, and we’re excited about the next phase of our growth journey,” said Glenn J. Chamandy, president and CEO of Gildan.

In August, Gildan announced plans to acquire basics apparel giant Hanes for $2.2 billion. According to details of the transaction, Hanes shareholders will receive cash and stock, and maintain ownership of 19.9% of Gildan. The deal is expected to close late 2025 or early 2026.

Chamandy noted that the Hanes acquisition, which is expected to close within the next few months, will further expand Gildan’s reach and capabilities.

Gildan has also released new guidance for the full year, which includes the following updates:

  • Revenue growth for the full year to be up to mid-single digits, in line with previous guidance
  • Full-year adjusted operating margin to be up approximately 70 basis points compared to previous guidance of “up approximately 50 basis points”
  • Capex to come in at approximately 4% of sales, compared to previous guidance of 5% of sales
  • Adjusted diluted EPS in the range of $3.45 to $3.51, up between approximately 15% and 17% year over year compared to previous guidance of $3.40 to $3.56
  • Free cash flow to be approximately $400 million compared to previous guidance of “above $450 million”

Gildan ranked third on Counselor’s most recent list of top suppliers in the industry, based on a 2024 North American promotional products revenue of $784 million.