American Apparel owner Gildan Activewear sales hurt by Under Armour phase-out, reveals CFO transition plan

American Apparel owner Gildan Activewear reported on Wednesday a 5% uptick in sales to $822 million for the fourth quarter, on the back of double-digit sales growth in the Canadian company’s activewear segment.

Excluding the impact of the Under Armour phase-out,  sales for the quarter ending December 29 were up low double digits, said the company.

Activewear sales grew 11% to $714 million, driven by higher sales volumes, and international sales increased by 20% year-over-year, thanks to a higher sell-through in “certain international markets,” the company added.

In the hosiery and underwear category, sales were down 23% versus the prior year, in line with company expectations, mainly owing to the phase out of the Under Armour business. Excluding the impact of the Under Armour phase-out, hosiery and underwear sales were up high single digits in the fourth quarter.

For the year ended December 29,  sales were $3,271 million, up 2% versus the same period last year.

In a separate announcement, the company announced an executive leadership reshuffle and a CFO transition as part of a multi-year succession planning process.

Rhodri Harries, EVP, chief financial and administrative officer, will retire on January 1. Harries will be succeeded by Luca Barile, currently CFO, sales, marketing and distribution, and will take on the role of chief financial officer as of March 1. In addition, Chuck Ward, currently president, sales, marketing and distribution, has been appointed to the newly created role of executive vice president, chief operating officer, effective March 1.

Looking ahead, Gildan said it expects revenue growth for the full year 2025 to be up mid-single digits.