Kontoor Brands Inc [Ktb/I] (NYSE:KTB) Q3 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 08:30 am ET


Kontoor Brands Inc [Ktb/I] (NYSE:KTB) Q3 2019 Earnings Conference Call - Final Transcript


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Greetings. Welcome to Kontoor Brands' Third Quarter 2019 Earnings Conference Call. At this time, all participants will be in listen-only mode. A brief question and answer session will follow the formal presentation. [Operator Instructions]. Please note this conference is being recorded.

At this time, I'll turn the conference over to Eric Tracy, Senior Director of Investor Relations. Mr. Tracy, you may begin.

Eric Tracy

Good morning everyone and welcome to Kontoor Brands third quarter 2019 earnings conference call. Participants on today's call will make forward-looking statements. These statements are based on current expectations and are subject to uncertainties that could cause actual results to materially differ.

These uncertainties are detailed in documents filed with the Securities and Exchange Commission. We urge you to read our defined risk factors, cautionary language and other disclosures contained in those reports. Unless otherwise stated, amounts referred to on today's call will be on an adjusted dollar basis, which we clearly define in the news release that was issued this morning. Adjusted amounts exclude the impact of restructuring and separation costs, changes in our business model, non-cash impairment charge related to our Rock & Republic trademark, and other adjustments. A reconciliation to the GAAP measures to adjusted amounts can be found in the supplemental financial tables included in today's news release, which is available on our website at kontoorbrands.com. These tables identify and quantify excluded items and provide management's view of why this information is useful to investors. Unless otherwise noted, amounts referred to on this call will be on a constant currency basis, which excludes the translation impact to changes in foreign currency exchange rates. Constant currency amounts are intended to help investors better understand the underlying operational performance of our business, excluding the impacts of shifts in currency exchange rates over the period.

Joining me on today's call are Kontoor Brands President and Chief Executive Officer, Scott Baxter, and Chief Financial Officer, Rustin Welton. Following our prepared remarks, we will open the call for your questions. We anticipate the call will last about one hour.

With that, I turn it over to CEO, Scott Baxter.

Scott Baxter

Thank you Eric. Good morning everyone. Thanks for joining us. Today we're pleased to share with you the progress we've made since our spinoff in May of this year and provide an update regarding the strategic actions we're taking over the near term which also serve as the foundation for achieving our stated annualized total shareholder return goal of 8% to 10%. The strategic initiatives we're implementing and the investments we're making from quality of sales to talent to innovation are driving improved profitability and significant cash generation that will fuel our growth. We remain confident in our plans and our ability to deliver on these commitments. Our resolve to successfully execute against our strategies to drive improved growth and enhance our brands over the long term remains focused and unwavering.

On today's call, we will cover four key areas. First, we will provide select highlights of our third quarter performance,