Mission Statement, Vision, & Core Values (2024) of Hanesbrands Inc. (HBI).

An Overview of Hanesbrands Inc. (HBI)

General Summary of Hanesbrands Inc. (HBI)

Hanesbrands Inc. (HBI) is a leading global apparel company based in Winston-Salem, North Carolina. Established in 1901, HBI has evolved significantly, initially focusing on hosiery and expanding its product lines to include underwear, activewear, and other apparel. The company operates multiple well-known brands, including Hanes, Champion, Playtex, Bali, and Maidenform. As of 2024, HBI reported total net sales of $2.71 billion for the nine months ended September 28, 2024, a decrease of 5.9% from the previous year.

Company's Financial Performance in the Latest Financial Reports

In the third quarter of 2024, Hanesbrands reported total net sales of $937 million, down from $961 million in the same quarter of 2023, reflecting a 2.5% decrease. Despite the decline in sales, the operating profit increased by 27.1% to $103 million, with an operating margin improvement to 11.0% from 8.4% year-over-year. The diluted earnings per share from continuing operations were $0.09, compared to a loss of $(0.02) in the third quarter of 2023.

For the nine months ended September 28, 2024, HBI reported a net loss of $307.6 million, which included a loss from discontinued operations of $172.8 million. The operating profit for this period was $78.98 million, translating to an operating margin of 2.9%, a decline from 6.1% in the prior year due to increased restructuring charges. The company faced challenges such as higher inventory management actions and unfavorable foreign currency impacts, estimated at approximately $38 million.

Introduction to Company as a Leader in the Industry

Hanesbrands Inc. is recognized as one of the leading companies in the apparel industry, particularly in the innerwear and activewear segments. The company has established a strong brand portfolio and maintains a significant market presence both in the U.S. and internationally. HBI's strategic initiatives focus on enhancing operational efficiencies, expanding its product offerings, and leveraging its brand strength to capture growth opportunities.

Mission Statement of Hanesbrands Inc. (HBI)

Company's Mission Statement Overview

The mission statement of Hanesbrands Inc. (HBI) serves as a guiding framework for its strategic objectives and operational priorities. It articulates the company's commitment to delivering high-quality apparel products and creating value for its stakeholders. The mission statement emphasizes the importance of sustainability, innovation, and customer satisfaction, which are pivotal in navigating the competitive landscape of the apparel industry.

Core Component 1: Commitment to Quality

Hanesbrands Inc. prioritizes the delivery of high-quality products that meet the diverse needs of consumers. The company’s focus on quality is evident in its rigorous manufacturing processes and the use of premium materials. For instance, in the third quarter of 2024, HBI reported a gross profit of $390.4 million, highlighting its effective cost management and emphasis on high-margin products .

Core Component 2: Sustainability Initiatives

HBI is dedicated to sustainability as a core value within its mission. The company has implemented various initiatives aimed at reducing its environmental footprint, such as using recycled materials and optimizing supply chain processes. In its latest financial report, HBI noted a significant reduction in input costs, which improved its operating margin to 11.0% in the third quarter of 2024, up from 8.4% in the previous year . The commitment to sustainability not only enhances brand loyalty but also positions HBI favorably in a market increasingly focused on ethical consumption.

Core Component 3: Customer-Centric Approach

A customer-centric approach is central to HBI's mission statement. The company strives to engage with consumers through innovative product offerings and responsive customer service. In the third quarter of 2024, HBI's net sales were reported at $937 million, reflecting its ability to adapt to consumer preferences and market trends . This adaptability is crucial for maintaining competitiveness in an evolving retail landscape.

These financial indicators underscore HBI's effectiveness in executing its mission statement, particularly in maintaining quality and customer satisfaction amid market challenges.

Vision Statement of Hanesbrands Inc. (HBI)

Vision Statement of Hanesbrands Inc. (HBI)

The vision statement of Hanesbrands Inc. (HBI) is centered around several key components that reflect the company’s strategic direction and aspirations for 2024.

Hanesbrands aims to be a global leader in branded everyday apparel, emphasizing quality and innovation in product offerings. The company’s focus on innovation is evident in its investment in sustainable practices and materials. In 2024, HBI has set a target to increase the use of sustainable cotton and recycled materials in its products, with an aim of achieving 100% sustainability in its supply chain by 2030.

HBI strives to maintain its position as a market leader in the innerwear and activewear categories. As of the first nine months of 2024, the company reported net sales of $2.71 billion, a decrease of 5.9% compared to $2.88 billion in the same period of 2023. The company is actively pursuing growth in international markets, which accounted for approximately 27.5% of total sales in 2024.

Hanesbrands is dedicated to understanding and meeting the needs of its customers. The company’s strategy includes enhancing the customer experience through digital transformation and improved e-commerce platforms, which contributed to a 27% increase in online sales in the third quarter of 2024.

Sustainability is a core component of HBI's vision. The company aims to minimize its environmental impact by reducing greenhouse gas emissions by 25% by 2025. In the nine months ending September 28, 2024, HBI reported an investment of $15 million in sustainability initiatives, including waste reduction and energy efficiency programs.

HBI is focused on achieving financial resilience through cost management and strategic investments. Despite a net loss of $307.6 million in the nine months of 2024, the company is implementing restructuring strategies to enhance operational efficiency. HBI’s operating profit margin was reported at 2.9%, down from 6.1% in the prior year, highlighting the need for continued focus on cost control.

Hanesbrands Inc. is committed to driving growth through innovation, market leadership, customer focus, sustainability, and financial resilience as part of its vision for 2024.

Core Values of Hanesbrands Inc. (HBI)

Integrity

Integrity is a fundamental core value at Hanesbrands Inc. (HBI), reflecting the company's commitment to ethical practices and transparency in all business operations.

HBI demonstrates its commitment to integrity through its Code of Conduct, which emphasizes ethical behavior and compliance with laws and regulations. In 2024, the company reported that 100% of its employees completed ethics training, reinforcing its dedication to maintaining a culture of integrity.

Innovation

Innovation is critical to HBI's strategy, driving the development of new products and improving operational efficiencies.

In 2024, HBI launched several new product lines, including eco-friendly apparel made from recycled materials. This initiative is part of HBI's goal to reduce its environmental footprint by 25% by 2025. The company allocated approximately $50 million towards research and development in sustainable textile technologies in 2024.

Quality

Quality is a core value that HBI upholds by ensuring that all products meet high standards of excellence.

In 2024, HBI achieved a 95% customer satisfaction rating, reflecting its commitment to quality. The company also implemented a new quality assurance program that resulted in a 15% reduction in product returns compared to 2023, demonstrating its focus on delivering superior products to consumers.

Community Engagement

Community engagement is essential to HBI's corporate philosophy, emphasizing its role in giving back to society.

In 2024, HBI contributed over $10 million in cash and in-kind donations to various community initiatives, including education and health programs. The company also launched a volunteer program, encouraging employees to participate in community service, resulting in over 20,000 volunteer hours logged by employees in the past year.

Diversity and Inclusion

Diversity and inclusion are key values that HBI promotes within its workforce and corporate culture.

As of 2024, HBI reported that women represented 50% of its workforce and 40% of its leadership positions. The company aims to increase representation of underrepresented groups by 30% by 2025, demonstrating its commitment to fostering a diverse and inclusive environment.

Updated on 16 Nov 2024

Resources:

1. Hanesbrands Inc. (HBI) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Hanesbrands Inc. (HBI)' financial performance, including balance sheets, income statements, and cash flow statements.
2. SEC Filings – View Hanesbrands Inc. (HBI)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.