Hanesbrands Inc. designs, manufactures, sources, and sells a range of innerwear apparel.
The company’s innerwear apparel, such as T-shirts, bras, panties, shapewear, underwear and socks, as well as other apparel products that are manufactured or sourced in the company’s world-class supply chain.
The company operates across the Americas, Australia, and Asia. The company owns a portfolio of some of the world’s most recognized apparel brands in the core basic and innerwear apparel categories incl...
Hanesbrands Inc. designs, manufactures, sources, and sells a range of innerwear apparel.
The company’s innerwear apparel, such as T-shirts, bras, panties, shapewear, underwear and socks, as well as other apparel products that are manufactured or sourced in the company’s world-class supply chain.
The company operates across the Americas, Australia, and Asia. The company owns a portfolio of some of the world’s most recognized apparel brands in the core basic and innerwear apparel categories including Hanes, Bonds, Bali, Maidenform, Playtex, Bras N Things, Berlei, Wonderbra, Zorba, JMS/Just My Size, and Comfortwash. It’s through the company’s iconic brands that it delivers quality, affordable comfort that is responsibly produced with ethically sourced materials. The company’s brands have been trusted by consumers for generations as its products are in nine out of 10 U.S. households and it is the No. 1 seller of innerwear.
The company continues to extend its market share lead and widen the gap from its competitors by leveraging the unmatched capabilities of its asset base, which consists of three key components: Global go-to-market capabilities, distribution at scale, and world-class manufacturing and sourcing operations. The company captures demand wherever the consumer wants to shop, with products available in every channel, including market leading retailers and through its own direct-to-consumer channels.
Business Strategy
The company’s business strategy integrates its brand superiority, industry-leading innovation and low-cost global supply chain to provide higher value products while lowering production costs. The company operates primarily in the global innerwear apparel category, along with smaller operations within other apparel categories. The business strategy is based on managing and growing the company’s iconic brands through the three key principles of simplifying for growth, focus for impact, and continuously improving to win. By simplifying the portfolio, the company continues to elevate these brands by delivering quality and value to its consumers through innovative brand and product experiences. The company remains focused on the core product offerings while also expanding through innovation and new business opportunities for greater marketplace impact.
The company is taking decisive actions to streamline operations and deliver measurable results and has pushed to reduce inventory and product SKUs through its disciplined inventory management. The company has segmented and consolidated its world-class supply chain for greater efficiency and flexibility and its go-to-market strategy has been reimagined into a winning, repeatable cadence, supported by a robust, consumer-led innovation process that keeps it at the forefront of industry trends. The company is highly confident its iconic brand portfolio, world-class supply chain and product innovation will ensure it will consistently grow sales, expand its margins and generate cash flow.
Over the last three years, the company has experienced several unanticipated challenges, including significant cost inflation, market disruption and consumer-demand headwinds. Despite the challenging global operating environment, the company has been able to balance the near-term management of the business with making the long-term investments necessary to execute its strategy and transform the company. During this time, the company has made meaningful progress on several of its strategic initiatives. The company has pivoted its U.S. innerwear business back to gaining market share, which has been driven by the launch of new product innovation, increased marketing investments in the company’s brands and improved on-shelf product availability. The company has simplified its portfolio by selling its global Champion, U.S.-based outlet store, U.S. Sheer Hosiery, and European Innerwear businesses.
The company’s business strategy reflects this statement in how it cares for and grow its iconic brands through three key principles: Simplify for Growth, Focus for Impact, and Continuously Improve to Win. By simplifying the company’s portfolio, it continues to elevate its brands by delivering quality and value to the company’s consumers through innovative brand and product experiences. This keeps the company focused on its core product offerings while also expanding through innovation and new business opportunities for greater marketplace impact.
Brands
The company’s portfolio of leading brands is designed to address the needs and wants of various consumer segments across a broad range of basic apparel products. The company’s brands have strong consumer positioning that helps distinguish them from competitors and guides their advertising and product development.
Hanes is the cornerstone of the company’s portfolio. The Hanes brand is over 120 years old and is the most widely recognized apparel brand in the United States. As the top-selling apparel brand in the country, Hanes reaches nine out of ten U.S. households, delivering unparalleled comfort, style, and value. Spanning every major product category - including men’s underwear, women’s panties, children’s underwear, bras, socks, T-shirts, fleece and shapewear - Hanes sets the standard for everyday essentials. With one of the broadest distribution footprints in the industry, Hanes products are available across all major retail channels, including mass merchandise, e-commerce platforms, discount stores, and department stores. Collaborations with third party partners have further expanded the brand’s reach to specialty and high-end retailers, solidifying its versatility and appeal. Innovation drives the Hanes brand forward. Following the highly successful 2021 launch of the Hanes Total Support Pouch underwear platform, the company introduced the Hanes Originals line in late 2022, which was designed to resonate with younger consumers. Hanes Originals marked the brand’s first multi-category, multi-geography product launch under the company’s new global innovation framework. In 2024, Hanes continued its innovation momentum with the launch of the Hanes Originals SuperSoft collection, reinforcing its leadership in innovation and creating comfort-driven, style-forward apparel for a new generation. The brand also introduced Hanes Moves, a new men’s collection with X-Temp all-day cooling technology.
Bonds is a megabrand in the company’s portfolio with strong heritage and deep household penetration in its respective market. The Bonds brand is over a century old and is Australia’s largest and most well-known innerwear brand, holding the number one position in men’s underwear, women’s panties, children’s underwear and socks categories. The portfolio also extends to casual apparel, babywear, activewear, sleepwear and bras. While Bonds is distributed across wholesale channels, it’s primarily distributed direct-to-consumer through its retail store network of over 140 stores, a thriving e-commerce business and growing omnichannel services making it easier for consumers to interact with the brand.
Maidenform is America’s number one shapewear brand and has been trusted for stylish, modern bras, panties and shapewear since 1922. It is one of multiple iconic intimate brands in the company’s portfolio. In 2023, the company launched M by Maidenform, a collection of extremely soft-on-the-skin intimate apparel products focused on younger consumers, across channels with strong initial consumer response. As with Hanes, the company is leveraging its global scale with M by Maidenform distributed in multiple countries. Bali offers a range of bras, panties and shapewear sold in the department store channel. Bali Breathe launched in 2024, a new collection crafted from an ultra-soft cotton modal fabric for comfort and breathable support. Playtex, an iconic American brand, offers a range of full-figure wire free support bras and is sold everywhere from mass merchandise retailers to department stores.
In addition, the company offers a variety of apparel products under the following well-known brands: Bras N Things, Berlei, Wonderbra, Zorba, JMS/Just My Size, and Comfortwash.
These brands complement the company’s primary product offerings, allowing it to provide consumers a variety of options to meet their diverse needs.
Segments
The company operates through two segments: U.S. and International.
U.S.
This segment includes core apparel products, such as men’s underwear, women’s panties, children’s underwear, and socks, as well as intimate apparel, which includes bras and shapewear, sold in the United States, under well-known brands that are trusted by consumers. The company is manufacturer and marketer of men’s underwear and children’s underwear in the United States under the Hanes and Polo Ralph Lauren brands, and it is also an intimate apparel category leader in the United States with its Hanes, Bali, Maidenform, and Playtex brands. This segment also includes other apparel sales in the United States of branded products that are primarily seasonal in nature to both retailers and wholesalers.
International
This segment includes innerwear and home goods products, sold outside of the United States, that are primarily marketed under the Bonds, Sheridan, Hanes, Bras N Things, Playtex, Berlei, Wonderbra, Zorba, Rinbros, Sol y Oro, and Polo Ralph Lauren brands. The company’s innerwear brands are market leaders across Australia and certain markets in Latin America. In Australia, the company is the category leader in men’s underwear, and it holds the number one market share in intimate apparel. The company’s largest international markets are Australia, Mexico, Canada, and Latin America.
Customers and Distribution Channels
The company’s products are broadly distributed through its wholesale customers’ stores and websites, as well as through its own stores and websites. In 2024, approximately 74% of the company’s total net sales were in the United States and approximately 26% were outside the United States. The company’s largest customers are Walmart Inc. (‘Walmart’), Amazon.com Inc. (‘Amazon’), and Target Corporation (‘Target’) and accounted for 24%, 13%, and 11% of its total net sales in 2024, respectively. However, the majority of the company’s key customer relationships have been in place for 10 years or more. Walmart, Amazon, and Target its only customers with sales that exceeded 10% of its total net sales in 2024, with substantially all these sales reported within its U.S. segment.
Sales to mass merchants in the United States accounted for approximately 38% of the company’s total net sales in 2024 and included all of its product categories under its Hanes, Maidenform, Playtex, and JMS/Just My Size brands. Mass merchants feature high-volume, low-cost sales of basic apparel items along with a diverse variety of consumer goods products, such as grocery and pharmacy products and other hard lines. The company’s largest mass merchant customer is Walmart.
Sales to pure play e-commerce customers in the United States accounted for approximately 13% of the company’s total net sales in 2024. The company sells products that span across its product categories to pure play e-commerce customers. The company’s largest pure play e-commerce customer is Amazon.
Sales to mid-tier and department stores in the United States accounted for approximately 12% of the company’s total net sales in 2024. Mid-tier stores target a higher-income consumer than mass merchants, focus more on sales of apparel items rather than other consumer goods, such as grocery and pharmacy products. The company sells all its product categories in mid-tier stores. Traditional department stores target higher-income consumers and carry more high-end, fashion conscious products as compared to mid-tier stores or mass merchants and tend to operate in higher-income areas and commercial centers. The company sells products in its intimate apparel, underwear, socks, and other apparel categories through department stores.
Sales to other customers in the United States represented approximately 11% of the company’s total net sales in 2024. The company sells T-shirts, golf and sport shirts, and fleece sweatshirts to wholesalers and third-party embellishers primarily under its Hanes and Hanes Beefy-T brands. The company sells primarily underwear products under the Hanes brands to food, pharmacy and variety stores. The company sells products that span across its product categories to the United States military for sale to servicemen and servicewomen, as well as through discount retailers.
Manufacturing, Sourcing and Distribution
During 2024, almost 75% of the apparel units the company sold were from finished goods manufactured through a combination of facilities the company owns and operates, and facilities owned and operated by dedicated third-party contractors who perform some of the steps in the manufacturing process for it, such as dyeing, cutting and/or sewing. The company’s sourced the remainder of its finished goods from third-party manufacturers who supply it with finished products based on its designs. In making decisions about the location of manufacturing operations and third-party sources of supply, the company considers a number of factors, including labor, local operating costs, geopolitical factors, product quality, regional infrastructure, applicable quotas and duties and freight costs. The company’s balanced approach to product supply, which relies on a combination of owned, contracted and sourced manufacturing located across different geographic regions, increases the efficiency of its operations, reduces product costs, diversifies risk, increases flexibility and offers customers a reliable source of supply.
Finished Goods That Are Manufactured by Hanesbrands
The manufacturing process for the finished goods that the company manufactures begins with raw materials it obtains from suppliers. The principal raw materials in the company’s product categories are cotton and synthetics. Cotton and synthetic materials are typically spun into yarn by the company’s suppliers, which is then knitted into cotton, synthetic and blended fabrics. The company sources all of its yarn requirements from large-scale domestic and international suppliers. To a lesser extent, the company purchases fabric from several domestic and international suppliers in conjunction with its scheduled production. In addition to cotton yarn and cotton-based textiles, the company uses thread, narrow elastic and trim for product identification, buttons, zippers, snaps. and lace. These fabrics are cut and sewn into finished products, either by the company or by third-party contractors. The company operates 20 manufacturing facilities. Most of the company’s cutting and sewing operations are strategically located in Asia, Central America and the Caribbean Basin. Alternate sources of these materials and services are readily available.
Finished Goods That Are Manufactured by Third Parties
In addition to the company’s own manufacturing capabilities, it also sources finished goods from third-party manufacturers, also referred to as ‘turnkey products.’ Many of these turnkey products are sourced from international suppliers by its strategic sourcing hubs in Asia.
Distribution
As of December 28, 2024, the company’s distributed its products from 26 distribution centers. These facilities include 9 facilities located in the United States and 17 facilities located outside the United States, primarily in regions where the company sells its products. The company internally manages and operates 15 of these facilities, and it uses third-party logistics providers who operate the other 11 facilities on its behalf.
Seasonality
The company’s operating results are typically subject to some variability due to seasonality and other factors. For instance, the company has historically generated higher sales during the back-to-school and holiday shopping seasons and during periods of cooler weather, which benefits certain product categories such as socks and fleece. The company’s diverse range of product offerings, however, typically mitigates some of the impact of seasonal changes in demand for certain items. Sales levels in any period are also impacted by the company’s customers’ decisions to increase or decrease their inventory levels of its categories in response to anticipated consumer demand or the overall inventory levels of their other product categories.
Although the majority of the company’s products are replenishment in nature and tend to be purchased by consumers on a planned, rather than on an impulse basis, its sales are impacted by discretionary consumer spending trends.
Product Innovation and Marketing
A significant component of the company’s business strategy is its strong product research and development and innovation capabilities, including the development of new and improved apparel technology platforms, as demonstrated by the fact that in 2024, the company filed 20 patent applications and had 23 patents issued in the U.S. and around the world. The company’s developments include its innovative fabric platforms ComfortBlend, FreshIQ, and XTEMP, as well as its product design innovations, such as Comfort Flex Fit, DreamWire, and SmoothTec. The company launched its innovative Total Support Pouch in men’s underwear, which is the subject of a number of patent registrations and pending applications. In 2022, the company launched a new and improved line of the Total Support Pouch platform that incorporates its X-Temp fabric technology, and the company expects the patented pouch construction to continue to play a significant role in our innovation pipeline. In 2023, the company launched M by Maidenform across retail channels, elevating the brand with bright colors, soft fabrics and youthful designs. Bonds Whoopsies, created by parents for parents, incorporated anti-odor and absorbency technology into reusable baby products. Hanes Originals continues to play a prominent role in its innovation pipeline, and in 2024, Bonds and Hanes continued to build on the company’s proprietary absorbency platform, offering Hanes training pants for kids, as well as women’s and girls’ absorbency underwear. The company’s absorbency technology has significant opportunity for platform expansion in both the underwear and activewear product lines. The Hanes Moves collection also incorporates X-Temp all-day cooling technology and Bali Breathe is crafted from an ultra-soft cotton modal fabric for comfort and breathable support.
Driving innovation platforms across brands and categories is a major element of the company’s business strategy as it is designed to meet key consumer needs and leverage advertising dollars.
Competition
In the United States, the company competes with Fruit of the Loom, Inc., a subsidiary of Berkshire Hathaway Inc., through its own offerings and those of its Vanity Fair Intimates offerings. Other global competitors in the company’s innerwear category include Victoria’s Secret & Co. and Jockey International, Inc.
Intellectual Property
The company markets its products under hundreds of its own trademarks in the United States and other countries around the world, the most widely recognized of which are Hanes, Bonds, Bali, Maidenform, Sheridan, Playtex, Bras N Things, Berlei, Wonderbra, Zorba, JMS/Just My Size, and Comfortwash. Some of the company’s products are sold under trademarks that have been licensed from third parties, such as Polo Ralph Lauren men’s underwear.
Some of the company’s trademarks are licensed to third parties. In the United States and Canada, the Playtex trademark is owned by Playtex Marketing Corporation, of which the company owns a 50% interest and which grants to it a perpetual royalty-free license to the Playtex trademark on and in connection with the sale of apparel in the United States and Canada. In Europe, the company licenses the Playtex and Wonderbra trademarks to the DIM Brands International Group for the sale of innerwear products in the European Union, the United Kingdom and a number of European countries. The DIM Brands International Group also has the right to distribute Maidenform-branded innerwear products in the European Union, the United Kingdom, and several other European countries. Outside the United States and Canada, the company owns the Playtex trademark and perpetually license such trademark to an unaffiliated third party for non-apparel products. The company owns the Berlei trademark in Australia, New Zealand, South Africa and a limited number of smaller jurisdictions. Apart from these jurisdictions, the Berlei trademark is owned by an unaffiliated third party in most major markets, including Japan, China, the United States and the European Union.
The company also owns a number of copyrights. Most of the company’s copyrights are unregistered, although it has a sizable portfolio of copyrighted lace designs that are the subject of a number of registrations at the United States Copyright Office.
Governmental Regulation and Environmental Matters
The company is subject to federal, state and local laws and regulations in the United States that could affect its business, including those promulgated under the Occupational Safety and Health Act, the Consumer Product Safety Act, the Flammable Fabrics Act, the Textile Fiber Product Identification Act, the rules and regulations of the Consumer Products Safety Commission. and various environmental laws and regulations.
The company also has been identified as a ‘potentially responsible party’ at certain waste disposal sites in the United States undergoing investigation and cleanup under the federal Comprehensive Environmental Response, Compensation and Liability Act (commonly known as Superfund) or state Superfund equivalent programs.
Discontinued Operations
In June 2024, the company reached the decision to exit the U.S.-based outlet store business and the global Champion business, excluding the Champion Japan business, (‘global Champion business’). The company completed the exit of the U.S.-based outlet store business in July 2024 and completed the sale of the intellectual property and certain operating assets of the global Champion business in the fourth quarter of 2024 on September 30, 2024. In December 2024, the company finalized plans to exit the Champion Japan business and expects to complete the sale of the business within the next 12 months. The company determined that the exit of the global Champion business, U.S.-based outlet store business and the Champion Japan business represent multiple components of a single strategic plan that met held-for-sale and discontinued operations accounting criteria in 2024.
Research and Development
Research and development expense was $15,988 in 2024.
History
Hanesbrands Inc. was founded in 1901 as a Maryland corporation.
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