Gildan Activewear's stock surged 5.17% during Thursday's intraday trading session following the release of its first-quarter financial results.

The apparel maker reported adjusted earnings of $0.43 per share, significantly exceeding analyst estimates that ranged from $0.35 to $0.40. Quarterly sales reached approximately $1.17 billion, also beating consensus forecasts and representing a substantial increase from the previous year, largely due to contributions from the recently acquired HanesBrands business.

The company reiterated its full-year 2026 guidance, expecting revenue between $6 billion and $6.2 billion and adjusted earnings of $4.20 to $4.40 per share, which aligns with market expectations. While the company reported a net loss primarily due to acquisition-related charges from the HanesBrands integration, the strong adjusted earnings performance and sales growth driven by the acquisition appear to have positively influenced investor sentiment.