Vans-Owner VF Raises Sales Guidance After Quarterly Loss Narrows

Dow Jones
07/29
 
 

VF raised its full-year guidance after a stronger-than-expected first fiscal quarter, buoyed by growth at The North Face and Timberland brands.

The apparel company, which also owns Vans, raised its full-year sales outlook following a stronger-than-expected first quarter. The company now expects full-year revenue to grow by at least 2% on a constant-currency basis, up from its previous target of 1% to 2%.

Chief Executive Bracken Darrell said the company's The North Face, Timberland and Altra brands delivered another quarter of growth, while Vans Americas DTC continued to grow but was more than offset by declines in global wholesale.

Darrell expects performance at Vans to pick up in the latter half of the year. "We expect Vans Wholesale to improve significantly in the second half of the year," he said.

For the three months ended June 30, VF reported a narrowed net loss of $97.2 million, or 25 cents a share, compared with a loss of $116.4 million, or 30 cents a share, in the same quarter a year ago.

According to FactSet, analysts were expecting a loss of 22 cents a share.

Revenue fell 5% to $1.67 billion, but was above analyst forecasts, which expected a slightly steeper decline to $1.64 billion.

The company finalized the sale of the Dickies brand to Bluestar Alliance in late 2025. Excluding Dickies, revenue rose 1% compared with a year ago, or flat on a constant currency basis, which was ahead of guidance of for a low-single digit percentage fall at constant currency.

 
 

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