Key Takeaways
- VF Corporation stock fell Wednesday morning despite the apparel company releasing results that topped estimates.
- The parent of North Face, Timberland, and other brands beat sales and profit estimates for the third quarter of fiscal 2025.
- VF said it expects revenue for the current quarter to be down 4% to 6% from the same time last year.
Shares of VF Corporation dropped Wednesday morning despite the apparel maker reporting third-quarter earnings that topped expectations as sales grew across each of its international regions.
VF (VFC), the parent company of Vans, North Face, and a number of other apparel brands, reported $167.78 million, or 43 cents per share, in net income for the third quarter of fiscal 2025, compared to a $42.45 million loss in the same quarter a year ago.
VF also recorded $2.83 billion in revenue, up about 2% year-over-year and better than the slight decline the company and analysts had projected.
CEO Says VF Has ‘Work to Do’ to Improve Sales, Margins
“Although there is work to do to consistently deliver double-digit operating margins and sustainable top-line growth, we are making great strides in transforming VF into a truly differentiated, multi-brand operator,” CEO Bracken Darrell said.
Looking ahead to the fourth quarter, the company said it expects revenue to come in down 4% to 6% from the year-ago quarter, with a projected adjusted operating loss of up to $30 million.
Sales grew across the globe for the company as a whole, with sales for North Face and Timberland rising 5% and 11%, respectively, from the same time last year as Vans sales fell 9%.
VF shares were down around 5% by mid-day Wednesday.
