The North Face, Vans propel VF Corp.’s 2Q results

VF Corp. reported a 15-percent rise in revenue and stronger profit for the second quarter 2011, led by a 23-percent sales rise of its outdoor and action sports brands, including the The North Face, Vans and Jansport. The company expects to close a deal to acquire Timberland during the third quarter.

VF Corp. (NYSE: VFC) reported a 15-percent rise in revenue and stronger profit for the second quarter 2011, led by a 23-percent sales rise of its outdoor and action sports brands, including the The North Face, Vans and Jansport.

The Greensboro, N.C.-based apparel, footwear and equipment maker said its second-quarter revenue reached $1,840.1 million – up 15 percent from $1,594.1 million during the same period in 2010.

Net income for the second quarter rose to $129.4 million, or $1.17 per diluted share, compared to $110.8 million, or $1 per diluted share a year ago. The earnings were 17 percent stronger than officials expected, and included costs of approximately $0.02 per diluted share related to VF’s pending acquisition of The Timberland Co., which it expects to close during the third quarter.

The 23-precent rise in VF Outdoor & Action Sports revenue to $717.9 million for the second quarter was a record for the segment, fueled primarily by 21-percent and 22-percent growth in the The North Face and Vans brands.

By region, sales in the segment rose 14 percent in the Americas, and 42 percent on the international basis, fueled in part by favorable exchange rates, as the latter rose 29 percent on a constant-currency basis.

Total direct-to-consumer revenues for VF Outdoor & Action Sports rose 22 percent in the quarter, with a 34-percent increase in The North Face direct-to-consumer revenues and a 19-percent increase in Vans direct-to-consumer revenues.

In VF’s other segments, Jeanswear and Sportswear second-quarter revenue each grew 10 percent to $613.4 million, and $120.3 million respectively, Imagewear revenues rose 16 percent to $244.1 million, and Contemporary Brands revenues were up 11 percent to $118.1 million.

Despite all the positive figures, VF’s gross margin declined, as officials said they anticipated, to 45.9 percent, compared to 47.1 percent a year ago, reflecting the impact of higher product costs.

Looking ahead, VF officials increased the company’s full-year 2011 revenue guidance to an estimated 12-13 percent growth, up from previous guidance of about 10 percent. Full-year earnings are expected to rise to $7.50 per diluted share, up from previous guidance of $7.25 per diluted share.

The updated guidance does not include the intended acquisition of Timberland, which is expected to add revenues of $700 million and earnings of $0.25 per share.

"With double-digit revenue growth in all coalitions, and in both our international and direct-to-consumer businesses, VF is firing on all cylinders," VF Chairman and CEO Eric Wiseman said in a statement. "Our marketing investments continue to fuel outstanding growth, our brands are gaining momentum - and we are confident that this momentum is sustainable."

In addition to the earnings release, VF’s board of directors declared a quarterly cash dividend of $0.63 per share, payable on September 19, 2011 to shareholders of record as of the close of business on September 9, 2011.

-- Compiled by David Clucas

For more information about any public company on this page or its financial reports, as well as to view stock prices updated every 15 minutes, visit the SNEWS® Stock Market Updates. Click on:



North Face, Vans boost VF Corp. 1Q earnings

VF Corp. (NYSE:VFC) reported higher revenue and profit for the first quarter, led by its Outdoor & Action Sports segment, including the North Face and Vans brands. The Greensboro, N.C.-based diversified apparel company said its revenue rose 12 percent to $1.96 billion in the more


The North Face 3Q sales growth slows, but parent VF Corp. profits up

A decline in The North Face sales in Europe partly led to slowing revenue growth at parent VF Corp (NYSE: VFC), but positive results from North America, Timberland, and direct-to-consumer sales helped profits rise in the third quarter. VF’s Outdoor & Action Sports group, which more


Full steam ahead: The North Face Q1 sales gain 14 percent for parent VF Corp.

What weak winter? The parent company of The North Face, Vans, and Timberland continued to steamroll ahead with organic revenue of VF Corp.’s (NYSE: VFC) outdoor group (minus the recent Timberland acquisition) up 15 percent for the first quarter 2012. The results comparatively more


The North Face, Vans sales climb more than 20 percent as VF reports strong 4Q earnings

It’s no wonder that VF Corp. continues to focus on acquiring outdoor brands. The company’s outdoor earnings continue to surge and outperform. The parent company of the The North Face, Vans, Jansport and Timberland reported its fourth-quarter 2011 revenue up 37 percent to $2.91 more

Outdoor financials: VF Corp. buys The North Face branded business in China, plus Gander Mountain, Stride Rite, VF, Eddie Bauer, Johnson Outdoors, Timberland

VF Corp. buys The North Face branded business in ChinaVF Corp. (NYSE: VFC) said it has acquired The North Face branded business in China from its licensee, Korea-based Youngone Corp. Financial terms were not disclosed. VF now assumes responsibility for continuing the brand's more


The North Face, Timberland, Vans 1Q sales all up double digits as direct-to-consumer sales soar

VF Corp., parent to The North Face, Timberland and Vans and numerous other outdoor brands, continues to up is direct connections with consumers, and signaled higher confidence for the outdoor industry in 2014. The company’s Outdoor & Action Sports segment reported first-quarter more


VF Corp. 3Q revenue up 23 percent on Timberland acquisition

Bucking the economic doldrums, it’s full steam ahead for The North Face and its parent company VF Crop. (NYSE:VFC). Fresh off its acquisition of the Timberland and SmartWool brands, the Greensboro, N.C.–based apparel, footwear and equipment maker reported record third-quarter more


The North Face keeps up in Europe, 2Q sales rise by double digits

The outdoor giant keeps growing. Despite worries of a tough consumer environment in Europe coupled with a slowdown in the U.S. economic recovery, The North Face and its sister outdoor brands saw double-digit sale gains worldwide. Parent company VF Corp. (NYSE:VFC), reported more


The North Face sees 1Q sales up, but slowing; profits strong

It’s hard to stop a freight train, but eventually it slows down. VF Outdoor, parent to The North Face, Timberland, Vans and SmartWool, reported a healthy 10 percent increase in sales for the first-quarter 2013, but those gains slowed from a year ago. While the cool spring more