Vans-Owner VF Corp's Revenues Fell 6% in Q2 FY2025
However, the results still beat analysts’ expectations.
Vans parent VF Corp beat analysts’ estimates in Q2 FY2025, following two consecutive quarters of losses, according to its latest earnings report.
The company, which also owns The North Face, saw its revenues in China rise by 9%, up from its 4% growth in the year period. On a global scale, VF Corp’s revenues declined by 6% to hit $2.76 billion USD, though the figure still surpassed analysts’ forecasts of $2.71 billion USD, per data via Reuters.
By brand, The North Face recorded a 3% decline in revenue (a significant fall from last year’s 19% increase); and Vans was down 11% from last year, an improvement from Q1’s 21% decrease. Meanwhile, the company’s gross margin increased 52.2%, up by 120 base points from last year.
Still, in light of the better-than-expected results, VF Corp saw its shares climb by 16%. On a currency-adjusted basis, VF Corp recorded a profit of 60 cents per share, ahead of analysts’ estimates of 37 cents per share.
Looking ahead, VF Corp expects revenue to reach approximately $2.7 billion USD to $2.75 billion USD, which would be down 1% to 3% from the year prior. The company forecasts that its adjusted operating income will amount to $170 million USD to $200 million USD, down from last year’s $218 million USD in the same period.
See VF Corp’s full financial report for Q2 FY2025.
