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V.F. Corporation (VFC-4.06%) has submitted its 10-Q filing for the quarterly period ended December 28, 2024.
The filing reports a 2% increase in revenue to $2.8 billion for the quarter compared to the same period in the previous year. This increase was driven by growth in the Outdoor segment, partially offset by declines in the Active segment.
The Outdoor segment saw a 6% increase in revenues, reaching $1.9 billion, with growth across all regions. The North Face® brand contributed significantly to this growth.
Revenues in the Active segment decreased by 6% to $766.3 million, primarily due to declines in the Asia-Pacific region and the Vans® brand.
The Work segment experienced a 3% decrease in revenues to $216.5 million, with declines in the Europe region and the Dickies® brand.
Gross margin improved by 170 basis points to 56.3%, attributed to lower product costs and reduced promotional activity.
Operating margin increased to 8.0% from a negative margin in the previous year, reflecting higher gross margin and lower impairment charges.
Net income from continuing operations was $169.1 million, or $0.43 per diluted share, compared to a loss of $91.7 million, or $(0.24) per diluted share, in the previous year.
The company completed the sale of its Supreme® brand business on October 1, 2024, for $1.486 billion, resulting in an estimated after-tax loss of $127.5 million.
Cash provided by operating activities was $609.5 million, down from $975.2 million in the previous year, primarily due to changes in working capital.
VF Corporation's balance sheet shows a decrease in short-term borrowings and long-term debt due to the repayment of commercial paper borrowings and the prepayment of a term loan using proceeds from the Supreme sale.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the V.F. Corporation quarterly 10-Q report dated January 29, 2025. To report an error, please email earnings@qz.com.