VF Corporation Q2 revenues rise 15 percent, updates outlook

VF Corporation said on Friday its Q2 revenue for 2018 increased by 15 percent, while net income increased by 31.3 percent from the same period last year.

The company’s sales in Q2 2018 were 3.9 billion US Dollars, up from 3.3 billion US Dollars a year earlier. Net income rose to 507 million US Dollars. Earnings per share were 1.26 dollars on a reported basis. On an adjusted basis, earnings per share increased 19 percent or 21 percent in constant dollars to 1.43 dollars, including an 0.08 dollar contribution from acquisitions.

Updating its outlook for fiscal year 2019 on an adjusted basis, the company said, revenue is now expected to be at least 13.7 billion US Dollars, reflecting an increase of at least 11 percent, compared to the previous expectation of revenue between 13.6 billion US Dollars and 13.7 billion US Dollars. By segment, revenue for outdoor is now expected to increase 7 percent to 8 percent versus the previous expectation of a 6 percent to 8 percent increase; revenue for active is now expected to increase 14 percent to 15 percent versus the previous expectation of a 13 percent to 14 percent increase; revenue for work is still expected to increase more than 35 percent; and, revenue for jeans is now expected to decline 1 percent to 2 percent versus the previous expectation of revenue in line with the prior year.

International revenue is still expected to increase between 12 percent and 13 percent. Direct-to-consumer revenue is now expected to increase between 12 percent and 14 percent versus the previous expectation of an 11 percent to 13 percent increase. Digital revenue is still expected to increase more than 30 percent. Adjusted Gross margin is still expected to approximate 51 percent and adjusted earnings per share are now expected to be 3.65 US Dollars, an increase of 16 percent compared to the previous expectation of 3.52 US Dollars to 3.57 US Dollars.

VF Corporation was founded in 1899 by John Barbey and is based in Greensboro, North Carolina, United States. Founded as the Reading Glove and Mitten Manufacturing Company in 1899, VF Corporation today is one of the world’s largest apparel, footwear and accessories companies having brands such as Vans, The North Face, Timberland, Wrangler and Lee under its portfolio.

Offering apparel, footwear and accessories, the New York-listed company has about 69,000 employees worldwide.

For more recent news on the business, collections and executive changes of VF Corporation, click here.

Picture:Vans website