VF's Q1 loss widens, revenues drop

VF Corporation’s first quarter revenues of 1.9 billion dollars, were down 9 percent or 8 percent in constant dollars.

The company reported loss per share of 67 cents and adjusted loss per share of 33 cents versus the first quarter of the previous year.

VF also announced a quarterly per share dividend of 9 cents.

Commenting on the first quarter results, Bracken Darrell, VF president and CEO, said in a statement: "As I complete my first year at VF, I feel more energised than ever. While the business is still down, the rate of decline moderated quarter-over-quarter versus Q4 and across almost all our brands."

The North Face brand revenue declined 3 percent or 2 percent in constant dollars, with global brand DTC up 6 percent or 8 percent in constant dollars, including broad-based DTC growth in all regions, more than offset by US wholesale.

The company said Vans brand revenues were down 21 percent, reflecting a modest improvement relative to the previous quarter.

Gross margin of 52 percent, was down 80 basis points, operating margin of negative 12.6 percent, declined 1,220 basis points; while adjusted operating margin of negative 4 percent, was down 360 basis points.