The US-based VF Corporation is elated at the first quarter financial results ending 29 June 2019.
And why not!
The company has, during the said period, seen its revenue from continuing operations increase by 6 per cent (up 9 per cent in constant dollars) to US $ 2.3 billion.
Excluding acquisitions and divestitures, the adjusted revenue of the firm increased 9 per cent (up 11 per cent in constant dollars).
VF Corporation is one of the world’s largest apparel, footwear and accessory companies, which owns famous brands like Vans, The North Face, Timberland and Dickies. It also sources a good volume of apparels from Indian manufacturers.
The company’s full year fiscal 2020 adjusted revenue from continuing operations is now expected to approximate US $ 11.8 billion, reflecting a growth of approximately 6 per cent (8 per cent on a constant dollar basis, excluding acquisitions and divestitures).
The company’s active segment revenue increased 8 per cent (up 11 per cent in constant dollars) including a 20 per cent (23 per cent in constant dollars) increase in Vans brand revenue. The outdoor segment revenue increased 7 per cent (up 11 per cent in constant dollars) including a 9 per cent (12 per cent in constant dollars) increase in The North Face® brand revenue and a 2-percentage point revenue growth contribution from acquisitions.
Speaking about the Q1 performance, Steve Rendle, Chairman, President and CEO said, “Our first quarter represents a new chapter for VF following the spin-off of Kontoor Brands and our relocation to Denver, Colorado. These results demonstrate the power of VF’s evolved portfolio and our progress along our journey to become a purpose-led, performance-driven, value-creating enterprise anchored in our commitment to be more consumer-minded and retail-centric in everything we do.”
He further added, “As a result of our strong results and increased confidence the whole year, we are raising our fiscal 2020 outlook, including an additional US $ 20 million of investments aimed at accelerating growth and value creation in fiscal year 2020 and beyond.”
