Retail & Brands


VF Corporation reports third quarter fiscal 2024 results and announces strategic portfolio review

VF Corporation (NYSE: VFC) today reported financial results for its third quarter (Q3'FY24) ended December 30, 2023, announcing a quarterly per share dividend of $0.09 and reiterating FY24 free cash flow guidance.

Bracken Darrell, President and CEO, said: "Our third quarter top-line performance was disappointing. However, we are confident the actions we are implementing as part of Reinvent will enable VF to stabilize and then grow revenue and improve operational performance across brands and regions. We have already begun to see the impact of our efforts to right-size the company’s cost structure and improve its inventory position, resulting in stronger than expected cash flow and expanded gross margin in the quarter. This quarter marked the beginning of the next phase of our transformation plan: resetting the marketplace for Vans, reviewing our brand portfolio and continuing to build the organization of the future. As we approach the end of this fiscal year, my confidence in VF’s future is rising."

Q3'FY24 Financial and Operating Highlights

Revenue down 16% (down 17% in constant dollars) to $3.0 billion

The quarter was negatively impacted by a shift in timing of wholesale deliveries, which was most pronounced for The North Face® and the EMEA region

Loss per share $(0.11) versus Q3'FY23 earnings per share $1.31; adjusted earnings per share $0.57 versus Q3'FY23 adjusted earnings per share $1.12

The North Face® down 10% (down 11% in constant dollars); in the first nine months of FY'24 revenue is up 4% (up 3% in constant dollars)

APAC region up 26% (up 28% in constant dollars), including Greater China up 31% (up 32% in constant dollars)

Vans® down 28% (down 29% in constant dollars), inclusive of deliberate actions taken to right-size inventories in the Wholesale channel

Americas region down 24% (down 25% in constant dollars)

International business down 5% (down 8% in constant dollars)

APAC region up 2% (up 3% in constant dollars), including Greater China up 5% (up 7% in constant dollars)

EMEA region revenue down 7% (down 12% in constant dollars)

Inventories at the end of Q3'FY24 down 17% relative to last year

Net debt at the end of Q3'FY24 reduced by approximately $640 million relative to last year


During the quarter, the company continued to execute the Reinvent transformation program, which aims to enhance focus on brand-building and to improve operating performance. The initial four priorities of Reinvent are to improve North America results, deliver the Vans turnaround, reduce costs and strengthen the balance sheet. The company will continue to pursue opportunities to simplify and streamline its processes and invest in the business to drive brand heat and accelerate a return to growth.

Strategic Portfolio Review

Consistent with the goals of Reinvent, VF has initiated an in-depth strategic review of the brand assets within the portfolio, in alignment with the Board of Directors, to ensure the company owns the brands that it believes create the greatest long-term value.

FY24 Outlook

The company reaffirmed its free cash flow guidance for FY24 of approximately $600 million.

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