VF Corporation, the Denver-based outdoor and activewear group, has announced impressive revenue growth in its first quarter, largely attributed to the success of its popular Vans brand. The company reported a revenue of $2.2 billion for the quarter, representing a significant increase of 104% compared to the same period last year. When adjusted for currency fluctuations, sales rose by 96% year over year.

The active segment of VF Corporation experienced the highest revenue growth in the first quarter, with a staggering 128% increase compared to the previous year. Vans, in particular, saw remarkable sales growth of 110% during this period. The acquisition of streetwear label Supreme, which was finalized in December 2020, also played a pivotal role in driving robust sales performance, adding a 26 percentage point revenue growth.

Excluding the impact of acquisitions, VF Corporation’s total revenue for the first quarter grew by 90% year over year, or 83% when adjusted for currency fluctuations.

The outdoor segment of the company also demonstrated strong growth, with an 81% increase in revenue. The North Face, a leading brand in this segment, experienced a remarkable 93% rise in sales. The work segment also performed well, with a revenue growth of 69%, including a 61% increase at Dickies.

In terms of geographical regions, VF Corporation experienced significant growth both domestically and internationally. Domestic revenue rose by 125%, while international sales increased by 84%. In the Americas, excluding the U.S., sales surged by 175%, and in Europe, the Middle East, and Africa (EMEA), sales increased by 126%. The Asia-Pacific region saw a sales increase of 32%, with Greater China contributing a notable 19% increase, driven by a 23% growth in Mainland China.

VF Corporation’s wholesale channel saw a remarkable 111% rise in sales during the quarter, while direct-to-consumer revenue increased by 97%. The company’s digital revenue also witnessed significant growth, rising by 25%.

The company’s net income for the first quarter reached $324.2 million, or $0.39 per share, a substantial improvement compared to a loss of $285.6 million, or $0.71 loss per share, in the same period last year.

Steve Rendle, VF Corporation’s chairman, president, and CEO, expressed his satisfaction with the company’s performance, stating, “Our teams delivered an outstanding first quarter, powering VF back to pre-pandemic revenue levels while driving an earnings recovery ahead of our expectations.” Rendle also expressed his confidence in the company’s ability to sustain growth beyond fiscal 2022.

Looking ahead, VF Corporation now expects its full-year revenue to reach at least $12.0 billion, reflecting a growth of 30%, which includes a contribution of $600 million from the Supreme brand. This is an upward revision from the company’s previous prediction of $11.8 billion in annual sales.

With the impressive growth showcased in the first quarter, VF Corporation’s recovery is well underway, driven by the success of its iconic Vans brand and strategic acquisitions. The company remains optimistic about its future prospects and is confident in its ability to continue accelerating growth in the coming years.

Useful Links:
1. VF Corporation Official Website
2. Vans Official Website