Strong revenue growth at Timberland and modest growth at The North Face helped offset deep declines at Vans and Dickies in VF Corp’s fourth-quarter results.
Total VF revenue for the fourth quarter declined 5%, or 3% in constant currency, to $2.14 billion.
For the quarter ended March:
- The North Face revenue increased 2%, or 4% in constant currency, to $834.5 million.
- Vans revenue declined 22%, or 20% in constant currency, to $492.6 million.
- Timberland revenue increased 10%, or 13% in constant currency, to $376 million.
- Dickies revenue decreased 14%, or 13% in constant currency, to $139.3 million.
- Revenue from VF’s other brands increased 1%, or 3% in constant currency, to $301.5 million.
“If you exclude Vans, we’re up 4%,” said VF CEO Bracken Darrell on the company’s Wednesday morning earnings call. According to Darrell, 60% of the decline at Vans in Q4 was due to deliberately eliminating unprofitable or unproductive business.
“As I’ve said before, there’s nothing that’s not working at Vans that we can’t fix with what’s working in the rest of the business,” he said. “We told you last quarter that turnarounds are often non-linear. To be clear, turnarounds can look non-linear from a numerical standpoint, and this quarter is an illustration of that.”
At The North Face, DTC revenue increased 9% with growth in all regions, including double digit growth in the Americas and EMEA.
More on VF Q4 Results
Regionally in Q4:
- Americas revenue decreased 6%, or 5% in constant currency, to $995.2 million.
- EMEA revenue declined 4%, or 2% in constant currency, to $812.3 million.
- APAC revenue was flat, or an increase of 2% in constant currency, at $336.2 million.
Companywide DTC revenue decreased by 5%, or 3% in constant currency, to $920.8 million. Wholesale revenue declined 4%, or 2% in constant currency, to $1.22 billion.
VF Full Year Results
As for VF’s full-year results, the company reported a 4% decrease, also 4% in constant currency, to $9.5 billion.
For each brand:
- The North Face revenue increased 1%, also 1% in constant currency, to $3.7 billion.
- Vans revenue declined 16%, or 15% in constant currency, to $2.3 billion.
- Timberland revenue increased 3%, or 4% in constant currency, to $1.6 billion.
- Dickies revenue decreased 12%, also 12% in constant currency, to $542.1 million.
- Revenue from other brands increased 2%, also 2% in constant currency, to $1.3 billion.
Regionally in FY 2025:
- Americas revenue declined 7%, or 6% in constant currency, to $4.8 billion.
- EMEA revenue decreased 3%, also 3% in constant currency, to $3.2 billion.
- APAC revenue increased 1%, or 2% in constant currency, to $1.4 billion.
DTC revenue in fiscal year 2025 declined 6%, also 6% in constant currency, to $4.1 billion. Wholesale revenue declined 2%, also 2% in constant currency, to $5.3 billion.
Outlook Q1 2026
Revenue is expected to decline between 3% and 5% in the first quarter of fiscal 2026. Operating loss is expected to be between $110 million to $125 million. Adjusted gross margin is anticipated to increase compared to last year, benefiting from fewer discounts and promotions. Adjusted SG&A will be flat to down slightly compared to last year.
VF did not provide guidance for fiscal 2026, but expects free cash flow to increase beyond fiscal 2025’s $313 million. Adjusted operating income is expected to be up compared to last year.
