V.F. Corp Tumbles After Q4 Miss, Vans Slump And Gloomy Q1 Forecast

V.F. Corporation VFC shares are trading lower in the premarket session on Wednesday after the company reported fourth-quarter results.

The company reported quarterly adjusted earnings per share of 13 cents loss, beating the street view of 14 cents loss. Quarterly sales of $2.14 billion (down 5% year over year) missed the analyst consensus estimate of $2.18 billion.

Sales from the Vans unit dropped 22% year over year. The decline was in line with the previous quarter, partly due to strategic changes. Vans’ customer traffic in global direct-to-consumer (DTC) stores remained weak. While new product sales grew, they were outweighed by declines in core iconic items.

Also Read: Top Wall Street Forecasters Revamp VF Corporation Expectations Ahead Of Q4 Earnings

V.F. Corporation reported an adjusted gross margin of 53.4%, up 560 basis points year over year.

The company exited the quarter with cash and equivalents worth $429.38 million. V.F. Corporation had inventories worth $1.627 billion.

“The transformation of VF is well underway,” said Bracken Darrell, president and CEO.

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“In FY25, we achieved our goals to lower our cost base and strengthen our balance sheet. We delivered on our initial target of $300 million gross cost savings and are on track towards our medium-term targets of $500 to $600 million net operating income expansion,” Darrell added.

Dividend: The firm declared a quarterly dividend of $0.09 per share, payable on June 18.

Outlook: VF Corp expects Q1 FY26 revenue to decline 3% to 5% year over year, with an adjusted operating loss between $110 million and $125 million.

Price Action: VFC shares are trading lower by 12.1% to $12.68 at last check Wednesday.

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