•
Jul 01, 2023

VF Corp Q1 2024 Earnings Report

VF Corporation's first quarter performance was impacted by revenue decline and adjusted loss per share, while The North Face experienced growth and the company maintained its FY24 earnings outlook.

Key Takeaways

VF Corporation reported an 8% decrease in revenue, reaching $2.1 billion, and a loss per share of $(0.15) for Q1'FY24. While the North Face brand showed growth, Vans experienced a decline, impacting overall results. The company is focused on improving operational execution and reiterates its full year EPS guidance.

Revenue decreased by 8% to $2.1 billion.

Loss per share was $(0.15), with an adjusted loss per share of $(0.15).

The North Face® delivered 12% revenue growth.

Company reiterates full year EPS guidance range of $2.05 to $2.25.

Total Revenue
$2.09B
Previous year: $2.26B
-7.8%
EPS
-$0.15
Previous year: $0.09
-266.7%
Gross Margin
52.8%
Gross Profit
$1.1B
Previous year: $1.22B
-9.6%
Cash and Equivalents
$807M
Previous year: $528M
+52.7%
Total Assets
$14B
Previous year: $13.2B
+6.3%

VF Corp

VF Corp

VF Corp Revenue by Segment

VF Corp Revenue by Geographic Location

Forward Guidance

VF Corporation anticipates revenue to be modestly down to flat, with EPS guidance range of $2.05 to $2.25, and free cash flow around $900 million.

Positive Outlook

  • Reiterates full year EPS guidance range of $2.05 to $2.25
  • Free cash flow is expected to be in line with previous guidance of approximately $900 million
  • Focus on improving operational execution
  • Emphasis on increasing operating earnings through improved gross margins
  • Generating healthy cash flow and reducing debt

Challenges Ahead

  • Revenue is now expected to be modestly down to flat for the year
  • Ongoing weakness in our wholesale business
  • Longer than anticipated turnaround for Vans
  • Q1 performance is not reflective of our standards
  • It will take time for our revenue performance to benefit from actions that are underway

Revenue & Expenses

Visualization of income flow from segment revenue to net income