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Sep 26, 2020
VF Corp Q2 2021 Earnings Report
VF Corp reported a decline in revenue due to COVID-19 impacts but saw growth in digital and China.
Key Takeaways
VF Corporation reported an 18% decrease in revenue to $2.6 billion, driven by store closures and reduced consumer demand due to COVID-19. Despite these challenges, the company saw strong growth in its digital and China businesses and raised its dividend by 2 percent.
Revenue decreased 18 percent to $2.6 billion due to COVID-19 impacts.
Digital revenue increased 44 percent.
Greater China revenue increased 16 percent.
Adjusted earnings per share was $0.67.
VF Corp
VF Corp
VF Corp Revenue by Segment
Revenue by Segment
Outdoor segment Revenue
CapyFin.comActive segment Revenue
CapyFin.com Forward Guidance
Full year fiscal 2021 revenue is expected to be at least $9.0 billion, reflecting a decrease of approximately 14 percent on an adjusted basis. Adjusted earnings per share is expected to be at least $1.20, reflecting a decrease of approximately 55 percent.
Positive Outlook
- Revenue expected to be at least $9.0 billion.
- Low single-digit growth in the second half.
- Return to growth in the fourth quarter.
- Adjusted earnings per share is expected to be at least $1.20.
- Adjusted free cash flow is still expected to exceed $600 million.
Challenges Ahead
- Revenue decrease of approximately 14 percent on an adjusted basis.
- Adjusted earnings per share reflecting a decrease of approximately 55 percent.
- COVID-19 related business disruptions.
- Store closures.
- Lower consumer demand.
Revenue & Expenses
Visualization of income flow from segment revenue to net income