VF Corp Q2 revenue beats estimates on brand performance
VF Corp Q2 revenue beats estimates on brand performance
Overview
U.S. apparel and footwear company's fiscal Q2 revenue beat analyst expectations, up 1% ex Dickies
Adjusted EPS for fiscal Q2 beat analyst expectations
Company reported strong operating income and gross margin expansion in fiscal Q2
Outlook
VF Corp reaffirms FY27 revenue growth of 2% or better in constant currency
Company expects FY27 adjusted operating margin of about 8%
VF Corp sees FY27 free cash flow at $515M or higher
Result Drivers
BRAND PERFORMANCE - The North Face and Timberland delivered consistent growth, Altra grew over 40%, driven by product innovation and marketing
VANS TURNAROUND - Company said global DTC for Vans returned to growth and expects wholesale improvement in H227
MARGIN EXPANSION - VF reported continued gross margin expansion, contributing to improved operating income
Company press release: ID:nBw5ktCSja
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $2.70 bln | $2.67 bln (20 Analysts) |
Q2 Adjusted EPS | Beat | $0.70 | $0.54 (20 Analysts) |
Q2 EPS |
| $0.71 |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 10 "strong buy" or "buy", 13 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the apparel & accessories peer group is "buy."
Wall Street's median 12-month price target for VF Corp is $17.00, about 0.2% above its October 27 closing price of $17.03
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)