Shorebreak Hotel as a venue for industry events. Cinematographer Louie Schwartzberg's "Moving Art Retreat" in June at Turtle Bay Resort. Details on Industry Insight.
VF Corp. reported third quarter results after the market closed this afternoon. Here are the top-line highlights:
(SES members, click here to read a detailed report on VF CEO Eric Wiseman's comments this afternoon about Reef, Vans, possible acquisitions, inventory replenishment and more.)
Total revenue: down 5% to $2.1 billion, or down 3% in constant currency.
Net income: down 6.8% to $217.9 million.
Gross margins: 44.3%
International revenue: down 2% in constant currency, mainly from weakness in the jeanswear business in Europe. Vans and The North Face saw international revenues increase in constant currency. VF's international business in Asia rose 32%.
VF-owned retail revenues: up 6%, with strength from Vans, The North Face, 7 For all ManKind and Napapijri. VF retail revenue accounted for 15% of total company revenue in the quarter. The company ended the quarter with 733 stores.
Inventory: down 13% vs. Sept. 2008.
Cash and equivalents: $379 million.
Full year forecast: The company raised it estimate to the upper part of its previous range. VF now expects revenue to fall 6% for the year, with earnings per share ranging from $4.85 to $5.
Total revenue: flat overall, up 3% in constant currency.
Operating income: 23.1%
Vans global revenue: up 4% in constant currency.
The North Face revenue: up 10% in constant currency.
Americas: up 1%
International: up 4% in constant currency with strong growth in Asia.
Owned-retail revenue: up 17%, with double-digit growth for The North Face and Vans. VF said Vans same-store sales rose in the mid-single digits in the third quarter.
Revenue: up 3%, or 4% in constant currency, mainly from addition of Splendid and Ella Moss.
7 For All Mankind: Revenue fell in quarter as upper end department stores and boutiques struggled. However, VF was pleased with the brand's double-digit operating margin. The brand also saw strength in its direct-to-consumer business and its business in Asia. 7 For All Mankind has opened 13 stores so far this year and expects to open 20 by year-end.
For the full VF press release, click here.