Active segment revenue increased 8 per cent (up 11 per cent in constant dollars) including a 20 per cent (23 per cent in constant dollars) increase in vans brand revenue. Outdoor segment revenue increased 7 per cent (up 11 per cent in constant dollars) including a 9 per cent (12 per cent in constant dollars) increase in The North Face brand revenue and a 2-percentage point revenue growth contribution from acquisitions.
VF Corporation’s international revenue increased 2 per cent (up 8 per cent in constant dollars) during the first quarter. Excluding acquisitions and divestitures and on an adjusted basis, international revenue increased 4 per cent (up 10 per cent in constant dollars). While China revenue increased 21 per cent (up 29 per cent in constant dollars).
The company’s direct-to-consumer revenue increased 14 per cent (up 17 per cent in constant dollars), while digital revenue increased 24 per cent (up 28 per cent in constant dollars).
VF Crop now expects its full year fiscal 2020 adjusted revenue from continuing operations to approximate $11.8 billion, reflecting growth of approximately 6 per cent (8 per cent on a constant dollar basis, excluding acquisitions and divestitures).
“Our first quarter represents a new chapter for VF following the spin-off of Kontoor Brands and our relocation to Denver, Colorado,” said Steve Rendle, chairman, president and chief executive officer. “Our first quarter results demonstrate the power of VF’s evolved portfolio and our progress along our journey to become a purpose-led, performance-driven, value-creating enterprise anchored in our commitment to be more consumer-minded and retail-centric in everything we do. As a result of our strong results and increased confidence in the full year, we are raising our fiscal 2020 outlook, including an additional $20 million of investments aimed at accelerating growth and value creation in fiscal year 2020 and beyond.” (RKS)