NEW YORK — VF Corp. on Thursday reported an 11 percent increase in second-quarter earnings to $100 million, propelled by a pickup in June sales and continued strong performance from its outdoor segment.
The Greensboro, N.C.-based manufacturer reported earnings of 88 cents a diluted share, compared with Wall Street analysts’ consensus estimate of 74 cents. Earnings per share got a boost of 7 cents from several onetime events, including the settlement of income tax issues in foreign countries. The company had earnings of $90.1 million, or 80 cents, in the same period a year ago.
“Sales of summer products got off to a slow start this year, but we saw a nice pickup in June, which helped drive our results above our previous expectations,” Mackey McDonald, president and chief executive officer, said during a conference call with analysts.
Sales for the period rose 13.1 percent to $1.44 billion from $1.27 billion, driven by gains from the company’s outdoor and sportswear segments. Recent acquisitions caused sales for the outdoor division to more than double during the quarter, to $297 million from $146 million. Four of the acquired brands — Vans, Kipling, Reef and Napapijri — accounted for $138 million in sales. The North Face and JanSport also posted strong sales results for the outdoor segment.
Eric Wiseman, executive vice president of global brands, said that even though summer is the slowest season for The North Face, the brand continues to grow organically. “Our growth continued to come from expansion in our core sport and sports specialty customer base, driven by our focus on providing the most technical and innovative product in the market,” Wiseman said during the call.
The other standout for the quarter was the company’s sportswear segment, which includes Nautica, John Varvatos and Kipling. Sportswear sales rose 22 percent to $127 million from $105 million.
Jeanswear, the company’s largest segment, posted a 2 percent sales increase to $597 million from $586 million. Wiseman indicated the warmer June weather had its greatest impact on jeans sales in the mass channel.
“We’ve seen very strong growth in our Wrangler jeans company initiative, where shipments are running up about 20 percent year to date,” Wiseman said.
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