VF Corp. topped fiscal third-quarter expectations, but ratcheted back projections for the full year.
Third-quarter net income was flat at $465 million, or $1.16 a diluted share, although adjusted earnings per share from continuing operations increased 14 percent to $1.23, ahead of the $1.21 analysts projected on average.
Sales for the three months ended December rose 5 percent to $3.38 billion. Revenues from continuing operations, excluding the business-to-business workwear businesses the company put on the block this week, rose 6 percent.
The Vans business drove sales up 12 percent while The North Face was up 8 percent.
Steve Rendle, chairman, president and chief executive officer, said: “Our third-quarter performance was strong and our year-to-date results are at the high end of our long-term growth objectives. Despite a mixed holiday season in the U.S., we’re on track to deliver solid performance and are well positioned for continued growth and value creation in fiscal year 2021.”
Even so, the fiscal year isn’t turning out quite as strong as hoped.
VF is now looking for full-year revenues to increase 5 percent to $11.75 billion, instead of the $11.8 billion projected, and adjusted EPS of $3.30, down from the $3.32 to $3.37 previously projected by the company.
Analysts were looking for the company to come in at the high end of that range. The report sent shares down 4.5 percent to $90.32 in pre-market trading on Wall Street.