VF Corp Earnings: An Overview
VF Corporation (NYSE:VFC), a prominent player in the outdoor and lifestyle apparel industry, recently reported its financial outcomes for the second quarter of Fiscal Year 2026, ended September 27, 2025. The company is working diligently on its turnaround strategy, focusing on balanced growth across its brand portfolio. This quarter, VF Corp announced the authorization of a quarterly dividend of $0.09 per share.
In the words of Bracken Darrell, President and CEO of VF Corp, the company is keenly trying to leverage notable growth in The North Face® and Timberland® while addressing challenges faced by the Vans® brand. A significant highlight this quarter was the announcement of the pending sale of the Dickies® brand for $600 million, a move aimed to boost the company's investment capabilities for sustained shareholder returns.
VF Corp Results
The financial highlights of VF Corp for the second quarter are as follows:
| Financial Metrics | Q2'26 | Q2'25 | Year-Over-Year Change |
|---|---|---|---|
| Total Revenue | $2.8B | $2.74B | +2% |
| Operating Income | $313M | N/A | N/A |
| Adjusted Operating Income | $330M | N/A | +5% vs. LY |
| Operating Margin | 11.2% | N/A | +130 bps |
| Adjusted Operating Margin | 11.8% | N/A | +40 bps |
| Earnings Per Share (EPS) | $0.48 | $0.52 | N/A |
| Adjusted EPS | $0.52 | $0.60 | N/A |
VF Corp's revenue for Q2'26 stood at $2.8 billion, reflecting a +2% increase from the previous year. The operating income of the company was $313 million, with an adjusted operating income of $330 million, exceeding expectations. Despite EPS showing a slight reduction, adjusting for specific charges provided a more optimistic figure of $0.52.
Revenue Breakdown by Segments
VF Corp has witnessed varied performance across its major brand segments, with key insights outlined below:
| Major Segments | Revenue Change Q2'26 vs. LY | Revenue Change Constant Currency (C$) |
|---|---|---|
| The North Face® | +6% | +4% |
| Timberland® | +7% | +4% |
| Vans® | -9% | -11% |
Analysis : The North Face® and Timberland® brands demonstrated robust performance, achieving +6% and +7% growth year-over-year, showcasing resiliency and attractiveness to consumers despite prevailing market dynamics. In contrast, Vans® continues to face headwinds, although the sequential improvement is worth noting as management works to stabilize this brand.
VF Corp's revenue performance exceeded the company's prior guidance, partly driven by successful back-to-school shopping seasons and better-than-anticipated wholesaler demand.
Key Developments
Several strategic developments occurred during the quarter. Foremost among them is the impending sale of the Dickies® brand to Bluestar Alliance LLC for $600 million, a transaction expected to enhance VF Corp's investment opportunities and financial flexibility.
Furthermore, VF Corp successfully completed restructuring under its Reinvent initiative, significantly bolstering its long-term operational efficiencies. This transformative journey included collaborating with consulting firms to elevate the company's strategic and financial landscape.
Comments from Company Officers
CEO Bracken Darrell highlighted, "In Q2, we made further progress on our turnaround plan. We delivered broad-based growth for The North Face® and Timberland®, while continuing to moderate declines in Vans®. Looking ahead, we will continue to focus on generating value across our brands and returning the company to sustainable and profitable growth."
Dividends and Share Repurchases
The Board of Directors has approved a quarterly dividend of $0.09 per share, payable on December 18, 2025, to shareholders of record as of December 10, 2025, signifying the company's commitment to providing consistent returns to investors. The report did not mention any updates regarding share repurchases.
VF Corp Stock Forecast
Based on the current analysis, VF Corp's stock shows potential for fluctuation given its strategic transitions and financial health. The company's valuation, factoring in the pending sale of Dickies® and successful performance in leading segments, suggests a cautiously optimistic outlook. Stock price projections consider market dynamics and broader economic indicators.
Stock Price Projections:
- High Projection : With a successful turnaround and increased demand across core brands, the stock can reflect a bullish trend, potentially reaching up to $2 per share.
- Low Projection : If challenges in the Vans® segment persist or unforeseen global economic disturbances arise, a regression to approximately $1.5 per share could occur.
In summary, VF Corp is actively navigating its business model for transformation, growth, and enhanced shareholder value, backed by its strategic initiatives and financial management practices. The company's future performance hinges on the continued execution of its strategic priorities amidst an evolving market landscape.
