V.F. Corporation Reports Mixed Q4 Results, Gives 2015 Guidance

V.F. Corp. reported mixed fourth-quarter and 2014 fiscal year performance.

Net income for the quarter was $122.1 million, or 28 cents per diluted share. That was a decrease compared with the year-ago period, when profits were $367.7 million, or 82 cents per share. Analysts had expected the company to make 98 cents per share.

Revenue for the quarter rose 9 percent over the year-ago quarter, to $3.6 billion. Last year, sales were $3.3 billion in the fourth quarter. One strong-performing category was outdoor and action sports. Sales were in line with analyst expectations of $3.59 billion in revenues for the quarter.

Vans also hit a milestone in the quarter, surpassing $2 billion in sales. Revenue in 2014 was up 17 percent on a currency-neutral basis. E-commerce sales also performed well during the year, with a lot of momentum in China and Korea. The company expects revenue for Vans to be in the mid-teens for fiscal 2015.

Timberland’s fourth-quarter sales were up 15 percent globally on a currency-neutral basis, and wholesale was very strong. V.F. expects Timberland sales to grow to the low teens in 2015.

For the year, V.F. reported a revenue jump of 8 percent, to $12.3 billion, compared with $11.4 billion in 2013. Adjusted earnings per share were $3.08 for the year, but on a GAAP basis, they were $2.38 per share.

During fiscal 2015, V.F. gave guidance for a modest year, with revenue expected to rise 8 percent on a currency-neutral basis. Revenues for the outdoor-and-action category are expected to increase by a low double-digit percentage. Earnings per share on a currency-neutral basis are expected to rise 12 percent over 2014.

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