VF Fourth Quarter Income Failed To Reach The Standard, Its Vans Grew Strongly In The Fourth Quarter.

According to the world clothing shoes and hats net, VF Corp. (NYSE:VFC) VF Corporation The fourth quarter earnings announced yesterday were not up to standard, but earnings and the outlook for the 2017 fiscal year were all in line. market Expect. VF Corp. (NYSE:VFC) rose by 3.7% to 52.24 dollars in early trading.

In the fourth quarter of fiscal year 2016, the Group recorded a net profit of 264 million 300 thousand US dollars, down 15.3% from the same period last year. EPS decreased from 0.72 US dollars to 0.63 US dollars in the same period of the previous year, adjusted by EPS $0.97, which is in line with market expectations. However, the income of 3 billion 320 million 600 thousand dollars in the same period of the previous year is not as good as that of the Zacks analysts, which combined 18 analysts' expectations of US $3 billion 450 million, and the growth rate of income after the exchange rate was 1%.

Net profit for the year also recorded a 12.8% decline, falling from $1 billion 231 million 600 thousand in fiscal year 2015 to $1 billion 74 million 100 thousand. EPS fell from $2.85 to 2.54 US dollars, adjusted by EPS to $3.11, a 6.3% lower than the market expected $3.32. The total income of $12 billion 19 million is basically the same as that of the previous year's US $12 billion 33 million, but it has a gap of 600 million US dollars with the market expectation of US $12 billion 620 million.

Eric Wiseman Wiseman, executive chairman of VF Corp. group, said in the earnings report that he was satisfied with international business (38% of revenue) and continuous growth of directly facing the consumer platform (28% of revenue), and the strong gross margin and cash flow enabled the group to give shareholders a record of $1 billion 600 million in the form of share repurchase and dividend payment. The dividend in 2016 was $1.53 per share, a significant increase of 15% over the $1.33 in 2015, and has been rising for 45 consecutive years.

Eric Wiseman has retired from the CEO position at the beginning of 2017, opening up the power spanition of the group, and promoted to CEO by the chief operating officer, Steve Rendle.

The fourth quarter gross margin increased by 90 basis points to 49.1%, mainly due to international business and the direct contribution to the consumer platform. Vans Excellent brand performance.

During the period, Vans fan realized 14% fixed exchange rate revenue growth, the annual growth rate was 7%, and the income reached 2 billion 300 million US dollars. It has been able to compare with the VF Corp. rich group's head card The North Face for many years, and the latter in North America (because of deliberately reducing discount channel sales and bankruptcy of some physical education retailers) and the downturn in the Asia Pacific region, resulting in a 7% decline in the fourth quarter revenue and a 1% to 2 billion 300 million US dollar in the whole year. Timberland's income increased 4% in the fourth quarter and increased 1% to $1 billion 800 million in the whole year. The outdoor and extreme sports departments of the three pillar brands rose 2% in the four quarter and the whole year, rising to 2 billion 133 million 200 thousand US dollars and 7 billion 533 million 100 thousand US dollars respectively, accounting for over 6 of the group's total revenue.

Regarding the market's doubts about the loss of luster of Vans van SSE in recent months, Eric Wiseman has pointed out that such a report is completely exaggerated at the post earnings conference. He stressed that the brand increased by 10% in 2015 and further increased by 8% last year. It only accounts for 25% of EMEA's business, which has experienced an imbalance in inventory, resulting in a slight decline in revenue in the fourth quarter. Now the group still expects EMEA to reverse its downtrend in the fourth quarter of this year.

In the other 3 sectors, only the uniformed sector grew, and the fourth quarter and the whole year increased by 15% and 2% to 298 million and 1 billion 100 million US dollars respectively. The fourth quarter income of the denim department, including Wrangler and Lee, decreased by 4% compared to the same period last year. It was flat in the previous year, and the income was $2 billion 737 million 700 thousand. The fourth quarter Lee was particularly weak, with a decrease of 11%, while Wrangler Wrangler had a slight increase of 1%, while the annual income of 1 billion US dollars and 1 billion 700 million US dollars fell by 1% respectively. The sportswear department, composed of Nautica and Kipling, declined significantly. The fourth quarter and annual income decreased by 17% and 16% to 162 million 300 thousand US dollars and 536 million 300 thousand US dollars respectively.

In August 26, 2016, VF Corp. rich group completed the spanaction with the Israeli textile company Delta Galil Industries Ltd. (TLV:DELT) for sale of the contemporary brand business including 7 For All Mankind and Ella Ella Delta. Last year, the business recorded a loss of $98 million, resulting in a year-on-year decline in the group's operating profit of 16.1% to $1 billion 499 million 200 thousand, while adjusted operating profit also dropped 6% to $1 billion 700 million.

For fiscal year 2017, the Group expects EPS to decline in the median, while revenue is expected to have low single digit growth. The gross profit margin outlook is 48.6%, basically unchanged after adjustment.

At the time of the deadline, VF Corp. (NYSE:VFC) rose to 4.1% at 11:59 p.m. Eastern time at AM NYSE:VFC. The stock fell to $48.05 at the beginning of this month, the lowest since October 2013, and the stock has fallen 14.3% in the past 52 weeks as of Thursday, 16.

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