VF Corp’s total revenue rose 5.5 per cent in the fourth quarter. Revenue from Vans, known for its iconic classic slip-ons, rose 14 per cent in the quarter, compared with a 45 per cent increase in the same period a year earlier. North Face saw an eight per cent growth in revenue, down from 11 per cent the same period last year. Full-year sales for VF Corp’s active segment are expected at six per cent to seven per cent compared with a 16 per cent growth in 2019.
Apparel maker VF Corp is known for its popular outdoor wear label North Face and sneaker brand Vans. The company also forecast a four to five per cent sales growth in the outdoor segment that includes North Face, compared with a nine per cent increase in 2019. Vans is the largest brand in the portfolio. VF Corp wants to better focus on the high-margin brands, and is, therefore, spinning off its less profitable jeans business, including Lee and Wrangler. The company launched new collections under the brands to drives sales, kept a tight lid on inventories and sold at full price. But the efforts didn’t pay off. The company now expects sales growth in its active segment, which includes Vans, to slow down further.