Wrangler And North Face Parent VF Corp. Misses Profit And Sales Expectations

By Tomi Kilgore Markets MarketWatch Pulse

Shares of VF Corp. fell 1.6% in light premarket trade Friday, after the apparel maker and accessories seller, which brands include Lee and Wrangler jeans and JanSport and The North Face outdoor products, missed first-quarter profit and sales expectations. Net earnings fell to $209.2 million, or 50 cents a share, from $260.3 million, or 61 cents a share, in the same period a year ago. Excluding non-recurring items, ongoing earnings per share came to 52 cents, below the FactSet consensus of 55 cents. Revenue declined 2% to $2.58 billion, missing the FactSet consensus of $2.73 billion, as a slight beat in outdoor and action sports sales was offset by bigger-than-expected declines in jeanswear, imagewear and sportswear. The company affirmed its 2017 revenue growth outlook in the "low single-digit" percentage range. "The company's largest brands and international and direct-to-consumer platforms performed well, delivering solid results against a retail backdrop that continues to experience significant dislocation," said Chief Executive Steve Randle. The stock has climbed 8.4% year to date through Thursday, while the S&P 500 has gained 6.7%.

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