Outdoor apparel and footwear giant VF Corp. reported a loss of $56 million in the first quarter, with inflation, softening consumer demand, and lockdowns in China impacting growth.
The company’s portfolio of brands delivered a mixed bag of results as some drove growth while others reported a decline in sales.
North Face, for one, reported the most impressive growth, with sales reaching $481.1 million, a 31% increase. Supreme came in at a distant second spot, with its sales rising 9% to $393.9 million. Timberland was another top performer as the brand saw its sales rise by 8% to $269.5 million.
On the other end of the spectrum were Vans and Dickies. Vans saw a 7% decline, with sales reaching $946.8 million, while Dickies saw its sales decline to $170.4 million, down from $199.3 million a year ago.
Overall, the company saw its revenue rise by 3% to $2.26 billion, surpassing analysts’ estimates of $2.22 billion.
“We delivered solid top-line results in Q1, ahead of our initial expectations, led by strong consumer engagement with our outdoor, streetwear and active brands amidst a softer consumer environment and inflationary pressures,” said VF Corp. CEO and President Steve Rendle. “Importantly, we are maintaining our operating outlook for FY23, a testament to the resiliency of our purpose-built family of brands.”