Record Q2 revenues and earnings at VF

25/07/2006

US-based branded lifestyle apparel company VF Corporation has published record results for the second quarter of 2006.

Revenues rose by 8% to $1,566.8 million compared with $1,452.1 million in the second quarter of 2005, fuelled by growth across its outdoor, jeanswear, imagewear and sportswear divisions. Net income in the current quarter increased to $99 million compared with $96.7 million in the prior year's quarter, which benefited from $7.7 million in special items.

For the first six months of 2006, revenues were up 7% to $3,232.6 million from $3,034.3 million in the 2005 period and income rose 7% to $227.2 million from $211.4 million.

The outdoor division enjoyed another quarter of double-digit growth, with total revenues up 24% to $371 million, with strong gains both domestically and internationally. The North Face brand continued its momentum in the quarter with a revenue increase of 16%, while Vans, JanSport, Reef and Kipling brands each increased revenues by in excess of 20% in the quarter.

Total revenues for the sportswear division, which includes the Nautica and John Varvatos brands as well as the Kipling brand in North America, increased 5% in the quarter, with  each brand achieving higher revenues. The Nautica brand men's sportswear business continued to perform well despite recent department store consolidation, and the company is looking forward to the initial test of its new women's sportswear line in the autumn.