🔹 EPS: $0.43 (Est. $0.33) 🟢
🔹 Revenue: $2.8B (Est. $2.75B) 🟢; UP +2% YoY
🔹 Operating Income: $226M
🔹 Adj. Operating Income: $324M (Est. $202.87M) 🟢
🔹 Operating Margin: 8.0%, UP +1,130 basis points YoY
🔹 Adj. Operating Margin: 11.4%, UP +360 basis points YoY
🔹 Net Debt Reduction: $1.9B YoY
🔹 Net Inventories: DOWN -14% YoY
Q4'25 Guidance:
🔹 Revenue Decline: (4)% to (6)% YoY
🔹 Adj. Operating Loss: $(30)M to $0M
🔸 Gross margins expected to improve YoY
FY'25 Guidance:
🔹 Free Cash Flow: $440M (Raised from prior $425M) 🟢
🔸 Increase reflects higher-than-expected proceeds from non-core asset sales & improved fundamentals
Segment Performance & Brand Highlights:
🔹 The North Face & Timberland: Strong global performance
🔹 Vans Revenue: DOWN -9% YoY, improved from Q2 (-11% YoY)
🔹 Americas Revenue: UP +1% YoY
Strategic & Cost-Saving Initiatives:
🔹 Reinvent Cost Savings: $55M savings in Q3; targeting $300M total
🔹 Next Phase of Cost Reductions: Targeting an additional $250M-$300M in SG&A savings
🔹 $1B Debt Repayment: Supreme sale proceeds used for loan payoff; $750M debt maturity to be retired by FY-end
CEO Bracken Darrell’s Commentary:
🔸 "We made strong progress in Q3'25, improving profitability and strengthening the balance sheet. The pace of VF’s transformation remains on track, and we look forward to sharing further strategic brand plans at our March Investor Day."