by Vicki M. Young
Posted Friday April 29, 2011
From WWD.COM
VF Corp. Friday reported double-digit increases in first-quarter income and revenues and raised its 2011 profit and sales guidance.
For the three months ended April 2, income attributable to VF rose 22.7 percent to $200.7 million, or $1.82 a diluted share, from $163.5 million, or $1.46, in the year-ago quarter. Revenues rose 11.9 percent to $1.96 billion from $1.75 billion, which included an 11.9 percent rise in sales to $1.94 billion from $1.73 billion.
Excluding onetime benefits totaling 11 cents a share, EPS was $1.71, 10 cents better than the $1.61 expected, on average, by analysts polled by Yahoo Finance.
Eric Wiseman, chairman and chief executive officer, said, “During the quarter, we achieved higher revenues and operating income across all businesses, with exceptionally strong international growth as we continue to extend the reach of our brands to consumers around the world.”
The company raised 2011 guidance, stating that it now expects earnings of $7.25 a share, up from earlier forecasts of between $7 and $7.10. In addition, revenues are expected to rise 10 percent in 2011, up from previous guidance of an increase of 8 percent to 9 percent.
In the first hour of trading Friday, VF shares fell $6.24, or 5.7 percent, to $102.42, apparently on concerns about the firm’s inventory position. According to its quarterly statement, inventories stood at $1.18 billion, 24.3 percent above the year-ago level of $952.2 million.
