Apparel manufacturing and retailing giant VF Corporation has reported a 30-per-cent increase in sales in China in its third quarter, to December 28.
The huge increase helped fuel a global 6-per-cent rise in revenues to US$3.4 billion, excluding its troubled workwear business for which it has announced a strategic review, with its potential sale in the offing.
The company’s activewear segment improved by 8 per cent, with the Vans brand up by 12 per cent; and the outdoor segment by 3 per cent including 8-per-cent growth by The North Face.
Group direct-to-consumer revenue rose by 7 per cent and digital revenue by 16 per cent.
Operating income from continuing operations increased 11 per cent and adjusted operating income from continuing operations by 14 per cent, when the workwear business was excluded. “Our third quarter performance was strong and our year-to-date results are at the high end of our long-term growth objectives,” said VF Corporation chairman Steve Rendle.
“Despite a mixed holiday season in the US, we’re on track to deliver solid performance and are well positioned for continued growth and value creation in fiscal year 2021.”