VF Corp. showed signs of progress in its turnaround during the fiscal third quarter.
Net earnings for the quarter tallied $167.1 million, or 43 cents a share, comparing favorably to losses of $42.5 million, or 11 cents, a year earlier.
Adjusted earnings rose to 62 cents from 45 cents a year earlier. That put profits 28 cents ahead of the 34 cents Wall Street analysts had penciled in, according to Yahoo Finance.
Investors approved and sent shares of the company up 6.3 percent to $28.26 in premarket trading on Wednesday.
Revenues for the quarter ended Dec. 28 rose 2 percent to $2.8 billion.
The company’s largest brand, The North Face, pushed sales up 5 percent to $1.3 billion while Timberland was ahead 11 percent to $527 million.
But VF continued to see sales struggle at Vans and Dickies. Vans sales fell 9 percent to $607.6 million while the much smaller Dickies was off 10 percent to $133.6 billion.
The company, which sold Supreme to EssilorLuxottica in October, pushed its net debt down to $4.7 billion, a $1.9 billion reduction from a year earlier. Inventories have also been held in tighter rein and were down 14 percent at the end of the quarter.
Bracken Darrell, president and chief executive officer, said: “We made strong progress in Q3’25, improving profitability and further strengthening the balance sheet. The pace of VF’s transformation is on track as we deliver against our Reinvent priorities.
“Although there is work to do to consistently deliver double-digit operating margins and sustainable top-line growth, we are making great strides in transforming VF into a truly differentiated, multi-brand operator,” he said.
The company said it’s on track to deliver $300 million in initial savings from its Reinvent plan, booking $55 million in the quarter. VF is now progressing on the next phase of Reinvent initiatives, targeting an additional $250 million to $300 million in selling, general and administrative expense savings, as the company laid out at its investor day last year.
