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VF Corp misses quarterly revenue estimates as tariff uncertainty hits demand
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VF Corp misses quarterly revenue estimates as tariff uncertainty hits demand
May 26, 2025 11:32 AM

May 21 - Apparel and footwear maker VF Corp ( VFC ) on

Wednesday missed fourth-quarter revenue estimates as a

challenging macroeconomic environment dampened its consumer

demand, sending its shares down about 11% in premarket trading.

While the Denver, Colorado-based company said it is

well-equipped to navigate the evolving global trade dynamics,

recession fears tied to a potential trade war have made

consumers more cautious with their spending.

Many clothing and accessories retailers have been scaling

back orders and freezing hiring in response to a wave of tariffs

introduced by U.S. President Donald Trump.

The tariffs have hit key manufacturing hubs including

Vietnam and Indonesia, which play a vital role in the global

supply chain for sportswear and apparel.

VF Corp ( VFC ) said it is exploring price actions as well as

ramping up production and shipments into the U.S., mirroring

peer Under Armour's ( UAA ) recent comments to raise prices on

some products to cushion a hit from looming tariffs.

VF Corp's ( VFC ) fourth-quarter revenue fell 5% to $2.14 billion

from a year ago, missing analysts' average estimate of $2.18

billion, according to data compiled by LSEG.

The company's attempts at a leaner product line and a

resolve to sell its products at full prices have further

alienated consumers despite heavy promotions and holiday season

boosts.

However, VF's adjusted fourth-quarter loss of 13 cents per

share was narrower than the estimated loss of 14 cents per

share, helped by the company's successful transformation

strategy aimed at $300 million in cost savings by fiscal 2025.

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