Vans Sees Double-Digit Sales Gains for Q3Monday, October 22, 2012
Cypress-based shoe and apparel company Vans Inc. logged another strong quarter for sales.
Vans’ parent company, Greensboro, N.C.-based VF Corp., does not break out quarterly financial data on its various brands. It recently disclosed that Vans had about $1 billion in revenue last year, and plans to more than double sales by 2016.
Vans’ revenue during the quarter ended Sept. 29 increased 21%, or 26% excluding the impact of exchange rates, with double-digit revenue growth for the Americas, Europe and Asia regions.
The company’s September quarter performance contributed to VF Corp.’s outdoor and action sports division’s 29% revenue surge to $1.85 billion. The group also includes brands such as The North Face and Timberland.
The September quarter is the first full quarter to include sales from Vans’ new LXVI footwear line, which launched in late June. The line, which debuted with five styles and a starting price of $70 per pair, aims to broaden Vans’ customer base and retail accounts from its core of skateboarding fans and skate shops. LXVI markets to an athletic customer with retailers such as Foot Locker and Chick’s Sporting Goods carrying the line.
LXVI is one of several tactics expected to help Vans reach $2.2 billion in revenue by 2016, which equates to about 13% growth annually. Van’s performance so far this year puts it on track to see a 25% revenue increase for the full year.
VF still expects full-year revenue of $10.9 billion, up 17% in constant currency.
VF updated its adjusted earnings guidance for the full year to $1.07 billion, up slightly from a prior projection.