VF Corp. (NYSE:VFC) stock fell in premarket trading Wednesday despite the apparel maker reporting better-than-expected second-quarter results and reaffirming its full-year outlook.

Second-Quarter Results

VF reported adjusted earnings of 70 cents per share, beating analysts’ expectations of 54 cents.

Revenue declined 4% year over year to $2.695 billion but topped the consensus estimate of $2.667 billion.

Excluding Dickies, revenue rose 1% from a year earlier, exceeding the company’s guidance for flat growth on a constant-currency basis.

Adjusted gross margin, excluding Dickies, expanded 290 basis points to 55.4%.

Adjusted operating income, excluding Dickies, reached $364 million, surpassing the company’s guidance of $315 million.

VF operated 1,095 retail stores worldwide as of September 2026, down from 1,105 a year earlier.

The company ended the quarter with $442.95 million in cash and cash equivalents and reduced net debt by $1.1 billion.

VF declared a quarterly dividend of 9 cents per share, payable Dec. 17 to shareholders of record Dec. 10.

The North Face, Timberland Maintain Growth Momentum

Global direct-to-consumer revenue increased 1% year over year to $915 million. Excluding Dickies, sales rose 3% on a constant-currency basis, reflecting continued strength in the company’s retail operations.

Revenue in the Americas declined 2% to $1.32 billion. Excluding Dickies, regional revenue increased 5% in constant currency, supported by growth across sales channels.

The North Face reported a 4% revenue increase, including on a constant-currency basis.

Timberland revenue also rose 4%, driven by continued strength in the Americas.

Vans remained a weak spot, with revenue falling 9.8% year over year, or 10% in constant currency. However, the company expects wholesale demand to improve in the second half of fiscal 2027.

VF Corp. Reaffirms Fiscal 2027 Outlook

President and CEO Bracken Darrell attributed the strong second-quarter performance to product innovation and disciplined execution.

He highlighted continued growth at The North Face and Timberland, along with revenue growth of more than 40% at Altra.

Darrell also said the company’s Vans turnaround strategy is gaining traction, with global direct-to-consumer sales returning to growth for the first time in nearly five years.

Inventories increased 7% year over year as the company prepared to meet anticipated demand in the second half of the fiscal year.

VF expects fiscal 2027 revenue to exceed $9.53 billion, above the analyst consensus estimate of $9.51 billion.

The company projects full-year revenue growth of at least 2% on a constant-currency basis.

VF reaffirmed its adjusted operating margin outlook of about 8% and expects free cash flow to be flat or higher compared with last year’s $405 million.

The company also expects a leverage ratio of 2.6 to 2.9 times for fiscal 2027.

VFC Price Action: VF Corp. shares fell 3.76% to $16.39 in premarket trading Wednesday, according to market data.