New York, Dec 5 – VF Corporation, the company that owns firms such as The North Face, Vans and Timberland fell more than 11% this Monday on the New York Stock Exchange after reducing its earnings and revenue forecasts for second half of the year and announce the retirement of its executive director.
The company announced in a statement that the current chief executive, Steve Rendle, who had been in the position for almost six years, is retiring and will be temporarily replaced by Benno Dorer, a member of the VF Corporation board of directors.
In the same note, VF points to a downward revision of the economic results due “to weaker than anticipated demand in all its categories, mainly in North America.”
Likewise, although to a lesser extent, the company also cited a “greater than expected” impact of inflation on consumer habits in Europe and the restrictive measures against covid-19 in China.
Specifically, VF, which is listed on the Nasdaq index, lowered annual revenue growth from a range of 5-6%, as it had anticipated, to a range of 3-4%.
Full-year earnings per share will be in the $2-$2.2 range, up from $3.18 per share last year and below the forecast of $2.4-$2.2. $2.5 in advance.
The shares of the company, founded in 1899, have fallen 59.79% so far this year.