V.F. (VFC) Q3 2026 earnings summary

Executive summary

• Q3 revenue grew 1% to $2.88 billion, surpassing guidance, with operating income and margin expansion; The North Face and Timberland led growth, while Vans declined as expected.

• The Americas region delivered its strongest performance in over three years, and global DTC channel returned to growth, driven by digital.

• Completed the sale of Dickies in Q3'26, resulting in a $139M pre-tax gain; results are shown both including and excluding Dickies.

• Net income from continuing operations was $300.8 million ($0.76 per diluted share), up from $169.1 million ($0.43 per share) in the prior year quarter.

• Realigned reportable segments, aggregating Timberland with The North Face in Outdoor, and Vans with other brands in Active.

Financial highlights

• Q3 revenue was $2.88 billion, up 1% year-over-year; adjusted revenue ex Dickies up 4%; gross margin rose to 56.6% (reported), 57.0% (adjusted ex Dickies).

• Operating income was $289M (reported), $341M (adjusted ex Dickies); operating margin 10.1% (reported), 12.1% (adjusted ex Dickies).

• Diluted EPS from continuing operations was $0.76 (reported), $0.58 (adjusted ex Dickies); prior year Q3'25 $0.43 (reported), $0.61 (adjusted ex Dickies).

• Free cash flow through Q3 was $513 million, flat year-over-year despite $100 million in incremental tariffs.

• Cash provided by operating activities for the nine months was $638.0 million, up from $609.5 million in the prior year.

Outlook and guidance

• Q4'26 revenue expected flat to +2% in constant dollars; adjusted operating income guidance of $10M to $30M.

• FY'26 guidance: free cash flow, adjusted operating income, and operating cash flow all projected up year-over-year; leverage targeted at or below 3.5x.

• Gross margin for FY26 projected at 54.5% or better; operating margin at 6.5% or better.

• No full-year guidance reinstated yet; company is considering reintroducing it in the future.

• Reinvent transformation program aims for $500–$600 million in net operating income expansion by Fiscal 2028.