V.F. Corporation (NYSE:VFC) shares are trading lower in the premarket session on Wednesday after the company reported fourth-quarter results.

The company reported quarterly adjusted earnings per share of 13 cents loss, beating the street view of 14 cents loss. Quarterly sales of $2.14 billion (down 5% year over year) missed the analyst consensus estimate of $2.18 billion.

Sales from the Vans unit dropped 22% year over year. The decline was in line with the previous quarter, partly due to strategic changes. Vans’ customer traffic in global direct-to-consumer (DTC) stores remained weak. While new product sales grew, they were outweighed by declines in core iconic items.

Also Read: Top Wall Street Forecasters Revamp VF Corporation Expectations Ahead Of Q4 Earnings

V.F. Corporation reported an adjusted gross margin of 53.4%, up 560 basis points year over year.

The company exited the quarter with cash and equivalents worth $429.38 million. V.F. Corporation had inventories worth $1.627 billion.

“The transformation of VF is well underway,” said Bracken Darrell, president and CEO.

“In FY25, we achieved our goals to lower our cost base and strengthen our balance sheet. We delivered on our initial target of $300 million gross cost savings and are on track towards our medium-term targets of $500 to $600 million net operating income expansion,” Darrell added.

Dividend: The firm declared a quarterly dividend of $0.09 per share, payable on June 18.

Outlook: VF Corp expects Q1 FY26 revenue to decline 3% to 5% year over year, with an adjusted operating loss between $110 million and $125 million.

Price Action: VFC shares are trading lower by 12.1% to $12.68 at last check Wednesday.

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