“VF’s global business model, diverse brand portfolio and focused operational discipline helped the company deliver solid results in 2016 despite an inconsistent US marketplace”, stated Eric Wiseman, Executive Chairman of the Board, adding: “We’re pleased with the improved quality of our revenue, which reflects continued growth in our international and direct-to-consumer platforms, and our strong gross margin and cash generation performance that enabled us to return a record 1.6 billion US dollars to our shareholders. Looking forward, I expect the strategic and operational actions we are taking to generate even stronger long-term value for our shareholders.”

VF Corporation revenue in the fourth quarter was in line with last year’s fourth quarter at 3.3 billion US dollars (up by 1% currency neutral) driven by strength in the international side of the business and direct-to-consumer platforms, and also the Vans brand business. For the entire year, revenue was in line with last year at 12.0 billion US dollars (up by 1%currency neutral) .

Gross margin improved benefitting from pricing, lower product costs and a mix-shift toward higher margin businesses were partially offset by changes in foreign currency and the impact of restructuring charges, according to the company.

Fourth quarter revenue for Outdoor & Action Sports was up by 2% totaling 2.1 billion US dolllars. Full year Outdoor & Action Sports revenue also increased by 2%, reaching 7.5 billion US dollars.

The Vans brand revenue for the fourth quarter was up by 14% (up 15% currency neutral) driven by a mid-teen increase in the Americas business (up high-teens currency neutral); and in Europe a return to growth with a mid-single-digit rate increase (up low single-digits currency neutral); and more than 20% (up more than 25% currency neutral) growth in Asia Pacific. Revenue for the Vans brand for the full year was up by 6% (up by 7% currency neutral) and reached 2.3 billion US dollars.

Fourth quarter revenue for The North Face brand was down by 8% (down by 7% currency neutral) driven by the strategic decision to reduce sales to the off-price channel and the impact of bankruptcies in North America. Excluding these factors, The North Face brand would have increased at a low single-digit rate. On a regional basis, the Americas declined at a low double-digit rate; Europe increased at a mid-teen rate (up high-teens currency neutral); and, Asia Pacific declined at a low double-digit percentage rate (down mid-single-digit currency neutral). For the full year, revenue for The North Face brand declined by 2% (down by 1% currency neutral) to 2.3 billion US dollars.

Timberland brand revenue was up by 4% in the fourth quarter (up by 5% currency neutral) including a low single-digit rate increase in the Americas region; a high single-digit rate increase in Europe (up low double-digits currency neutral); and, a mid-single-digit rate increase in Asia Pacific. Full year Timberland brand revenue was up by 1% totaling 1.8 billion US dollars.

International revenue in the fourth quarter was up by 5% (up by 7% currency neutral). Revenue was up by 6% (up 7 % currency neutral) in Europe and up 6 % (up 8 %currency neutral) in the Asia Pacific region, including a 6 percent increase (up 14 percent currency neutral) in China. Revenue in the Americas (non-US) region was down by 1% (up by 6% currency neutral). The international business represented 34% of total VF fourth quarter sales, compared to 33% in last year’s same period. For the full year, international revenue was up by 4% (up by 6% currency neutral). Revenue was up by 5% (up by 4% currency neutral) in Europe and up 3 percent (up 6 percent currency neutral) in the Asia Pacific region, including a 4 percent increase (up 10 percent currency neutral) in China. Revenue in the Americas (non-U.S.) region was up 2% (up 11 percent currency neutral). The international business represented 38% of total VF sales in 2016, compared to 37% in 2015.

For 2017 revenue is expected to increase at a low single-digit percentage rate including about a two percentage point negative impact from changes in foreign currency.