Apparel manufacturer VF Corp. on Tuesday predicted fiscal 2008 profit above Wall Street expectations, after strong sales of outdoor brands and gains from acquisitions boosted second-quarter results, but said third-quarter results might fall short of analyst projections.
VF raised its full-year profit growth target to 12 percent from 10 percent, which translates to about $6.05 per share.
VF also expects $7.9 billion in sales for 2008.
Analysts polled by Thomson Financial expect $5.98 in earnings per share and sales of $7.9 billion.
The company's full-year outlook reflects the expectation for stronger earnings per share growth in the fourth quarter, partly reflecting seasonality of its outdoor business, among other factors.
VF also expects 9 percent growth in profit and sales for the third quarter. The company reported profit of $1.89 per share on revenue of $2.07 billion for the 2007 third quarter, implying expectations for earnings per share of $2.06 and revenue of $2.26 billion for the current period.
That portion of VF's forecast fell below Wall Street expectations. Analysts, on average, predict profit of $2.15 per share and $2.28 billion in sales.
Shares declined $3.03, or 4.3 percent, to $67.25 in aftermarket trading, after closing up 56 cents to end at $70.28.
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