Timberland couldn’t escape the recent challenges in the Americas region that are impacting many outdoor brands, namely inventory overhang, cautious retailers, and slower consumer spending in some sectors.
The brand recorded a 6% drop in constant currency revenue globally in the quarter ended April 1, according to parent company VF Corp. which reported earnings Tuesday afternoon.
Timberland’s revenue totaled $396 million, with soft results in the Americas and APAC regions.
Revenue in the Americas dropped 6% in constant currency, while EMEA and APAC fell 1% and 18%, respectively.
By channel, wholesale sales were the most challenging, declining 8% in constant currency. Direct-to-consumer sales fell 2% mainly due to difficulties in the Americas.
By contrast, DTC store revenue in APAC grew over 30%. The softness in that region came in the wholesale channel, which is also working through extra inventory.
Positive Timberland Product News
Even with the tough top line results, Timberland’s bright spots in the quarter included:
- Outdoor products, including the new Greenstride Motion 6, a top seller during the quarter.
- The Timberland Pro, the brand’s workwear line, which had its highest volume quarter ever and grew double digits.
- Women’s apparel, which also grew double digits.
Timberland Full Year Results
The story is brighter when it comes to annual results, with Timberland revenue rising 4% in constant currency. The brand’s revenue for the year totaled $1.8 billion.