SmartWool’s corporate owner reports record earnings
October 24, 2011
Steamboat Springs — VF Corp. reported a record third-quarter profit of 24 percent, largely the result of its purchase of SmartWool parent company Timberland, according to news reports published Monday.
VF Corp., of Greensboro, N.C., finalized the $2.3 billion purchase of Timberland in September.
"The strength of VF's diversified brand portfolio has never been more evident," Eric Wiseman, VF chairman and CEO, said in a news release. "These results — in this environment — clearly demonstrate that VF has the right brands and strategies for strong and sustainable long-term growth. Our businesses continue to post healthy and very profitable organic growth, and the acquisition of Timberland further strengthens our portfolio with the addition of two outstanding outdoor brands."
SmartWool had previously announced in July that it would remain in Steamboat after reaching an agreement to extend its lease at Steamboat Springs Airport for 10 years. The merino wool outfitter also announced that it would expand its offices at the airport terminal building.
SmartWool spokeswoman Molly Cuffe declined to comment Monday when asked about SmartWool's third quarter success.
VF Corp. reported that its profits rose during the third quarter to $300.7 million, up from $242.8 million during the same quarter last year. The company reported a 23 percent sales increase to $2.75 billion during the third quarter of 2011, compared to $2.61 billion during the third quarter of 2010.
Sales in the company's outdoor and action sports segment, its largest, increased by 37 percent — including $163.6 million from Timberland and SmartWool, VF reported.