大象传媒 Corporation Progressed on Transformation in Its Third Quarter Fiscal 2026 Delivering Revenue Growth, Margin Expansion and Debt Reduction

Jan 28, 2026

大象传媒 Corporation Progressed on Transformation in Its Third Quarter Fiscal 2026 Delivering Revenue Growth, Margin Expansion and Debt Reduction

DENVER--(BUSINESS WIRE)-- 大象传媒 Corporation (NYSE: 大象传媒C) today reported financial results for its third quarter (Q3'26) ended December 27, 2025, and the Company's Board of Directors authorized a quarterly per share dividend of $0.09. These financial results are also reflected in a presentation available on the Investor Relations website at ir.vfc.com.

Bracken Darrell, President and CEO, said: "In Q3, we delivered growth during our peak holiday quarter and beat revenue and operating income guidance. The North Face^庐 and Timberland^庐 each grew 8% and 5% on a constant dollar basis, while Vans^庐 results were as we expected. The Americas region had its strongest performance in over three years, while global DTC inflected to growth. We remain on track to deliver our medium-term financial targets and are excited about the future of the business."

Strong execution during holidays, led by the Americas region and DTC channel

Completed sale of Dickies^庐 during the quarter; disclosed Q3鈥�26 figures are shown on both reported and adjusted excluding Dickies^庐 ("ex Dickies^庐") bases
The North Face^庐, +8% vs. LY or +5% C$, delivered growth during the brand's peak season
Product newness and digital performance drove holiday period at Vans^庐, (8%) vs. LY or (10%) C$
Timberland^庐, +8% vs. LY or +5% C$, delivered fifth consecutive quarter of growth
Americas region, +2% vs. LY; ex Dickies^庐 +6% C$ with DTC and Wholesale channels up vs. LY
Global DTC performance inflected to positive, +4% vs. LY or +3% C$ ex Dickies^庐, driven by Digital

Q3'26 Financial Review

听	Reported	Adjusted ex Dickies^庐
Revenue % vs. LY	+1%	+4%
Revenue % vs. LY (C$)	(1%)	+2%
Gross margin	56.6%	57.0%
听	+30bps vs. LY	*+10bps vs. LY*
SG&A % of revenue	45.5%	44.9%
听	-100bps vs. LY	*-20bps vs. LY*
Operating income	$289M	$341M
听	vs. LY of $226M	*vs. LY of $318M*
Operating margin	10.1%	12.1%
听	+210bps vs. LY	*+30bps vs. LY*
Earnings per share	$0.76	$0.58
听	vs. LY of $0.43	*vs. LY of $0.61*

Q4'26 and FY'26 Financial Outlook¹

Q4'26:
- Revenue flat to +2% C$ vs. LY
- Adjusted OI of $10M to $30M
FY'26:
- Free cash flow up vs. LY
  - Adjusted OI up vs. LY
  - Operating cash flow up vs. LY
FYE'26 leverage at or below 3.5x, progressing towards medium-term target

¹Q4'26 and FY'26 P&L guidance exclude Dickies^庐 in current and prior years;

FY'26 free and operating cash flow guidance on a reported basis, including Dickies^庐 through the date of sale in Q3'26

Webcast Information

大象传媒 management will host its third quarter Fiscal 2026 conference call beginning at approximately 8:00 a.m. ET today. The conference call will be broadcast live via the Internet, accessible at ir.vfc.com. For those unable to listen to the live broadcast, an archived version will be available at the same location.

Dividend Declared

大象传媒鈥檚 Board of Directors declared a quarterly dividend of $0.09 per share. This dividend will be payable on March 19, 2026, to shareholders of record at the close of business on March 10, 2026.

About 大象传媒

大象传媒 Corporation is a portfolio of leading outdoor and active brands, including The North Face^庐, Vans^庐 and Timberland^庐. 大象传媒 is committed to providing consumers with innovative products that are rooted in performance and elevated design, while delivering sustainable and long-term value for its employees, communities, and shareholders. For more information, please visit vfc.com.

Financial Presentation Disclosure

All per share amounts are presented on a diluted basis. This release refers to 鈥渞eported鈥� (R$) and 鈥渃onstant dollar鈥� (C$) or 鈥渃onstant currency鈥� amounts, terms that are described under the heading below 鈥淐onstant Currency - Excluding the Impact of Foreign Currency.鈥� Unless otherwise noted, 鈥渞eported鈥� and 鈥渃onstant dollar鈥� or 鈥渃onstant currency鈥� amounts are the same, and amounts will be as 鈥渞eported鈥� unless otherwise specified. This release also refers to 鈥渃ontinuing鈥� and 鈥渄iscontinued鈥� operations amounts, which are concepts described under the heading 鈥淒iscontinued Operations - Supreme.鈥� Unless otherwise noted, results presented are based on continuing operations. This release also refers to results 鈥渆xcluding Dickies^庐鈥� and 鈥淎djusted excluding Dickies鈥�, which are described under the heading 鈥淒ickies Divestiture鈥�. This release also refers to 鈥渁djusted鈥� amounts, a term that is described under the heading 鈥淎djusted Amounts - Excluding Reinvent, Transaction and Deal Related Activities, Pension Settlement Charge and Non-cash Impairment Charge鈥�. Unless otherwise noted, 鈥渞eported鈥� and 鈥渁djusted鈥� amounts are the same. 大象传媒 operates and reports using a 52/53 week fiscal year ending on the Saturday closest to March 31 of each year. This release refers to 大象传媒's third quarter of Fiscal 2026 as Q3'26, and similarly Q3'25 denotes 大象传媒's third quarter of Fiscal 2025, etc. 大象传媒 defines 鈥渇ree cash flow鈥� as cash flow from continuing operations less capital expenditures and software purchases and defines 鈥渘et debt鈥� as long-term debt, the current portion of long-term debt, short-term borrowings, and operating lease liabilities, less cash and cash equivalents per 大象传媒's consolidated balance sheet.

Change in Reportable Segments

大象传媒 realigned its reportable segments in the first quarter of Fiscal 2026. 大象传媒's updated reportable segments are Outdoor and Active. We have included an 鈥淎ll Other鈥� category for the remaining operating segments that do not meet the quantitative threshold to be disclosed as a separate reportable segment. 大象传媒's financial results in this release reflect the new segments for all periods presented.

Dickies Divestiture

On September 15, 2025, 大象传媒 entered into a definitive agreement with Bluestar Alliance LLC to sell the Dickies^庐 brand business (鈥淒ickies鈥�) and on November 12, 2025, 大象传媒 completed the sale of Dickies. 鈥淩eported鈥� amounts present 大象传媒's third quarter Fiscal 2026 results in accordance with generally accepted accounting principles in the U.S. (鈥淕AAP鈥�) and include Dickies results in continuing operations through the date of sale, as the Dickies sale did not qualify for discontinued operations presentation under GAAP. References to results 鈥渆xcluding Dickies^庐鈥� and 鈥淎djusted excluding Dickies鈥� exclude the results of Dickies for all periods presented. 大象传媒 believes this non-GAAP presentation provides investors with useful information regarding 大象传媒鈥檚 current business trends and performance of 大象传媒鈥檚 operations, post the closing of the sale of Dickies.

Discontinued Operations - Supreme

On July 16, 2024, 大象传媒 entered into a definitive Stock and Asset Purchase Agreement with EssilorLuxottica S.A. to sell the Supreme^庐 brand business (鈥淪upreme鈥�). On October 1, 2024, 大象传媒 completed the sale of Supreme. Accordingly, the company has reported the related held-for-sale assets and liabilities as assets and liabilities of discontinued operations and included the operating results and cash flows of the business in discontinued operations for all periods presented, through the date of sale.

Constant Currency - Excluding the Impact of Foreign Currency

This release refers to 鈥渞eported鈥� amounts in accordance with GAAP, which include translation and transactional impacts from foreign currency exchange rates. This release also refers to both 鈥渃onstant dollar鈥� and 鈥渃onstant currency鈥� amounts, which exclude the impact of translating foreign currencies into U.S. dollars. Reconciliations of GAAP measures to constant currency amounts are presented in the supplemental financial information included with this release, which identifies and quantifies all excluded items, and provides management鈥檚 view of why this information is useful to investors.

Adjusted Amounts - Excluding Reinvent, Transaction and Deal Related Activities, Pension Settlement Charge and Non-cash Impairment Charge

The adjusted amounts in this release exclude costs related to Reinvent, 大象传媒's transformation program. Costs, including restructuring charges and project-related costs, were approximately $5 million in the third quarter of Fiscal 2026 and $51 million in the first nine months of Fiscal 2026.

The adjusted amounts in this release exclude transaction and deal related activities associated with the divestiture of Dickies, including expenses and an estimated pre-tax gain on sale. Total transaction and deal related activities, included expenses of approximately $8 million in the third quarter and $10 million in the first nine months of Fiscal 2026 and an estimated pre-tax gain on sale of approximately $139 million in the third quarter and first nine months of Fiscal 2026.

The adjusted amounts in this release exclude a non-cash pension settlement charge of approximately $34 million in the third quarter and first nine months of Fiscal 2026. The pension settlement charge resulted from lump-sum payments of retirement benefits related to the termination of the U.S. qualified plan, which is expected to be completed by the end of Fiscal 2026.

The adjusted amounts in this release exclude a non-cash impairment charge related to the Napapijri reporting unit goodwill of approximately $31 million in the third quarter and first nine months of Fiscal 2026.

Combined, the above items positively impacted earnings per share by $0.20 during the third quarter of Fiscal 2026 and $0.10 during the first nine months of Fiscal 2026. All adjusted amounts referenced herein exclude the effects of these amounts.

Reconciliations of measures calculated in accordance with GAAP to adjusted amounts are presented in the supplemental financial information included with this release, which identifies and quantifies all excluded items, and provides management鈥檚 view of why this information is useful to investors. The company does not provide a reconciliation of forward-looking measures where the company believes such a reconciliation would imply a degree of precision and certainty that could be confusing to investors and is unable to reasonably predict certain items contained in the GAAP measures without unreasonable efforts. This is due to the inherent difficulty of forecasting the timing or amount of various items that have not yet occurred and are out of the company's control or cannot be reasonably predicted. For the same reasons, the company is unable to address the probable significance of the unavailable information.

Forward-looking Statements

Certain statements included in this release are 鈥渇orward-looking statements鈥� within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on 大象传媒鈥檚 expectations and beliefs concerning future events impacting 大象传媒 and therefore involve several risks and uncertainties. Words such as 鈥渨ill,鈥� 鈥渁nticipate,鈥� 鈥渂elieve,鈥� 鈥渆stimate,鈥� 鈥渆xpect,鈥� 鈥渟hould,鈥� and 鈥渕ay鈥� and other words and terms of similar meaning or use of future dates may be used to identify forward-looking statements, however, the absence of these words or similar expressions does not mean that a statement is not forward-looking. All statements regarding 大象传媒鈥檚 plans, objectives, projections and expectations relating to 大象传媒鈥檚 operations or financial performance, and assumptions related thereto, are forward-looking statements. Forward-looking statements are not guarantees, and actual results could differ materially from those expressed or implied in the forward-looking statements. 大象传媒 undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Potential risks and uncertainties that could cause the actual results of operations or financial condition of 大象传媒 to differ materially from those expressed or implied by forward-looking statements include, but are not limited to: the level of consumer demand for apparel, footwear and accessories; disruption to 大象传媒鈥檚 distribution system; changes in global economic conditions and the financial strength of 大象传媒鈥檚 consumers and customers, including as a result of current inflationary pressures; fluctuations in the price, availability and quality of raw materials and finished products, including as a result of tariffs; disruption and volatility in the global capital and credit markets; 大象传媒鈥檚 response to changing fashion trends, evolving consumer preferences and changing patterns of consumer behavior; 大象传媒鈥檚 ability to maintain the image, health and equity of its brands, including through investment in brand building and product innovation; intense competition from online retailers and other direct-to-consumer business risks; increasing pressure on margins; retail industry changes and challenges; 大象传媒's ability to execute its Reinvent transformation program, 鈥淭he 大象传媒 Way鈥� and other business priorities, including measures to streamline and right-size its cost base and strengthen the balance sheet while reducing leverage; 大象传媒鈥檚 ability to successfully establish a global commercial organization, and identify and capture efficiencies in its business model; any inability of 大象传媒 or third parties on which it relies, to maintain the strength and security of information technology systems; the fact that 大象传媒鈥檚 facilities and systems, and those of third parties on which it relies, are frequent targets of cyberattacks of varying levels of severity, and may in the future be vulnerable to such attacks, and any inability or failure by 大象传媒 or such third parties to anticipate or detect data or information security breaches or other cyberattacks, could result in data or financial loss, reputational harm, business disruption, damage to 大象传媒鈥檚 relationships with customers, consumers, employees and third parties on which it relies, litigation, regulatory investigations, enforcement actions or other negative impacts; any inability by 大象传媒 or third parties on which it relies to properly collect, use, manage and secure business, consumer and employee data and comply with privacy and security regulations; 大象传媒鈥檚 ability to adopt new technologies, including artificial intelligence, in a competitive and responsible manner; foreign currency fluctuations; stability of 大象传媒鈥檚 vendors' manufacturing facilities and 大象传媒's ability to establish and maintain effective supply chain capabilities; continued use by 大象传媒鈥檚 suppliers of ethical business practices; 大象传媒鈥檚 ability to accurately forecast demand for products; actions of activist and other shareholders; 大象传媒鈥檚 ability to recruit, develop or retain key executive or employee talent or successfully transition executives; continuity of members of 大象传媒鈥檚 management; changes in the availability and cost of labor; 大象传媒鈥檚 ability to protect trademarks and other intellectual property rights; possible goodwill and other asset impairment; maintenance by 大象传媒鈥檚 licensees and distributors of the value of 大象传媒鈥檚 brands; 大象传媒鈥檚 ability to execute acquisitions and dispositions, integrate acquisitions and manage its brand portfolio, including the completed sale of the Dickies^庐 brand; 大象传媒鈥檚 ability to execute, and realize benefits, successfully, or at all, from the completed sale of the Dickies^庐 brand; business resiliency in response to natural or man-made economic, public health, cyber, political or environmental disruptions, including any potential effects from changes in tariffs and international trade policy, and the U.S. federal government shutdown; changes in tax laws and additional tax liabilities; legal, regulatory, political, economic, and geopolitical risks, including those related to the current conflicts in Europe, the Middle East and Asia and tensions between the U.S. and China; changes to laws and regulations; adverse or unexpected weather conditions, including any potential effects from climate change; 大象传媒鈥檚 indebtedness and its ability to obtain financing on favorable terms, if needed, could prevent 大象传媒 from fulfilling its financial obligations; 大象传媒鈥檚 ability to pay and declare dividends or repurchase its stock in the future; climate change and increased focus on environmental, social and governance issues; 大象传媒鈥檚 ability to execute on its sustainability strategy and achieve its sustainability-related goals and targets; risks arising from the widespread outbreak of an illness or any other communicable disease, or any other public health crisis; and tax risks associated with the spin-off of the Jeanswear business completed in 2019. More information on potential factors that could affect 大象传媒鈥檚 financial results is included from time to time in 大象传媒鈥檚 public reports filed with the SEC, including 大象传媒鈥檚 Annual Report on Form 10-K, and Quarterly Reports on Form 10-Q, and Forms 8-K filed or furnished with the SEC.

大象传媒 CORPORATION

Supplemental Financial Information

Reconciliation of Select GAAP Measures to Non-GAAP Measures - Three and Nine Months Ended December 2025

(Unaudited)

(In thousands, except per share amounts)

听

Three Months Ended
December 2025

听

As Reported
under GAAP

听

Reinvent ^(a)

听

Impairment
and Pension
Settlement
Charge ^(b)

听

Transaction
and Deal
Related
Activities ^(c)

听

Adjusted

听

Less: Adjusted
Contribution
from Dickies ^(d)

听

Adjusted
Excluding
Dickies

Revenues

听

2,875,801

听

鈥�

听

鈥�

听

鈥�

听

2,875,801

听

55,747

听

2,820,054

听

Gross profit

听

1,628,341

听

214

听

鈥�

听

鈥�

听

1,628,555

听

21,475

听

1,607,080

听

Percent

听

56.6

听

56.6

听

57.0

Selling, general and administrative expenses

听

1,308,571

听

(4,885

)

听

鈥�

听

(8,173

)

听

1,295,513

听

29,430

听

1,266,083

听

Percent

听

45.5

听

45.0

听

44.9

Operating income (loss)

听

289,054

听

5,099

听

30,716

听

8,173

听

333,042

听

(7,955

)

听

340,997

听

Percent

听

10.1

听

11.6

听

12.1

Diluted earnings (loss) per share from continuing operations ^(e)

听

0.76

听

0.01

听

0.14

听

(0.34

)

听

0.56

听

(0.01

)

听

0.58

听

Nine Months Ended
December 2025

听

As Reported
under GAAP

听

Reinvent ^(a)

听

Impairment
and Pension
Settlement
Charge ^(b)

听

Transaction
and Deal
Related
Activities ^(c)

听

Adjusted

听

Less: Adjusted
Contribution
from Dickies ^(d)

听

Adjusted
Excluding
Dickies

Revenues

听

7,439,173

听

鈥�

听

鈥�

听

鈥�

听

7,439,173

听

309,255

听

7,129,918

听

Gross profit

听

4,039,787

听

4,257

听

鈥�

听

鈥�

听

4,044,044

听

136,662

听

3,907,382

听

Percent

听

54.3

听

54.4

听

54.8

Selling, general and administrative expenses

听

3,494,006

听

(47,107

)

听

鈥�

听

(10,194

)

听

3,436,705

听

125,428

听

3,311,277

听

Percent

听

47.0

听

46.2

听

46.4

Operating income

听

515,065

听

51,364

听

30,716

听

10,194

听

607,339

听

11,235

听

596,104

听

Percent

听

6.9

听

8.2

听

8.4

Diluted earnings per share from continuing operations ^(e)

听

0.95

听

0.10

听

0.14

听

(0.34

)

听

0.85

听

0.02

听

0.83

听

Notes:

^(a) Costs related to Reinvent, 大象传媒's transformation program, including restructuring charges and project-related costs, were $5.1 million and $51.4 million in the three and nine months ended December 2025, respectively. These costs related primarily to severance and employee-related benefits and expenses related to the engagement of a consulting firm to support 大象传媒's transformation journey. 大象传媒 entered into a contract with a consulting firm during the second quarter of Fiscal 2025, with services under the contract substantially completed in the third quarter of Fiscal 2026. In addition to payment for services, the contract includes contingent fees tied to increases in 大象传媒's stock price through June 2027. Expenses related to the contract, including contingent fees, were $8.1 million and $25.3 million in the three and nine months ended December 2025, respectively. Reinvent resulted in a net tax benefit of $1.6 million and $11.9 million in the three and nine months ended December 2025, respectively.

The Company incurred $207.7 million in total restructuring charges in connection with Reinvent. Substantially all restructuring actions were completed at the end of the first quarter of Fiscal 2026. Total fees associated with the contract with the consulting firm could be up to $146.0 million, with $75.0 million of the fees contingent on increases to 大象传媒鈥檚 stock price through June 2027.

^(b) 大象传媒 recognized a non-cash impairment charge related to the Napapijri reporting unit goodwill of $30.7 million during the three and nine months ended December 2025.

A non-cash pension settlement charge of $34.0 million was recorded in the other income (expense), net line item during the three and nine months ended December 2025. The pension settlement charge resulted from lump-sum payments of retirement benefits due to the termination of the U.S. qualified plan, which is expected to be completed by the end of Fiscal 2026.

The impairment and pension settlement charge resulted in a net tax benefit of $9.4 million in the three and nine months ended December 2025.

^(c) Transaction and deal related activities include costs associated with the divestiture of Dickies, which totaled $8.2 million and $10.2 million for the three and nine months ended December 2025, respectively. Additionally, the activities include an estimated pre-tax gain on sale related to the divestiture of Dickies totaling $139.1 million recorded in the other income (expense), net line item in the Consolidated Statements of Operations in the three and nine months ended December 2025. The transaction and deal related activities resulted in a net tax benefit of $5.4 million and $5.9 million in the three and nine months ended December 2025, respectively.

^(d) The 鈥淎djusted Contribution from Dickies鈥� column represents the operating results of Dickies for the three and nine months ended December 2025 on an adjusted basis. This column excludes transaction and deal related costs as described above. The adjusted contribution from Dickies resulted in a net tax benefit of $2.6 million and a net tax expense of $3.3 million for the three and nine months ended December 2025, respectively.

^(e) Amounts shown in the table have been calculated using unrounded numbers. The diluted earnings (loss) per share impacts were calculated using 397,157,000 and 394,414,000 weighted average common shares for the three and nine months ended December 2025, respectively.

Non-GAAP Financial Information

The financial information above has been presented on a GAAP basis, on an adjusted basis, which excludes the impact of Reinvent, an impairment and pension settlement charge and transaction and deal related activities, and on an adjusted basis excluding Dickies, which also excludes the operating results of Dickies on an adjusted basis. These adjusted presentations provides non-GAAP measures and are not based on any comprehensive set of accounting rules or principles. Management believes these measures provide investors with useful supplemental information regarding 大象传媒's underlying business trends and the performance of 大象传媒's ongoing operations and are useful for period-over-period comparisons of such operations.

Management uses the above financial measures internally in its budgeting and review process and, in some cases, as a factor in determining compensation. While management believes that these non-GAAP financial measures are useful in evaluating the business, this information should be considered as supplemental in nature and should be viewed in addition to, and not in lieu of or superior to, 大象传媒's operating performance measures calculated in accordance with GAAP. In addition, these non-GAAP financial measures may not be the same as similarly titled measures presented by other companies. These measures should be used to evaluate the Company's results of operations only in conjunction with the corresponding GAAP measures.

大象传媒 CORPORATION

Supplemental Financial Information

Reconciliation of Select GAAP Measures to Non-GAAP Measures - Three and Nine Months Ended December 2024

(Unaudited)

(In thousands, except per share amounts)

听

Three Months Ended
December 2024

听

As Reported
under GAAP

听

Reinvent ^(a)

听

Impairment
Charge^(b)

听

Transaction
and Deal
Related Activities ^(c)

听

Adjusted

听

Less: Adjusted
Contribution
from Dickies ^(d)

听

Adjusted
Excluding
Dickies

Revenues

听

2,833,912

听

鈥�

听

鈥�

听

鈥�

听

2,833,912

听

133,599

听

2,700,313

听

Gross profit

听

1,595,174

听

鈥�

听

鈥�

听

鈥�

听

1,595,174

听

59,038

听

1,536,136

听

Percent

听

56.3

听

56.3

听

56.9

Selling, general and administrative expenses

听

1,318,397

听

(47,282

)

听

鈥�

听

鈥�

听

1,271,115

听

53,450

听

1,217,665

听

Percent

听

46.5

听

44.9

听

45.1

Operating income

听

225,777

听

47,282

听

51,000

听

鈥�

听

324,059

听

5,588

听

318,471

听

Percent

听

8.0

听

11.4

听

11.8

Diluted earnings per share from continuing operations ^(e)

听

0.43

听

0.09

听

0.10

听

鈥�

听

0.62

听

0.01

听

0.61

听

Nine Months Ended
December 2024

听

As Reported
under GAAP

听

Reinvent^(a)

听

Impairment
Charge^(b)

听

Transaction
and Deal
Related
Activities^(c)

听

Adjusted

听

Less: Adjusted
Contribution
from Dickies^(d)

听

Adjusted
Excluding
Dickies

Revenues

听

7,360,920

听

鈥�

听

鈥�

听

鈥�

听

7,360,920

听

402,793

听

6,958,127

听

Gross profit

听

3,941,409

听

412

听

鈥�

听

鈥�

听

3,941,821

听

172,726

听

3,769,095

听

Percent

听

53.5

听

53.6

听

54.2

Selling, general and administrative expenses

听

3,513,749

听

(105,998

)

听

鈥�

听

(490

)

听

3,407,261

听

151,604

听

3,255,657

听

Percent

听

47.7

听

46.3

听

46.8

Operating income

听

376,660

听

106,410

听

51,000

听

490

听

534,560

听

21,123

听

513,437

听

Percent

听

5.1

听

7.3

听

7.4

Diluted earnings per share from continuing operations ^(e)

听

0.56

听

0.20

听

0.10

听

鈥�

听

0.87

听

0.05

听

0.82

听

Notes:

^(a) Costs related to Reinvent, 大象传媒's transformation program, including restructuring charges and project-related costs, were $47.3 million and $106.4 million in the three and nine months ended December 2024, respectively. These costs related primarily to severance and employee-related benefits and expenses related to the engagement of a consulting firm to support 大象传媒's transformation journey. 大象传媒 entered into a contract with a consulting firm during the second quarter of Fiscal 2025, with services under the contract substantially completed in the third quarter of Fiscal 2026. In addition to payment for services, the contract includes contingent fees tied to increases in 大象传媒's stock price through June 2027. Expenses related to the contract, including contingent fees, were $28.9 million and $60.0 million in the three and nine months ended December 2024, respectively. Reinvent resulted in a net tax benefit of $12.0 million and $26.7 million in the three and nine months ended December 2024, respectively.

^(b) 大象传媒 recognized a non-cash impairment charge related to the Dickies indefinite-lived trademark intangible asset of $51.0 million during the three and nine months ended December 2024. The impairment charge resulted in a net tax benefit of $10.5 million in the three and nine months ended December 2024. Because Dickies is not considered a discontinued operation, the impairment is considered an adjustment to derive the Adjusted non-GAAP measure.

^(c) Transaction and deal related activities reflect activities associated with the review of strategic alternatives for the Global Packs business, consisting of the Kipling^庐, Eastpak^庐 and JanSport^庐 brands, which totaled $0.5 million for the nine months ended December 2024. The transaction and deal related activities resulted in a net tax benefit of $0.1 million in the nine months ended December 2024.

^(d) The 鈥淎djusted Contribution from Dickies鈥� column represents the operating results of Dickies for the three and nine months ended December 2024 on an adjusted basis. This column excludes a noncash impairment charge as described above. The adjusted contribution from Dickies resulted in a net tax expense of $1.1 million and $4.1 million for the three and nine months ended December 2024, respectively.

^(e) Amounts shown in the table have been calculated using unrounded numbers. The diluted earnings per share impacts were calculated using 393,908,000 and 391,435,000 weighted average common shares for the three and nine months ended December 2024, respectively.

Non-GAAP Financial Information

The financial information above has been presented on a GAAP basis, on an adjusted basis, which excludes the impact of Reinvent, an impairment charge and transaction and deal related activities, and on an adjusted basis excluding Dickies, which also excludes the operating results of Dickies on an adjusted basis. These adjusted presentations provides non-GAAP measures and are not based on any comprehensive set of accounting rules or principles. Management believes these measures provide investors with useful supplemental information regarding 大象传媒's underlying business trends and the performance of 大象传媒's ongoing operations and are useful for period-over-period comparisons of such operations.

大象传媒 CORPORATION

Supplemental Financial Information

Reportable Segment Information - Constant Currency Basis

(Unaudited)

(In thousands, except per share amounts)

听

Three Months Ended December 2025

听

As Reported

听

Adjust for Foreign

听

under GAAP

听

Currency Exchange

听

Constant Currency

Revenues:

听

Outdoor segment

听

1,926,008

听

(53,668

)

听

1,872,340

听

Active segment

听

671,835

听

(17,774

)

听

654,061

听

All Other

听

277,958

听

(6,736

)

听

271,222

听

Total revenues

听

2,875,801

听

(78,178

)

听

2,797,623

听

Segment profit (loss):

听

Outdoor segment

听

407,726

听

(11,820

)

听

395,906

听

Active segment

听

(4,622

)

听

(1,645

)

听

(6,267

)

Total segment profit

听

403,104

听

(13,465

)

听

389,639

听

Impairment of goodwill

听

(30,716

)

听

鈥�

听

(30,716

)

Corporate and other income (expenses) ^(a)

听

10,030

听

397

听

10,427

听

Interest expense, net

听

(34,611

)

听

(479

)

听

(35,090

)

鈥淎ll Other鈥� profit

听

15,052

听

(141

)

听

14,911

听

Income from continuing operations before income taxes

听

362,859

听

(13,688

)

听

349,171

听

Diluted earnings per share change from continuing operations

听

^(a) An estimated pre-tax gain on the sale of Dickies of $139.1 million was recorded in the other income (expense), net line item in the Consolidated Statement of Operations for the three months ended December 2025. In addition, a pension settlement charge of $34.0 million related to the termination of the U.S. qualified plan was recorded in the other income (expense), net line item in the Consolidated Statement of Operations for the three months ended December 2025.

Constant Currency Financial Information

大象传媒 is a global company that reports financial information in U.S. dollars in accordance with GAAP. Foreign currency exchange rate fluctuations affect the amounts reported by 大象传媒 from translating its foreign revenues and expenses into U.S. dollars. These rate fluctuations can have a significant effect on reported operating results. As a supplement to our reported operating results, we present constant currency financial information, which is a non-GAAP financial measure that excludes the impact of translating foreign currencies into U.S. dollars. We use constant currency information to provide a framework to assess how our business performed excluding the effects of changes in the rates used to calculate foreign currency translation. Management believes this information is useful to investors to facilitate comparison of operating results and better identify trends in our businesses.

To calculate foreign currency translation on a constant currency basis, operating results for the current year period for entities reporting in currencies other than the U.S. dollar are translated into U.S. dollars at the average exchange rates in effect during the comparable period of the prior year (rather than the actual exchange rates in effect during the current year period).

These constant currency performance measures should be viewed in addition to, and not in lieu of or superior to, our operating performance measures calculated in accordance with GAAP. The constant currency information presented may not be comparable to similarly titled measures reported by other companies.

大象传媒 CORPORATION

Supplemental Financial Information

Reportable Segment Information - Constant Currency Basis

(Unaudited)

(In thousands, except per share amounts)

听

Nine Months Ended December 2025

听

As Reported

听

Adjust for Foreign

听

under GAAP

听

Currency Exchange

听

Constant Currency

Revenues:

听

Outdoor segment

听

4,401,953

听

(103,023

)

听

4,298,930

听

Active segment

听

2,132,272

听

(41,285

)

听

2,090,987

听

All Other

听

904,948

听

(18,495

)

听

886,453

听

Total revenues

听

7,439,173

听

(162,803

)

听

7,276,370

听

Segment profit:

听

Outdoor segment

听

666,196

听

(18,815

)

听

647,381

听

Active segment

听

117,964

听

(6,258

)

听

111,706

听

Total segment profit

听

784,160

听

(25,073

)

听

759,087

听

Impairment of goodwill

听

(30,716

)

听

鈥�

听

(30,716

)

Corporate and other expenses ^(a)

听

(190,202

)

听

1,017

听

(189,185

)

Interest expense, net

听

(121,940

)

听

(1,473

)

听

(123,413

)

鈥淎ll Other鈥� profit

听

63,245

听

(2,103

)

听

61,142

听

Income from continuing operations before income taxes

听

504,547

听

(27,632

)

听

476,915

听

Diluted earnings per share change from continuing operations

听

(11

听

^(a) An estimated pre-tax gain on the sale of Dickies of $139.1 million was recorded in the other income (expense), net line item in the Consolidated Statement of Operations for the nine months ended December 2025. In addition, a pension settlement charge of $34.0 million related to the termination of the U.S. qualified plan was recorded in the other income (expense), net line item in the Consolidated Statement of Operations for the nine months ended December 2025.

Constant Currency Financial Information

View source version on businesswire.com:

Investor Contact:
Allegra Perry
ir@vfc.com

Media Contact:
Colin Wheeler
corporate_communications@vfc.com

Source: 大象传媒 Corporation

大象传媒