VF Corp has reported flat sales for the first quarter as the poor performance of the Vans business weighed down results.

The company’s revenue for the quarter ended June 28 stood at $1.8 billion, which was flat on a reported basis and down 2 per cent on constant currency.

Management said The North Face and Timberland brands sustained their positive momentum, and Altra grew strongly. 

Meanwhile, Vans sales slid 14 per cent on a reported basis amid “channel rationalization actions”, following a 22 per cent decline in last year’s fourth quarter. Excluding Vans, VF’s revenue was up 6 per cent.

The company posted an operating loss of $87 million, but management said it was “significantly better” than their guidance range of $110-125 million.

“As I pass the two-year mark in my role as CEO, we are on track with VF’s transformation,” said president and CEO Bracken Darrell.

“We are lowering costs, improving margins, reducing debt and transforming the organization. We have reset the table and soon will move to growth.”

The retailer expects second-quarter revenue to decrease 2-4 per cent on a constant currency basis.