NEW YORK (AP) — Clothing company VF Corp. says it is looking to increase revenue from its Asia Pacific business by $1.1 billion over the next five years.
VF said during an investor meeting in Shanghai on Wednesday that its goal is to reach $2 billion in revenue by 2017 mostly by growing brands such as Timberland, Lee, The North Face, Vans and Kipling.
In February, VF reported overall revenue of $9.37 billion for 2011. International revenue made up 34 percent of total revenue.
China, which currently accounts for approximately half of the Asia Pacific region's total revenue, is expected to make up 60 percent of total revenue by 2017. India is predicted to grow from 8 percent to 10 percent of total Asia Pacific revenue by 2017. Korean revenue is forecast to grow at an annual rate of 52 percent, while Japanese revenue is expected to grow at an annual rate of 8 percent over the next five years.
The Greensboro, N.C., company maintained its forecast for 2012 revenue for Asia to rise about 20 percent and for European revenue to increase at a low double-digit percentage rate.
Karl Heinz Salzburger, Group President of VF International, said in a statement that VF anticipates international revenue making up approximately 37 percent of its total revenue this year. The company feels that international revenue could comprise 45 percent of total revenue by 2017.
When looking at each brand, VF is forecasting $230 million in revenue growth for Timberland in the Asia Pacific region over the next five years. Lee is predicted to increase its revenue by $150 million during that time, while the North Face is expected to grow its revenue by $340 million. Vans is looking for its Asia Pacific revenue to rise by $200 million by 2017 and Kipling is forecast to increase its revenue in the region by $80 million.
Shares of VF finished at $160.53 on Tuesday. Its shares rose to a 52-week high of $164.35 on Friday. They traded as low as $115.91 per share last October.