Investing.com -- V.F. Corp shares surged over 10% in premarket trading Wednesday after the parent company of Vans and The North Face posted better-than-expected fourth-quarter results and reinstated annual financial guidance, signalling growing confidence in the business recovery.

The company’s adjusted earnings per share (EPS) of $0.06 beat the consensus estimate of a $0.01 loss, while revenue of $2.17 billion rose 1% year-on-year and topped expectations of $2.13 billion.

Stripping out Dickies, which was sold during the third quarter to Bluestar Alliance for around $600 million, revenue grew 8% versus the prior year or 3% in constant currency — ahead of the company’s own guidance of flat to 2% constant-currency growth and the strongest performance in three years on that basis.

The North Face revenue surged 12% year-on-year or 7% in constant currency, driven by a particularly strong showing in the Americas where sales jumped 17%. Timberland grew 8% reported or 2% in constant currency.

“For the first time in three years, we returned to a full year of growth and expect to keep growing in FY’27," said CEO Bracken Darrell in a statement. "We also significantly expanded margins and reduced our leverage ratio by a full turn vs. LY. In the fourth quarter, we delivered our strongest revenue performance since I joined VF. "

Vans remained under pressure, slipping 1% reported and 5% in constant currency, though the brand returned to growth in Americas direct-to-consumer, a closely watched indicator of recovery. The Americas region as a whole grew 2% year-on-year, or 10% in constant currency excluding Dickies — its highest growth rate since the first quarter of fiscal 2023.

Adjusted operating income excluding Dickies came in at $54 million, well ahead of the company’s guidance range of $10-30 million.

For fiscal 2027, the company guided for constant-currency revenue growth of 1-2%, an adjusted operating margin of around 8%, and free cash flow flat to up versus last year’s $405 million.