VF Corp (NYSE: VFC) shares soared 6.73% in pre-market trading on Wednesday, rallying after the apparel and footwear company reported better-than-expected third quarter fiscal 2025 earnings results and provided encouraging signs that its turnaround efforts are taking hold.

For the quarter ended December 28, 2024, VF Corp posted adjusted earnings per share of $0.62, comfortably beating Wall Street's consensus estimate of $0.34 per share. Revenue for the quarter rose 1.9% year-over-year to $2.83 billion, also exceeding analyst expectations of $2.75 billion.

The robust quarterly performance was driven by continued strength in VF Corp's popular outdoor and activewear brands like The North Face, which saw sales increase 5% to $1.25 billion, and Timberland, with an 11% revenue jump to $527 million. However, the Vans and Dickies brands faced headwinds, with Vans sales down 9% and Dickies plunging 10%.

VF Corp's earnings beat and overall sales growth signaled that the company's turnaround plan, initiated in 2023 by CEO Bracken Darrell, is starting to bear fruit. The plan involves focusing on core brands, reducing costs by $300 million through fiscal 2025, and divesting non-core assets like the Supreme streetwear brand.