After downgrading its full year outlook for a second time for fiscal 2023, VF Corp. outlined the headwinds it was currently facing.

VF said that the downgrade reflects foreign exchange headwinds, higher-than-usual inventory levels and more promotional activity in the marketplace. In the second quarter, inventory was 88%higher than in 2021, due to a large shipment that VF has taken control of at the point of embarkation.

In the quarter, the owner of Vans, the North Face, and Timberland revealed that revenue was 4% lower than in the same period one year ago, coming in at $3.1 billion.

According to VF Corp. chairman, president and CEO Steve Rendle, the company is monitoring all non-strategic outgoings in the context of the current “challenging environment”.