PVH updates outlook as China leads quarterly revenue growth

PVH Group, the parent of Calvin Klein and Tommy Hilfiger, has reported a 4 per cent boost in revenue to US$2.2 billion for the second quarter ended July 30.

The increase was driven by a 6 per cent growth of Tommy Hilfiger and 3 per cent growth of Calvin Klein.

The company’s international businesses delivered solid performance, especially in the Asia Pacific region with a growth rate of more than 20 per cent in China.

EBIT on a non-GAAP basis was $182 million compared to $211 million in last year’s second quarter, as the revenue increase was offset by overall higher expenses driven by a planned increase in investments.

The company repurchased $200 million of stock during the period and expects to buy back up to $400 million of stock this year.

“We generated double-digit revenue growth in our direct-to-consumer business in both our stores and in e-commerce, through our relentless focus on building brand desirability through product, consumer engagement and marketplace execution,” said Stefan Larsson, CEO at PVH.

 “We are increasing our EPS outlook for the year, excluding restructuring charges, based on the confidence we have in our ability to execute in the back half of the year, while continuing to successfully navigate the macroeconomic environment.”

The company expects a full-year revenue growth of 3 to 4 per cent and EPS of $9.60 compared to $3.03 in 2022.

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