PVH's 3Q net income jumps on acquisition, sales

PVH reports strong 3rd quarter on acquisition and improved sales

Associated Press

NEWS: PVH Corp. reported Monday that its fiscal third-quarter profit increased 17 percent, with a boost from a recent acquisition. The quarter's results exceeded market expectations but the clothing company, which owns brands such as Tommy Hilfiger and Calvin Klein, warned that it expects the holiday season to be very competitive and promotional.

DETAILS: The company said strong sales of its Calvin Klein and Tommy Hilfiger brands helped the quarter. It also got a major boost from its acquisition of rival clothier Warnaco in February, which helped boost its revenue.

NUMBERS: PVH's net income rose to $196.7 million, or $2.37 per share, for the quarter that ended Nov. 3 from $167.7 million, or $2.27 per share, earned in its third quarter last year. On an adjusted basis, it earned $2.30 a share versus $2.38 per share last year. Its revenue increased 38 percent to $2.26 billion. Analysts polled by FactSet were anticipating earnings of $2.25 per share on revenue of $2.21 billion.

FUTURE: For the full year, PVH said that it expects to earn $7 per share on revenue of $8.24 billion. Analysts were anticipating $7.07 per share on revenue of $8.25 billion. The company expects to earn $1.40 per share for the fourth quarter on revenue of $2.08 billion. Analysts were forecasting $1.53 on revenue of $2.11 billion.

STOCK: Shares slipped 93 cents to $126.50 in after-hours trading following the report. Its stock fell 2 percent to close regular trading at $127.43 Monday.

Rates

View Comments (0)