PVH Q2 Profit Up - Update

(RTTNews) - Apparel company PVH Corp. (PVH), on Wednesday reported a profit and revenues for the second quarter that easily trumped Wall Street estimates, as sales of its Calvin Klein and Tommy Hilfiger brands continue to increase. The company lifted its full-year outlook.

PVH's second-quarter profit rose to $165.2 million or $2.12 per share from $119.7 million or $1.52 per share last year.

Adjusted earnings for the quarter rose to $2.18 per share from $1.69 per share last year. On average, 19 analysts polled by Thomson Reuters estimated earnings of $2.10 per share. Analysts' estimates typically exclude one-time items.

Revenues for the quarter grew 13 percent to $2.33 billion from $2.07 billion last year. Analysts had a consensus revenue estimate of $2.29 billion for the quarter.

Commenting on the results, CEO Emanuel Chirico said, "Our better than expected second quarter revenue and earnings reflected continued broad-based strength across our businesses and further underscored the momentum in our global designer lifestyle brands, Calvin Klein and Tommy Hilfiger, and the power of our diversified business model."

Revenue in the Calvin Klein business increased 18 percent to $925 million, with international revenues up 16 percent and North America up 19 percent. Tommy Hilfiger business revenues rose 15 percent to $1.0 billion with international revenues up 20 percent and North American up 9 percent.

Looking forward to the third quarter, PVH expects adjusted earnings of $3.10 to $3.13 per share and revenues to increase around 7 percent. Analysts currently estimate earnings of $3.13 per share and revenues to grow 3.50%.

For the full year 2018, PVH now expects adjusted earnings of $9.20 to $9.25 per share and revenues to increase about 7 percent.

Earlier, the company expected full-year 2018 adjusted earnings of $9.05 to $9.15 per share and revenues to increase about 6 percent. Analysts currently estimate earnings of $9.18 per share and revenues to grow 6.70%.

PVH closed Wednesday's trading at $156.67, up $0.73 or 0.47% on the NYSE. The stock, however, slipped $2.46 or 1.57% in the after-hours trade.