PVH Corp. Reports Q3 Earnings; Misses Last Year But Beats Estimates

According to the report, PVH Corp. announced its third-quarter earnings, showing a decrease from last year, but surpassing analyst expectations. Despite a drop in net income and revenue, the company's EPS guidance for the next quarter and full year suggests potential stability.

Date: 05-12-2024

AI Rating: 6

PVH Corp. reported its third-quarter earnings revealing a drop in net income, which came in at $131.9 million, a decrease from $161.6 million in the same period last year. This decline indicates challenges within the company, likely impacting investor sentiment negatively.

However, the earnings per share (EPS) showed resilience as it stood at $2.34, compared to $2.66 last year. Notably, this EPS surpassed the analysts' average estimate of $2.59, marking a slight positive for the company amidst overall decline.

Additionally, when excluding special items, the adjusted earnings amounted to $170.5 million or $3.03 per share, further indicating the strength of the core operations despite the troubling decline in overall earnings.

Revenue also saw a decrease, falling by 4.2% to $2.131 billion from $2.225 billion. This drop may raise concerns about the company’s performance in a competitive retail environment.

Guidance for future performance also plays a crucial role. For the next quarter, PVH has forecasted an EPS of between $3.05 and $3.20, and for the full year, EPS is expected to range from $11.55 to $11.70. This guidance suggests that management is confident in recovering from the current dip, which could mitigate investor concerns.

Stocks: PVH