PVH Corp., the owner of Calvin Klein and Tommy Hilfiger, reported second-quarter sales that outpaced analysts’ estimates, driven by strong demand for its brands in North America and Europe..
**Q2 Performance**.
Net sales for the quarter ended July 2, 2023, increased 10% to $2.41 billion, exceeding the consensus estimate of $2.35 billion. This growth was fueled by a 12% surge in revenue from the company’s Tommy Hilfiger brand, partially offset by a 2% decline in Calvin Klein sales..
In North America, PVH saw a robust 14% sales increase, with both Tommy Hilfiger and Calvin Klein performing well. The company also experienced solid growth in Europe, where sales rose by 8%. However, sales in Asia declined by 1%, primarily due to ongoing pandemic-related challenges in China..
**Brand Highlights**.
Tommy Hilfiger continued to be a standout performer for PVH, driven by strong demand for its sportswear, denim, and accessories. The brand’s global revenue increased by 12%, with growth across all regions..
Calvin Klein faced some headwinds during the quarter, with sales declining by 2%. However, the brand’s performance improved sequentially from the first quarter, and PVH remains optimistic about its long-term prospects..
**Digital Growth**.
PVH’s digital sales continued to grow rapidly, with e-commerce revenue increasing by 15% during the quarter. The company attributed this growth to investments in its online platforms and the increasing popularity of its brands online..
**Full-Year Outlook**.
Based on its strong second-quarter performance, PVH raised its full-year earnings per share guidance. The company now expects adjusted earnings per share to be in the range of $13.00 to $13.25, up from its previous guidance of $12.75 to $13.00..
**CEO Commentary**.
Stefan Larsson, PVH’s CEO, commented on the company’s performance: .
