PVH Corp. reported a better-than-expected second quarter on Thursday, driven by strong demand for its Tommy Hilfiger and Calvin Klein brands in the Americas and Europe..
The New York-based fashion group said net sales for the three months ended July 2 rose 1% to $2.3 billion, or 3% on a constant currency basis, beating analysts’ average estimate of $2.29 billion, according to IBES data from Refinitiv..
Total comparable sales increased 2%, with Tommy Hilfiger rising 4% and Calvin Klein edging up 1%..
PVH said it now expects full-year adjusted earnings per share to be in the range of $9.90 to $10.10, up from its previous guidance of $9.60 to $9.80..
Shares of PVH were up 3.4% in premarket trading on Thursday..
**Tommy Hilfiger and Calvin Klein Drive Growth**.
Tommy Hilfiger, PVH’s largest brand, reported a 4% increase in comparable sales, driven by strong demand in the Americas and Europe. The brand’s revenue rose 3% to $1.1 billion..
Calvin Klein’s comparable sales edged up 1%, with revenue increasing 2% to $884 million. The brand’s performance was driven by growth in its underwear and accessories businesses..
**Digital Sales Continue to Rise**.
PVH’s digital sales continued to grow during the quarter, accounting for 27% of total revenue. The company said it saw strong growth in its online channels across all regions..
**Outlook**.
For the full year, PVH now expects net sales to be in the range of $9.45 billion to $9.55 billion, up from its previous guidance of $9.35 billion to $9.45 billion..
Adjusted earnings per share are now expected to be in the range of $9.90 to $10.10, up from the previous guidance of $9.60 to $9.80..
PVH said it remains confident in its long-term growth prospects and is well-positioned to capitalize on the recovery in consumer spending..
**Analyst Commentary**.
Analysts were generally positive on PVH’s results, with many noting the strength of the company’s brands and its ability to navigate the challenges of the global pandemic..
