Clothing company PVH swung to a net profit amid higher revenue in the third quarter on the back of growth in the direct-to-consumer businesses in all regions and Tommy Hilfiger and Calvin Klein brand businesses in North America.
The company booked a net income of $161.6 million compared to last year’s net loss of $186.7 million, as net sales grew 3.6 per cent year over year to $2.36 billion.
Tommy Hilfiger’s revenue increased 3.7 per cent to $1.21 billion while Calvin Klein’s revenue climbed 5.8 per cent to $1.02 billion. Meanwhile, revenue of the Heritage Brands wholesale dipped 11.3 per cent to $130.8 million.
“Through our disciplined PVH+ Plan execution, we are gaining increasing traction in our product category offense and hero products, our cut-through marketing campaigns, and building out our demand-driven supply chain,” said Stefan Larsson, CEO at PVH.
For the fourth quarter, PVH forecasts revenue to decline 3 per cent to 4 per cent from the year-ago period due to the impact of the sale of the Heritage Brands intimate apparel business. Full-year revenue is estimated to increase by 1 per cent.
