PVH Corp., the parent company of Calvin Klein and Tommy Hilfiger, posted better than expected fourth quarter earnings, triggering a sharp rise in its stock price. The company reported adjusted earnings of $3.27 per share, exceeding analyst expectations of $3.21 per share. Despite a 5% drop in revenue to $2.372 billion, PVH surpassed market forecasts of $2.33 billion.
Sales for Calvin Klein dipped 2%, while Tommy Hilfiger experienced a 5% decline, largely due to a 7% drop in international sales. Meanwhile, Heritage Brands saw a 41% revenue decline, impacted by the sale of its women’s intimates business. Looking ahead, PVH forecasts Q1 earnings between $2.10 and $2.25 per share, with FactSet projecting $2.24 per share. The company anticipates flat to slightly declining revenue for the quarter but maintains a positive full-year outlook, projecting $12.40 to $12.75 per share, significantly above analyst estimates of $11.68 per share.
PVH also unveiled a $500 million share repurchase program, funded through $350 million in cash and $150 million in short-term debt. This initiative is part of its $5 billion repurchase authorization, with $1.8 billion still available as of February. Following the announcement, PVH stock surged 18% in early trading, marking its strongest rally since March 2023, when it gained 20%. Despite this surge, the stock remains in deep consolidation, having fallen 39% in 2025 so far.