Overview
- PVH posted adjusted EPS of $2.83 on revenue of about $2.29 billion for Q3, topping consensus on both metrics.
- The company guided Q4 adjusted EPS to $3.20–$3.35, below the roughly $3.61 analyst estimate, while reaffirming full-year revenue (flat to slightly up in constant currency) and setting adjusted EPS at $10.85–$11.00.
- Gross margin fell to 56.3% from 58.4% a year ago, with a roughly $0.37 adjusted EPS hit from U.S. tariffs and added pressure from promotions, higher freight and license transitions, with a heavier tariff impact expected in Q4.
- Operational shifts from taking categories in-house and launching a Calvin Klein global product hub led to shipment delays and lost full-price weeks, with EMEA trending down 2% in constant currency.
- Shares dropped as much as 10.5% the day after earnings as analysts flagged a longer road to margin targets, and the company reiterated its multiyear PVH+ brand plan as CFO Zac Coughlin prepares to depart.