Tue, Apr 1, 3:50 PM (26 days ago)
**PVH Corp. (PVH) - Ticker: PVH** **Financial Performance (2024):** - **Revenue:** $8.7 billion, a decrease of 6% from 2023. - **Net Income:** $599 million, a decrease of 10% from 2023. - **Earnings per Share (EPS):** $10.69 (basic) and $10.56 (diluted). - **Gross Margin:** 59.4%, an increase of 120 basis points from 2023. - **Operating Expenses:** $4.411 billion, a decrease of 132 million from 2023. - **SG&A Expenses:** 51.0% of total revenue, an increase of 170 basis points from 2023. **Strategic Overview:** - **PVH+ Plan:** A multi-year strategic plan to build Calvin Klein and Tommy Hilfiger into the most desirable lifestyle brands globally. - **Growth Drivers:** Win with the best product, consumer engagement, digitally-led marketplace, demand-driven operating model, and efficiencies. - **Market Position:** PVH is one of the largest global apparel companies, with iconic brands like Tommy Hilfiger and Calvin Klein. **Future Outlook:** - **Revenue:** Expected to be flat to slightly increase in 2025. - **Gross Margin:** Expected to decrease by approximately 100 basis points in 2025. - **SG&A Expenses:** Expected to decrease by approximately 200 basis points in 2025. - **Economic Uncertainty:** Continues due to inflationary pressures, supply chain disruptions, and geopolitical tensions. **Risk Factors:** - **China's Ministry of Commerce (MOFCOM):** PVH was placed on the List of Unreliable Entities, which could result in fines or restrictions on business operations in China. - **Economic Conditions:** Inflationary pressures, supply chain disruptions, and geopolitical tensions could adversely affect financial performance. - **Currency Fluctuations:** Changes in exchange rates could impact revenue and net income. - **Dependency on Key Customers:** A small number of customers account for a significant portion of revenue. - **Brand Value:** The success of PVH depends on the value of its brands, which could be adversely affected by various factors. **Financial Condition:** - **Debt:** $2.099 billion in outstanding debt as of February 2, 2025, with $500 million of senior unsecured notes due in 2025. - **Cash and Cash Equivalents:** $748 million as of February 2, 2025. - **Liquidity:** The company has $1.4 billion of borrowing capacity available under various debt facilities. **Market Position Changes:** - **Segment Restructuring:** Effective February 3, 2025, PVH changed its reportable segments to be region-focused: Americas, Europe, the Middle East and Africa, Asia-Pacific, and Licensing. - **Digital Commerce:** Continues to be a focus, representing approximately 20% of total revenue in 2024.