Wed, Jun 4, 8:37 PM (14 days ago)
**PVH Corp. (PVH) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $1,983.6 million, up 2% YoY. - **Gross Profit:** $1,161.7 million, down 3% YoY. - **Net Income:** $(44.8) million, down from $151.4 million YoY. - **EPS:** $(0.88) diluted, down from $2.59 YoY. - **Cash Flow:** Net cash used by operating activities was $(71.4) million, relatively flat YoY. **Profit Margins:** - **Gross Margin:** 58.6%, down from 61.4% YoY. - **Operating Margin:** Negative due to impairment charges. **Cash Flow:** - **Operating Cash Flow:** $(71.4) million, flat YoY. - **Investing Cash Flow:** $(28.0) million, improved from $(41.2) million YoY. - **Financing Cash Flow:** $(462.9) million, increased from $(221.9) million YoY. **Earnings Changes:** - **Revenue Growth:** 2% YoY, driven by EMEA and Americas segments. - **Gross Margin Decline:** 2.8 percentage points YoY, due to channel mix shift and promotional selling. - **Impairment Charges:** $479.5 million non-cash goodwill and intangible asset impairments. **Quarterly Performance:** - **Revenue by Segment:** EMEA up 5%, Americas up 7%, APAC down 13%. - **Revenue by Brand:** Tommy Hilfiger up 3%, Calvin Klein flat. - **Revenue by Channel:** Wholesale up 6%, Direct-to-Consumer down 3%. **Trends & Uncertainties:** - **Macroeconomic Factors:** Inflation, tariffs, and foreign exchange rates impact revenue and margins. - **China Investigation:** Potential restrictions or fines from China's Ministry of Commerce. - **Cost Savings Initiative:** Expected $200-$300 million in annual savings by 2026. **Future Operations Impact:** - **Revenue Outlook:** Flat to slightly up for full year 2025. - **Gross Margin Outlook:** Expected to decrease by approximately 250 basis points for full year 2025. - **SG&A Expenses:** Expected to decrease by approximately 200 basis points for full year 2025. - **Debt Repayments:** $509.3 million due in the remainder of 2025.