10-Q - PVH CORP. /DE/ (0000078239) (Filer)

Wed, Jun 12, 4:13 PM (241 days ago)

PVH Corp. reported a decline in Q1 2024 revenue to $1.95 billion from $2.16 billion in Q1 2023, mainly due to the sale of its Heritage Brands intimates business and a 1% negative impact from foreign currency translation. Gross profit margin improved by 350 basis points to 61.4%, driven by lower product costs and a favorable shift in revenue mix towards higher-margin direct-to-consumer channels. SG&A expenses decreased to $1.02 billion from $1.06 billion, though they increased as a percentage of revenue due to the shift in revenue mix and deleveraging of fixed costs. Net income rose to $151.4 million from $136 million, with diluted EPS increasing to $2.59 from $2.14. The company completed a $10 million gain from the Heritage Brands intimates transaction and expects full-year revenue to decline by 6-7% due to the sale and the absence of an extra week in 2023. PVH also issued €525 million of 4.125% senior notes due 2029, using proceeds to redeem existing 3.625% notes. The company repurchased $200 million in common stock during the quarter and plans further repurchases and capital expenditures totaling $675 million for the year.