US-based fashion and lifestyle retailer PVH Corp has reported that its revenue increased 2% to $1.984bn in the first quarter (Q1) of 2025 (FY25).
The company’s Europe, the Middle East and Africa (EMEA) segment revenue saw a 5% increase, while Americas revenue grew by 7%. However, Asia Pacific (APAC) revenue declined 13%, affected by the timing of the 2025 Lunar New Year and a challenging consumer environment, especially in China.
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Licensing revenue decreased 2% due to the in-house transition of certain women’s product categories.
The company’s Tommy Hilfiger brand saw a revenue increase of 3%, while Calvin Klein’s revenue remained flat.
PVH CEO Stefan Larsson stated: “In Q1, we continued to tap into the global consumer love for Calvin Klein and Tommy Hilfiger, delivering revenue growth versus last year and ahead of guidance.
“Calvin Klein saw one of its most impactful product launches in years with the Icon Cotton Stretch franchise, amplified by the viral Bad Bunny campaign. Tommy Hilfiger tapped into its lifestyle DNA with rich product storytelling around seasonal newness of Tommy classics to drive growth and built momentum for the brand’s collaboration with the biggest movie launch of the summer: F The Movie.”
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By GlobalDataDirect-to-consumer revenue declined 3%, with owned and operated store revenue down 5%.
In contrast, owned and operated digital commerce revenue grew 3%, driven by growth in Americas.
Wholesale revenue increased by 6%, driven by growth in the Americas and EMEA.
PVH’s gross margin decreased to 58.6% from 61.4% in the previous year, reflecting an unfavourable shift in channel mix, increased promotional activity, the transition of licensed women’s product categories to an in-house wholesale business and higher freight costs.
The company reported a generally accepted accounting principles (GAAP) loss before interest and taxes of $332m, including a $4m negative impact from foreign currency translation, compared to a $205m earnings in the previous year.
PVH’s 2025 outlook includes an estimated net negative impact from US tariffs, with a projected full-year earnings before interest and taxation impact of $65m.
The company reaffirms its revenue outlook to be flat or slightly increased, with a non-GAAP operating margin projected at around 8.5%. Full-year earnings per share (EPS) is expected to range between $10.75 and $11.00 on a non-GAAP basis.
For the second quarter of 2025, revenue is projected to increase in the low single digits, with EPS in the range $1.85 to $2 on a non-GAAP basis.
PVH notes significant uncertainties in global trade policies and macroeconomic conditions, which could materially change the 2025 outlook.
PVH chief financial officer Zac Coughlin stated: We are reaffirming our revenue guidance for the year but are decreasing our outlook for profitability and earnings per share to reflect that backdrop and the current performance of our business.
“Our focus remains on taking proactive measures, including investing in cut-through marketing campaigns and delivering increasing cost efficiencies through execution of our Growth Driver 5 multi-year cost savings initiative, that will improve our trajectory in the second half.”
In June 2024, Calvin Klein opened a flagship store in Paris, at 44 Avenue des Champs-Élysées.
