(By Balachander) PVH Corp. (NYSE:PVH) reported better-than-expected quarterly earnings, helped by higher sales from its Tommy Hilfiger and Calvin Klein divisions and the apparel company raised its full-year forecast. Shares rose 2.8 percent in extended trading on Monday.
Adjusted earnings per share (EPS) increased 17 percent to $1.25, topping market expectations of $1.20 a share. Net earnings grew 31.5 percent to $87.7 million.
Revenue was flat at $1.337 billion, versus consenus estimate of $1.34 billion for the three months ended July.
Revenue at PVH's Tommy Hilfiger and Calvin Klein business grew 4 percent and 5 percent, respectively. Retail comparable store sales gain of 11 percent and 15 percent in North America and Europe, respectively drove revenue at Tommy Hilfiger business. Strong performance globally in fragrance, women's sportswear, dresses, footwear and handbags boosted revenue at the company's Calvin Klein business.
Heritage Brands business revenue dropped 10 percent due to a fall in dress furnishings sales to a mid-tier department store retailer.
Looking ahead to the third quarter, PVH forecasts non-GAAP EPS of $2.20 to $2.25 on revenue decline of 2 percent to 3 percent. Analysts expect EPS of $2.21 on revenue drop of 0.6 percent.
For the full year ending January 2013, the company now expects non-GAAP EPS in the range of $6.25 to $6.32 from prior expectations of $6.15 to $6.25. Revenue growth is still projected to be between 1 percent and 2 percent. Analysts expect EPS of $6.22 on revenue rise of 2.00 percent.
The stock, which has been trading in the 52-week range of $53.51 to $93.06, closed at $88.49 on Monday.