US apparel firm PVH lifts its earnings outlook for Q3

04 Oct '12

2 min read

PVH Corp is updating its previous earnings per share guidance for its full year and third quarter 2012.

2012 Guidance:

Non-GAAP earnings per share for the full year 2012 is now estimated to be in a range of $6.32 to $6.37, as compared to the previous non-GAAP guidance of $6.25 to $6.32.

Non-GAAP earnings per share for the third quarter of 2012 is now estimated to be in a range of $2.28 to $2.30, as compared to the previous non-GAAP guidance of $2.20 to $2.25.

The Company’s updated earnings per share guidance reflects the continued strong performance in the Tommy Hilfiger business, particularly in North America, and the Calvin Klein business. In addition, the Company is currently outpacing its planned turnaround in its Heritage Brands wholesale businesses in the second half of 2012.

Non-GAAP Exclusions:

The discussions in this release that refer to non-GAAP amounts exclude the following:

• Pre-tax costs of approximately $15 million expected to be incurred in 2012 principally in connection with the integration of Tommy Hilfiger and the related restructuring, of which approximately $5 million is expected to be incurred in the third quarter.

• Estimated tax effects associated with the above pre-tax costs, which are based on the Company’s assessment of deductibility. In making this assessment, the Company evaluated each item that it has recorded as an acquisition, integration, restructuring or debt modification cost to determine if such cost is tax deductible, and if so, in what jurisdiction the deduction would occur. All items above were identified as either primarily tax deductible in the United States, in which case the Company assumed a combined federal and state tax rate of 38.0%, or as non-deductible, in which case the Company assumed no tax benefit. The assumptions used were consistently applied for both GAAP and non-GAAP earnings amounts.

PVH Corp., one of the world’s largest apparel companies, owns and markets the iconic Calvin Klein and Tommy Hilfiger brands worldwide.

PVH Corp

More Phillips-Van Heusen Corporation News... More Apparel/Garments News - United States Of America...