Home / Knowledge / News / Apparel/Garments / Non GAAP EPS rises 11% at apparel marketer PVH Corp
Non GAAP EPS rises 11% at apparel marketer PVH Corp
Aug '15
Non GAAP earnings per share at US apparel marketer PVH Corp which has brands like Tommy Hilfiger and Calvin Klein in its portfolio rose 11 per cent year over year for the second fiscal quarter ended August 2, 2015.

Earnings per share on a non-GAAP basis excluding the negative impact primarily related to foreign currency exchange rates was $1.68, or an increase of 11 per cent from a fiscal ago period.

“However, when considering the negative impact of $0.31 related to foreign currency exchange rates, earnings per share on a non-GAAP basis were $1.37,” a PVH press release said.

GAAP earnings per share for the reporting quarter were $1.22 as compared to $1.52 for the prior fiscal's second quarter.

Revenue inched up much slower at 2 per cent on a constant currency basis, but fell 6 per cent on a GAAP basis, when comparing to the previous fiscal's same quarter revenue of $1.98 billion.

As against last fiscal's second quarter, revenues drove up 5 per cent in the Tommy Hilfiger business on a constant currency basis, but dropped 7 per cent on a GAAP basis.

Similarly, sales went up 3 per cent in the Calvin Klein business on a constant currency basis, however, dipped 4 per cent on a GAAP basis in the quarter under review.

Net interest expense in the second quarter of fiscal 2016 declined to $28 million from $34 million in the same quarter of earlier fiscal, due, principally to lower average debt balances.

“The effective tax rate on a non-GAAP basis descended 21.5 per cent versus 26.9 per cent in the second quarter of fiscal 2015, due to certain favourable discrete items in the current quarter,” PVH added.

The effective tax rate on a GAAP basis increased to an expense of 19.0 per cent compared to a benefit of 0.8 per cent in the fiscal ago quarter.

“This happened as the prior year effective tax rate included a discrete benefit of approximately $30 million related to the favourable resolution of uncertain tax positions,” the apparel marketer explained.

CEO Emanuel Chirico stated, “Our second quarter performance highlighted continued strength in our Calvin Klein business, as consumers responded well to our recent product initiatives, particularly in underwear.”

“Overall, our first half earnings per share, which increased 16 per cent on a non-GAAP and constant currency basis, demonstrated our ability to deliver against our 2015 plan,” Chirico too added.

For the second half of the fiscal, PVH expects to generate earnings per share growth on a non-GAAP and constant currency basis of between 12 and 14 per cent, up from its previous guidance of 11-12 per cent.

The company believes that the strength of the US dollar and the changing consumer spending patterns of global tourists in the US, along with volatility in the global environment, will remain a headwind. (AR)

Fibre2Fashion News Desk – India

Must ReadView All

Courtesy: India ITME

Textiles | On 8th Dec 2016

Industry needs to create 1cr jobs in 3yrs: Kavita Gupta

Sharing several initiatives laid out by the government in R&D,...

Textiles | On 8th Dec 2016

Package will boost made-ups sector: SIMA

The reforms package approved by the Union Cabinet to boost employment ...

Textiles | On 8th Dec 2016

Cabinet okays reforms to boost jobs in made-ups sector

The Union Cabinet chaired by prime minister Narendra Modi has given...

Interviews View All

Anshul Sood

‘Indian footwear market is nascent and largely a trend follower’

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Sonia Agarwal

‘The terms eco-friendly and organic are common but everyone perceives them ...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

December 2016

December 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search