PVH Corp (NYSE:PVH), the parent company of Tommy Hilfiger and Calvin Klein, stock fell 6.07% (As on August 28, 11:50:59 AM UTC-4, Source: Google Finance) after the company reported better-than-expected second quarter earnings and raised its full-year guidance, despite a decline in revenue. The company’s EBIT on a non-GAAP basis was 189 million dollars. Revenue in the company’s owned and operated stores decreased 4 percent or 3 percent on a constant currency basis. Revenue in the company’s owned and operated digital commerce business declined 6 percent or 5 percent on a constant currency basis. Wholesale revenue for the quarter decreased 9 percent or 8 percent on a constant currency basis, primarily due to a 7 percent reduction resulting from the sale of the Heritage Brands women’s intimates business. The company said Tommy Hilfiger revenue decreased 4 percent or 3 percent on a constant currency basis, international revenue decreased 6 percent or 5 percent on a constant currency basis, while North America revenue increased 1 percent. Calvin Klein revenue decreased 1 percent and remained flat on a constant currency basis, while international revenue decreased 2 percent and North America revenue increased 1 percent. Heritage Brands revenue decreased 60 percent, which included a 56 percent decrease resulting from the sale of the Heritage Brands women’s intimates business.

PVH in the second quarter of FY 24 has reported the adjusted earnings per share of $3.01, beating the analysts’ estimates for the adjusted earnings per share of $2.29. The company had reported the adjusted revenue decline of 6 percent to $2.07 billion in the second quarter of FY 24, which is inline with the analysts’ estimates for revenue of $2.07 billion. This includes a 3 percent decline resulting from the sale of the Heritage Brands women’s intimates business. Gross margin increased 250 basis points to 60.1% compared to 57.6% in the prior year period. Inventory decreased 12% compared to the prior year period.

For the full year 2024, PVH raised its adjusted EPS guidance to a range of $11.55 to $11.80, up from the previous forecast of $11.00 to $11.25. The company reaffirmed its projected revenue decrease of 6% to 7% compared to 2023 and operating margin on Non-GAAP basis to be of approximately flat compared to 10.1% in 2023.

For the third quarter of 2024, Revenue is projected to decrease 6% to 7% as compared to the third quarter of 2023 (decrease 7% to 8% on a constant currency basis).