PVH (NYSE:PVH) delivered better-than-expected third-quarter results, but the apparel retailer lowered the high end of its full-year earnings guidance due to the impact of a stronger dollar. Shares of the company dropped over 8% in pre-market today.
For the quarter, PVH reported adjusted earnings of $3.03 per share, surpassing Wall Street estimates of $2.58. Revenue reached $2.26 billion, exceeding the Street consensus forecast of $2.22 billion. Gross margin improved significantly to 58.4%, up from 56.7% in the same period last year.
Looking ahead, the company provided cautious fourth-quarter guidance. It expects revenue to decline by 6-7%, missing the anticipated 4.5% drop forecasted by analysts. The company also projected fourth-quarter earnings per share to range between $3.05 and $3.20, falling short of its prior implied guidance of $3.60 to $3.85 and the consensus estimate of $3.71.
For the full year, PVH revised its adjusted EPS guidance to a range of $11.55 to $11.70, down slightly from the previous range of $11.55 to $11.80. Full-year revenue guidance was reaffirmed, with the company expecting a decline of 6-7%.