PVH Girds for Currency Impacts

PVH Corp. adopted what it called a “prudent approach” to 2015 as it prepared to face fierce currency headwinds that are expected to subtract more than $100 million from its 2015 net income and lead to a decline in its reported revenues. The New York-based owner of Calvin Klein and Tommy Hilfiger, which finished the 2014-15 fiscal year with $8.24 billion in revenues, expects currency fluctuation, coupled with political and economic instability in the Russian market, to deplete first-quarter earnings by about 30 cents a share and full-year EPS by about $1.30. The pressures of the strengthening dollar didn’t prevent the firm from delivering better-than-expected fourth-quarter results, even as revenues fell slightly below the consensus estimates of analysts. In the three months ended Feb. 1, PVH generated net income of $51.5 million, or 62 cents a diluted share, versus a loss of $37.5 million, or 46 cents, in the year-ago quarter. On an adjusted basis, eliminating special items including costs for the integration of the Warnaco business, EPS came to $1.76, 3 cents higher than the consensus estimate of analysts. Revenues moved up to $2.07 billion from $2.05 billion, a 0.8 percent increase on a reported basis that represented a 5.5 percent boost at

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