Key insights
- PVH Corp. shares dropped significantly due to a lowered full-year outlook, citing the Middle East conflict's impact. This overshadowed better-than-expected first-quarter results, which saw revenue beat estimates driven by strong direct-to-consumer sales for its Calvin Klein and Tommy Hilfiger brands. The negative outlook suggests potential headwinds for consumer discretionary spending and supply chain disruptions impacting the apparel sector.
Investing.com -- PVH Corp. shares fell about 16% in extended trading hours after the apparel company updated its full-year outlook to reflect the prolonged effects of the Middle East conflict, overshadowing first-quarter results that met or exceeded expectations.
The apparel company posted first-quarter revenue of $2.03 billion which edge above street estimates of $2 billion, supported by strong performance in its direct-to-consumer business. Direct-to-consumer revenue increased 6%, or 3% in constant currency, driven by growth across both physical stores and e-commerce channels for its Calvin Klein and Tommy Hilfiger brands.