PVH Corp. Delivers Strong Q4 Performance Amid Challenging Consumer and Macroeconomic Environment
PVH Corp., the parent company of Calvin Klein and Tommy Hilfiger, has reported a strong fourth quarter 2025 performance, exceeding its guidance across revenue, operating profit, and EPS. The company's total revenue was up mid-single digits on a reported basis above its guidance and flat in constant currency, with better than expected gross margin performance across all regions.
During the conference call to discuss the company's Q4 2025 earnings, Stefan Larsson, Chief Executive Officer, highlighted the progress made towards building Calvin Klein and Tommy Hilfiger into their full potential and making PVH one of the highest performing brand groups in its sector. The company continues to simplify its operating model, drive more efficient ways of working, and generate cost savings.
"We have made important progress on this journey," Larsson said. "While there is, of course, more work to do, I want to start by thanking our teams around the world for delivering a strong fourth quarter and finish to the year."
PVH Corp.'s Q4 2025 financial performance was also highlighted during the conference call. The company delivered on its financial guidance across both the top and bottom line for the full year, returning to revenue growth despite the challenging consumer and macroeconomic environment. It achieved a non-GAAP operating margin of 8.8% for the full year, above its guidance, including the impact of tariffs.
When excluding the impact of gross tariffs, PVH Corp.'s operating margin was 9.6%. The company also returned over $560 million of capital to shareholders through share repurchases, representing 15% of its shares outstanding. Looking ahead, despite some caution from wholesalers and an uneven consumer macro environment, PVH Corp. reported positive momentum at the start of 2026.
"We have started 2026 with positive momentum and higher spring season sell-through trends across both brands and all three regions," Larsson said during the conference call. "While wholesalers remain cautious and the consumer macro environment continues to be uneven, our fall 2026 order books for Europe are positive."
The company's inventory position at the end of Q4 2025 was also highlighted as a positive development, with a good balance of stock up 5% compared to last year or up 1% when adjusted for tariffs. This strong inventory management should enable PVH Corp. to navigate the spring season effectively.
Overall, PVH Corp.'s Q4 2025 performance demonstrates its ability to adapt and thrive in a challenging environment. The company's commitment to simplifying its operating model, driving efficiency, and focusing on its iconic brands has yielded strong results, setting it up for continued success in 2026."
