NEW YORK — Phillips-Van Heusen Corp. on Monday raised its 2005 earnings per share guidance after posting third-quarter results that beat Wall Street's consensus estimate.
For the three months ended Oct. 30, net income jumped 50.7 percent to $40.3 million, or 73 cents a diluted share, from $26.7 million, or 52 cents, in the same year-ago quarter.
Excluding adjustments for restructuring and other items last year, earnings were $30.6 million.
Total revenues rose 12.6 percent to $533.2 million from $473.5 million, which included an 11.6 percent jump in sales to $471.8 million from $422.7 million, and the balance representing a 20.9 percent gain in royalty and other income to $61.4 million from $50.8 million.
For the nine months, income skyrocketed 114.8 percent to $88.8 million, or $1.44 a diluted share, from $41.3 million, or 79 cents, last year. Excluding charges for restructuring and other items, net income was $55.9 million. Total revenues were up 18 percent to $1.45 billion from $1.23 billion, which included an 18 percent increase in sales to $1.29 billion from $1.1 billion and the balance representing an 18.2 percent gain in royalty and other income to $156.3 million from $132.3 million.
The company said it saw significant revenue growth in the dress shirt and sportswear businesses. Growth in the dress shirt category was driven by incremental sales added by new Chaps, Sean John and Donald J. Trump Signature Collection lines, as well as strong performances by the company's core brands.
In sportswear, growth was driven by the Calvin Klein men's better sportswear collection and the Izod brand. It added that gains in Calvin Klein licensing revenues and in the continued rollout of Calvin Klein outlet stores in premium outlet malls also contributed to growth in the quarter.
"We are extremely pleased that the company has maintained its positive business momentum through the first nine months of the year. This is especially encouraging given that there was a backdrop of uncertainty leading into the third quarter concerning the overall economic environment and consumer spending," said Mark Weber, chief executive officer, in a statement.
Weber said the Calvin Klein licensing business continues to be a key driver in the growth of the company. During the quarter it announced several new licensing agreements."These include Markwins for a line of color cosmetics and skin care products under the ck Calvin Klein Beauty brand; G-III Apparel for women's better suits, and Fratini for men's and women's CK/Calvin Klein sportswear in Europe," Weber said.
Given the company's third-quarter performance and momentum that is carrying into the fourth quarter, PVH raised its 2005 EPS guidance, excluding the costs of a secondary common stock offering, to $1.90 from a previous guidance range of $1.75 to $1.80. It is projecting fourth-quarter EPS to be 28 cents. Full-year 2005 revenues are projected between $1.9 billion to $1.91 billion.
For 2006, the company said it believes EPS will grow to between $2 and $2.10, which includes the impact of expensing stock options. Revenue growth is projected at between 4 and 5 percent.
"Overall, we feel good about our business performance and our ability to achieve our earnings growth targets in the fourth quarter and beyond," Weber said.
“My personal philosophy to beauty is paying attention to oneself. I love to be outdoors, lots of fresh air, trying to take care of yourself as best you can. I always notice that comes through,” says Felicity Jones, the global face of @shiseido-owned @cledepeaubeauteus, which launches today. Head to WWD.com to read more about the actress’ love for beauty and how she prepared for her new role in “The Basis of Sex,” playing the young Ruth Bader Ginsburg. #wwdbeauty (📷: @dandoperalski)
For men’s fall 2018, @giuseppezanotti drew on elements from streetwear, sport, biker, combat and rock ‘n’ roll. Pictured here are a pair of shoes from the collection, featuring zippers, rhinestones, and silver hardware. Head to WWD.com to see a roundup of the accessories from Milan’s men’s fall 2018 shows. #wwdfashion (📷: Andrea Delb)
To celebrate the 25th anniversary of @ralphlauren’s snowboarding collection, the brand is mining its archives. The iconic brand is reintroducing vintage styles and dropping new designs for a color capsule that will be available in Ralph Lauren stores and @openingceremony on January 25. The capsule will consist of 10 pieces, including the Snow Beach Pullover, pictured here, which is a collector’s item that rapper Raekwon wore in Wu-Tang Clan’s “Can It Be All So Simple” video. #wwdfashion (📷: Tom Gould)
For @rochasofficial’s pre-fall 2018 collection, creative director Alessandro Dell’Acqua channeled the sophisticated and intriguing Catherine Denevue in the film “Belle de Jour.” Polished collarless coats, midi skirts, suits and ’60s graphic motifs were all featured in the collection, adding a sense of discreet luxury. See the rest of the photos on WWD.com #wwdfashion
“We tried to produce clothing of that couture quality, but the most daunting part was that we only had a matter of days [to do it],” said costume designer Lou Eyrich, who recreated Gianni Versace’s iconic looks for @americancrimestoryfx. Eyrich searched online retailers and vintage shops for original pieces from the design house and for @penelopecruzoficial, who plays Donatella Versace. Head to WWD.com to read how she created the Versace world. #wwdfashion
Only three months after her stellar debut catwalk season, @kaiagerber has inked her first big design collaboration –– with @karllagerfeld. The collection blends Lagerfeld’s Parisian chic aesthetic and the model’s signature West Coast casual style via RTW, accessories, footwear and more. The #KarlLagerfeldxKaia collection will launch in September with a series of events. Get all the details on WWD.com. #wwdnews #wwdfashion
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews