PVH Corp. could add nearly $2 billion to its annual revenues over the next five years without making a major acquisition.Emanuel Chirico, chairman and chief executive officer, told the annual meeting of shareholders in New York Thursday that, by taking advantage of opportunities to buy out joint venture partners and acquire licenses or allow them to expire, the company stands to “unlock” revenue pools for the Calvin Klein and Tommy Hilfiger brands, particularly in faster-growing markets such as Asia and Latin America.Specifically on Tommy Hilfiger, Chirico said the brand enjoys strong penetration in North America and Europe and is expected to grow at a high-single-digit pace in those markets.“Where we see really outsized growth — double-digit growth — is in Latin America and Asia,” he told shareholders. “For us, the vast majority of these businesses are licensed businesses with strong strategic partners in each of those areas.”PVH, which generated revenues of $8.2 billion in 2013, owns 45 percent of a joint venture for Tommy Hilfiger in China and has the opportunity in the next three years to buy the balance of the business and bring it in-house. Retail sales for the brand in China last year rose about 20 percent, to about $135 million, with “very healthy profitability,” Chirico said.Perhaps counterintuitively, PVH’s February 2013 acquisition of The Warnaco Group, which put Calvin Klein jeans and underwear under the PVH umbrella, has helped strengthen the case for bringing inside the Tommy Hilfiger businesses in China and other markets.“The Warnaco acquisition has given us the opportunity to really look at that in a meaningful way,” Chirico said. “We have a much larger Calvin Klein business in China today with a strong regional Asian platform, systems, logistics and sourcing components there that allow us to have greater confidence that we could bring that business in-house, maximize its growth and bring that profitability to our shareholders as we go forward.”PVH has other businesses in Asia, including one in Korea, built on licenses that have between four and six years remaining. “As the integration of Calvin Klein comes online fully, it’ll give us the ability to bring those businesses in-house and do it in a very financially accretive way,” Chirico said.
To celebrate Pride 2018, @themarcjacobs released the #GratefulNotHateful campaign, a social media initiative aimed at extending Pride beyond the parade. Inspired by Jacobs’ everyday outlook, the campaign features Jacobs along with a group of models and social media stars who are members and supporters of the LGBT community, all seen wearing @marcbeauty’s Highliner Gel Eye Crayons in colors of the rainbow. Head to our Instagram stories to see close-ups of the liner. #wwdbeauty
Virgil Abloh’s dad Nee and Don Crawley, cofounder of RSVP Gallery, were some of the hometown crew at the Chicago-born designer’s debut show for Louis Vuitton. (📸: @jdiderich ) #wwdmens #louisvuitton #virgilabloh
About last night: @marycharteris and @adwoaaboah hit up Hyde Park for the Serpentine Galleries’ annual summer party held in partnership with @chanelofficial. Head to WWD.com to see more photos. #wwdfashion
“This is Paris, my first show. I’m all about democracy. If some kid shows up, flew from New Jersey to just be around, let’s get him a seat.” — @virgilabloh tells WWD’s @jdiderich ahead of his first show for @louisvuitton men’s. (📸: @alfredo_piola ) #wwdmens #virgilabloh #louisvuitton
“Kate Spade was a true fashion icon who brought joy to the lives of women around the world, and inspired women to live life to the fullest. We are dedicated to carrying on her legacy,” said Anna Bakst, brand president and chief executive officer of @katespadeny. The Kate Spade Foundation announced that it will be donating $1 million to suicide prevention and mental health awareness in tribute to the recent death of Kate Spade. Read more on WWD.com. #wwdnews (📷: @chinseephoto)
A first look at @virgilabloh’s sneakers for @louisvuitton. Abloh spoke to WWD about his debut collection for Louis Vuitton, creating @kendalljenner’s #metgala outfit and redefining the heritage brand. Read the full story on WWD.com. #wwdfashion 📷: @alfredo_piola)
The world’s largest producer of denim @iskodenim is sharing the strategy behind its product development process. Read our full interview with ISKO’s product development manager Baris Ozden on the company’s extensive research practices, upcoming denim trends and the latest material innovations on WWD.com. #iskodenim