Calvin Klein and Tommy Hilfiger parent PVH Corp. on March 28 gave its adjusted EPS outlook for 2018, placing it between $9 and $9.10, above the EPS of $7.94 the company reported in 2017.
PVH predicts that its revenue will increase approximately 4% on a constant currency basis in 2018 and that the 2018 effective tax rate will range from 14.5% to 15.5%, inclusive of the impact of U.S. tax reform legislation.
The company also gave its guidance for the first quarter of 2018. It expects its adjusted EPS to fall in the range of $2.20 to $2.25.
Furthermore, the apparel retailer reported that its 2017 adjusted EPS increased to $7.94 from $6.80 in the previous year, also beating the S&P Capital IQ consensus normalized EPS estimate of $7.82 for full year 2017.
Meanwhile, PVH's adjusted EPS for the fourth quarter 2017 was $1.58, versus $1.23 in the prior year period. It also beat the S&P Capital IQ consensus normalized EPS estimate of $1.47 for the quarter.
Chairman and CEO Emanuel Chirico said the fourth quarter and full year 2017 results exceeded company expectations. He attributed the results to the strong momentum of its Tommy Hilfiger and Calvin Klein units.