PVH (PVH) reported tepid fourth-quarter revenue growth and issued weaker-than-expected current-quarter and full-year sales outlooks, as the luxury apparel maker cited cautious 澳洲幸运5官方开奖结果体彩网:wholesale customers and challenging conditions in its European business. PVH shares plunged more than 20% ahead of Tuesday’s opening bell.

For the quarter ending Feb. 2, the company behind popular brands including Calvin Klein and Tommy Hilfiger posted 澳洲幸运5官方开奖结果体彩网:adjusted earnings of $3.72 per share on flat revenue of $2.49 billion. Analysts had expected earnings of $3.53 a share on sales of $2.42 billion. 

Breaking down the top line by region, sales in the company’s international business grew 4%, with strong Asia Pacific growth helping to offset challenging 澳洲幸运5官方开奖结果体彩网:macroeconomic conditions in European markets. Meanwhile, North American sales were weighed down by a cumulative 2% decline in the company’s Tommy Hilfiger and Calvin Klein businesses, primarily due to cautious wholesale customers.

The New York-based apparel maker projects current-quarter revenue to decline 11% to $1.92 billion, falling short of the $2.08 billion estimate modeled by analysts. For the full year, PVH sees sales contracting between 6% and 7% to around $8.62 billion, below the $9.15 billion 澳洲幸运5官方开奖结果体彩网:Street expectation.

In the year ahead, the company plans to focus driving brand desirability for both its Tommy Hilfiger and Calvin Klein businesses and turn its European operations around by growing market dominance through improving quality of sales.

“This will directly translate into growth in Asia and North America, while in Europe where the macro has become more challenged, our focus is on quality of sales to further strengthen our market leading position,” PVH CEO Stefan Larsson said in the company's 澳洲幸运5官方开奖结果体彩网:earnings statement.

The PVH share price has continued trending higher since the 澳洲幸运5官方开奖结果体彩网:50-day moving average crossed above the 澳洲幸运5官方开奖结果体彩网:200-day moving average to form a 澳洲幸运5官方开奖结果体彩网:golden cross signal in mid-December last year. Amid follow-through selling after the company’s disappointing earning’s report, monitor if the price can hold above a multi-month uptrend line, currently sitting around $104. A 澳洲幸运5官方开奖结果体彩网:breakdown below this key level could see a test of lower support near $93.

PVH shares were down 20.9% at $110.50 about two hours before Tuesday's opening bell. Through Monday's close, the stock had gained about 14% since the start of the year.

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