PVH Corp. Reports 2% Revenue Growth in Q3 2025, Net Income Declines Due to Impairment Charge

PVH Corp. reported its financial results for the third quarter and the first nine months of fiscal 2025, revealing a revenue increase of 2% to $2.294 billion for the quarter, compared to $2.255 billion in the same period last year. For the first thirty-nine weeks, revenue rose by 3% to $6.445 billion from $6.281 billion. The company attributed the revenue growth to a favorable foreign currency translation impact of approximately 3% in the third quarter and 2% for the year-to-date period. However, net income for the third quarter significantly declined to $4.2 million, or $0.09 per diluted share, from $131.9 million, or $2.34 per diluted share, in the prior year, primarily due to a $480 million noncash impairment charge related to goodwill and other intangible assets.

In terms of operational performance, the company experienced a gross profit margin decline, with gross profit at $1.293 billion, representing 56.3% of total revenue, down from 58.4% in the previous year. This decline was attributed to the negative impact of tariffs on goods imported into the United States, increased promotional selling, and higher freight costs. Selling, general, and administrative expenses decreased to $1.121 billion, or 48.9% of revenue, from 51.2% in the prior year, reflecting cost-saving measures from the company's ongoing restructuring initiatives.

PVH Corp. has been actively restructuring its operations under the "Growth Driver 5 Actions" initiative, which aims to simplify its operating model and achieve annual cost savings of $200 million to $300 million by 2026. The company recorded $80 million in pre-tax costs related to this initiative during the first nine months of 2025. Additionally, the company completed the sale of its women's intimates businesses, generating net proceeds of $156 million, which contributed to a gain of $15 million recorded in the fourth quarter of 2023.

Looking ahead, PVH Corp. anticipates low single-digit revenue growth for the fourth quarter of 2025 compared to the same period in 2024, with a positive impact from foreign currency translation. However, the company expects a decline in revenue when excluding this impact. The company also faces challenges from macroeconomic pressures, including inflation and tariffs, which could affect consumer demand and overall financial performance. As of November 2, 2025, PVH Corp. had cash and cash equivalents of $158 million, a significant decrease from $748 million at the beginning of the fiscal year, primarily due to share repurchase activities and debt repayments.