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PVH Corp appoints new CEO for European operations

Published 09/05/2024, 09:05 AM
PVH
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NEW YORK - PVH Corp. (NYSE:PVH), the parent company of iconic fashion brands Calvin Klein and Tommy Hilfiger, has announced the appointment of Fredrik Olsson as the new Chief Executive Officer for its European, Middle Eastern, and African operations (EMEA). Olsson is set to assume his new role in the fourth quarter of 2024.

With a notable career in the fashion retail sector, Olsson most recently served as the CEO of Max Fashion in Dubai, where he led the company to achieve significant revenue and margin growth. His extensive experience includes over two decades at the H&M Group, where he played a key role in expanding the business to a global scale, overseeing an increase in annual revenue to $22 billion and an expansion to over 4,500 stores worldwide.

Stefan Larsson, CEO of PVH Corp., praised Olsson’s track record of driving consistent, profitable growth across various markets and his leadership qualities that focus on people and partnerships. Larsson expressed confidence that Olsson's systematic approach to growth will be instrumental as PVH seeks to elevate Calvin Klein and Tommy Hilfiger to even higher levels of desirability and performance in the lifestyle brand sector.

Olsson expressed his enthusiasm for joining PVH at a crucial time when the company is advancing its long-term growth strategy, the PVH+ Plan. He is set to relocate to Amsterdam with his family and will work from PVH’s EMEA regional headquarters.

David Savman, the interim CEO of PVH Europe, received acknowledgment for his leadership, and he will continue to lead the EMEA operations until Olsson's start date. A handover period is planned to ensure a smooth transition.

This strategic leadership change is part of PVH's ongoing efforts to strengthen its position in the global fashion industry and build on the market-leading strength of its brands. The information is based on a press release statement from PVH Corp.

In other recent news, PVH Corp., the parent company of Calvin Klein and Tommy Hilfiger, has been the subject of recent analyst adjustments and financial developments. TD Cowen revised its outlook on PVH shares, reducing the price target from $149.00 to $135.00, while still maintaining a Buy rating. This change comes amid investor concerns about the company's financial targets, particularly an expected year-over-year decline in EBIT dollars in the second half of 2024.

The company's Q2 2024 earnings report revealed stable revenue and exceeded profitability expectations, despite a minor decline in direct-to-consumer and wholesale revenues. PVH Corp also raised its non-GAAP EPS outlook, citing a tax benefit. The company is in the process of appointing a new CEO for its European division and formulating strategies to navigate the challenging consumer market in China.

PVH Corp's wholesale business saw a 1% year-over-year increase in the second quarter, indicating resilience in the company's operations. The company is expected to launch a complete assortment across its Calvin Klein and Tommy Hilfiger brands in the fall of 2024. These recent developments underscore PVH Corp's commitment to growth and operational efficiency.

InvestingPro Insights

As PVH Corp. gears up for a new chapter in its EMEA operations with Fredrik Olsson at the helm, the financial health and strategic moves of the company are of particular interest to investors and industry observers alike. Here are some recent metrics and insights from InvestingPro that shed light on PVH's current market position and future prospects.

InvestingPro Data highlights that PVH Corp. has a market capitalization of $5.4 billion and is trading at a low earnings multiple, with a P/E Ratio (Adjusted) for the last twelve months as of Q2 2025 at 7.24. This valuation suggests that the stock could be undervalued, especially in comparison to industry peers. The company's Gross Profit Margin for the same period stands at a robust 59.52%, indicating strong operational efficiency and the ability to maintain profitability.

An InvestingPro Tip points to management's aggressive share buybacks, a move that often signals confidence in the company's future and a commitment to delivering value to shareholders. Additionally, the company has been recognized for its high shareholder yield, which combines dividend payments and share repurchases to measure the total returns to shareholders. Notably, PVH has maintained dividend payments for 54 consecutive years, showcasing a consistent return to its investors.

For those considering investing in PVH Corp., it's worth noting that the stock has experienced significant volatility, with a 3-month price total return showing a decline of 21.9%. Despite this recent downturn, analysts on InvestingPro predict the company will be profitable this year, and indeed, PVH has been profitable over the last twelve months.

For more in-depth analysis and additional InvestingPro Tips related to PVH Corp., investors can visit https://www.investing.com/pro/PVH, where 11 tips are listed to provide a comprehensive understanding of the company's financial health and market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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