PVH Says Majority Of Chinese Stores Closed Due To Coronavirus Outbreak

The majority of Calvin Klein and Tommy Hilfiger stores in China are temporarily closed, PVH Corp PVH announced Wednesday, adding that it is working with authorities in China to closely monitor the COVID-19 outbreak.

The apparel company updated its earnings guidance due to the outbreak of the virus, a member of the coronavirus family that's a close cousin of the SARS and MERS viruses.

Greater China is expected to account for 7% of PVH's 2019 revenue and the Asia Pacific region is expected to account for 16% of the company's 2019 revenue.

PVH reaffirmed non-GAAP fourth-quarter adjusted EPS guidance of at least $1.79 and fiscal year 2019 adjusted EPS of at least $9.45.

The company said it believes it would have exceeded its non-GAAP earnings guidance had the coronavirus outbreak not occurred during the final two weeks of PVH's fiscal year.

"We are closely monitoring the situation in China. Our priority is the well-being of our associates and business partners, their families and local communities, and our hearts are with those that have been impacted by the coronavirus,” CEO Emanuel Chirico said in a statement. 

“I want to sincerely thank our dedicated associates in Asia who are going above and beyond, with many working remotely from home, to drive our business forward."

The stock was trading 4.1% higher at $89.60 at the time of publication Wednesday. The stock has a 52-week high of $134.24 and a 52-week low of $67.41.

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