Shares of PVH Corp (NYSE: PVH) surged 11.94% in after-hours trading on Monday following the company's release of better-than-expected fourth-quarter results and upbeat guidance for 2025.

The parent company of Calvin Klein and Tommy Hilfiger reported fourth-quarter earnings per share of $3.27 on revenue of $2.37 billion, surpassing analyst expectations of $3.21 per share on revenue of $2.33 billion. Despite a 5% year-over-year decline in revenue, PVH's performance exceeded its own guidance range.

Investors were particularly encouraged by PVH's strong outlook for fiscal 2025. The company projected full-year earnings per share between $12.40 and $12.75, significantly higher than the FactSet analyst consensus of $11.43 per share. PVH also anticipates revenue to be flat to slightly up compared to 2024, surpassing market expectations of $8.6 billion.

Adding to the positive sentiment, PVH announced plans to repurchase $500 million worth of shares in 2025 through accelerated share repurchase agreements. This move demonstrates the company's confidence in its future prospects and commitment to returning value to shareholders.

Stefan Larsson, Chief Executive Officer, commented on the results: "Driven by the strength of our two iconic global brands, Calvin Klein and Tommy Hilfiger, and our disciplined execution of our PVH+ Plan, we finished the year strong and are well-positioned for 2025."

The strong performance and optimistic outlook suggest that PVH is successfully navigating challenges in the retail sector and capitalizing on the strength of its global brands. Investors appear to be responding positively to the company's strategic initiatives and financial discipline.