PVH Corp. appoints new Executive VP and Controller

PVH Corp. (NYSE:PVH), a leader in the apparel industry with a market capitalization of $3.77 billion and impressive gross profit margins of 60%, announced today a change in its executive leadership. According to InvestingPro analysis, the company maintains strong financial health despite its stock currently trading near 52-week lows. James Holmes, the Executive Vice President and Controller, will be leaving his role on April 30, 2025, to pursue other opportunities. He will, however, stay with the company until October 1, 2025, to aid in the transition of his responsibilities.

The company has clarified that Holmes’ departure is not due to any disagreements on issues such as accounting principles, financial statement disclosure, or internal controls with the company’s independent auditors or management team.

Erik Graf, 48, will succeed Holmes as Executive Vice President, Corporate Controller starting May 1, 2025. Graf, who has been with PVH Corp. since 2010, has held various significant positions within the finance department. His most recent roles include Senior Vice President, External Reporting and Accounting since 2022, and before that, Senior Vice President, Accounting starting in 2015.

Graf’s compensation package as the new EVP and Controller includes an annual base salary of $450,000. He will also be eligible for the company’s Performance Incentive Bonus Plan, with a target annual cash bonus of 50% of his base salary. Additionally, Graf will participate in the company’s Stock Incentive Plan, with an expected annual long-term equity award valued at approximately $300,000. This appointment comes at a time when PVH trades at an attractive P/E ratio of 5.39, suggesting potential undervaluation according to InvestingPro’s Fair Value analysis.

The company’s filing indicated that there are no arrangements or understandings between Graf and any other persons related to his appointment. Graf has no familial relationships with any of the company’s directors or executive officers, nor are there any transactions involving Graf that would require disclosure under SEC regulations.

This leadership change comes as PVH Corp. continues to navigate the dynamic fashion industry landscape. The information reported is based on a recent SEC filing by the company. For deeper insights into PVH’s financial health, valuation metrics, and 12 additional exclusive ProTips, investors can access the comprehensive Pro Research Report available on InvestingPro, part of their coverage of over 1,400 US equities.

In other recent news, PVH Corp. has been added to China’s List of Unreliable Entities by the Ministry of Commerce, which could significantly impact its operations in China. This follows a disclosure in the company’s quarterly report about an ongoing investigation under the Provisions on the List of Unreliable Entities. The specific punitive measures from China remain undisclosed, but potential consequences include challenges with inventory, trade receivables, and possible impairment charges. Additionally, PVH Corp is under scrutiny for alleged inappropriate activities related to Xinjiang, with further talks planned as part of the investigation. The preliminary findings have raised concerns among investors about the company’s future in the Chinese market.

Separately, PVH Corp. has made amendments to its bylaws and adjusted its fiscal year-end to February 2, as part of a routine review of corporate governance practices. These changes, effective immediately, include modifications to shareholder director nominations and business proposals, and updates to proxy access provisions. The company has also designated Delaware state courts as the exclusive forum for certain legal claims, unless consented otherwise. The amendments aim to streamline procedures and align with the Universal Proxy Rules. These developments highlight PVH Corp.’s efforts to maintain robust corporate governance standards amid regulatory changes.

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