New York-based apparel manufacturer Phillips-Van Heusen (NYSE: PVH) looks sharp these days. In its first quarter, the company more than doubled revenues year over year, beat Wall Street estimates, and raised its earnings forecast for the rest of the year.

A look at the numbers
Total revenue swelled to $1.37 billion, up 121% from last year, much of that figure thanks to last year's acquisition of the Tommy Hilfiger brand. After posting a loss at the start of the last fiscal year, the company recorded a net profit of $57.7 million this quarter on strong performances from its Hilfiger and Calvin Klein businesses.

Revenue from Calvin Klein rose 17% year over year, with its retail comparable-store sales rising by 14%. Revenue from Tommy Hilfiger was $715.4 million this quarter, primarily thanks to a strong performance in North America and Europe.

These two businesses are expected to grow even further in the coming months and drive Phillips-Van Heusen's growth forward. Tommy Hilfiger is expected to clock sales of more than $2.9 billion this year and Calvin Klein to grow revenue by around 9%-10%. Last year, Calvin Klein brought in $933.5 million on the top end, about 20% of total revenue.

A significant challenge for clothiers is that cotton prices have hit an all-time high, threatening to eat into apparel companies' bottom lines. Rival Polo Ralph Lauren (NYSE: RL) has already felt the pinch and reported an earnings drop in its most recent quarter. Similarly, Gap (NYSE: GPS), whose profits declined this quarter, announced that it expected input costs to increase by 20% in the second half of the year. Phillips-Van Heusen raised prices by 8%-10% in April, and so far it has received little pushback.

The Foolish bottom line
Phillips-Van Heusen expects its annual revenues to grow by almost 23% and expects EPS to be in a range of $4.08 to $4.28, up from $0.80 last year.

Although high cotton prices may end up affecting the bottom line, the company's increased global footprint, aided by the Hilfiger acquisition, makes it well placed to cope with adversity. Phillips-Van Heusen has had a strong start to its fiscal year, and investors would do well to keep an eye on this company by adding it to their Foolish Watchlist.