Leading fashion designer and manufacturer Tommy Hilfiger Corp on Wednesday reported a fall in third quarter earnings in the wake of a difficult holiday season, and forecast flat revenue and operating earnings for fiscal 2003.

The Hong Kong-based apparel designer and retailer said income for the three months ended December 30 2001, dropped to $37 million, or 41 cents per diluted share, from $42.7m, or 47 cents per share, in the year-ago period.