G-III Apparel Group, Ltd. Announces First Quarter Fiscal 2026 Earnings Results

G-III Apparel Group, Ltd. (GIII) today announced its financial results for the most recent quarter, revealing a revenue of $583.6 million, which surpassed analysts’ expectations by approximately $3.25 million. The company reported earnings per share that met estimates at $0.13. This performance highlights G-III’s continued resilience in the competitive apparel market, showcasing its ability to drive revenue growth despite economic challenges.

Key Highlights:

• Net income per diluted share increased to $0.17 for Q1 FY2026, up from $0.12 in the previous year.
• Non-GAAP net income per diluted share was $0.19, compared to $0.12 last year, both exceeding guidance.
• Net sales for Q1 FY2026 were $583.6 million, down from $609.7 million in the prior year.
• The company repurchased $19.7 million worth of shares, totaling 807,437 shares in the first quarter.
• G-III reaffirmed its net sales guidance for fiscal 2026 despite withdrawing net income and adjusted EBITDA guidance due to tariff uncertainties.

G-III Apparel Group, Ltd. reported its first-quarter results for fiscal 2026, highlighting a solid performance with net income per diluted share rising to $0.17, surpassing last year’s $0.12. Morris Goldfarb, Chairman and CEO, noted that the company’s growth was driven by double-digit increases in key owned brands such as DKNY, Karl Lagerfeld, and Donna Karan, which helped offset the exit from the Calvin Klein jeans and sportswear businesses. He emphasized the strong demand for their brand portfolio and the team’s effective execution.

Looking ahead, G-III reaffirmed its net sales guidance for fiscal 2026, projecting approximately $3.14 billion in net sales, slightly down from $3.18 billion in fiscal 2025. However, the company has withdrawn its net income and adjusted EBITDA guidance due to uncertainties surrounding tariffs, which could add approximately $135 million in costs. Goldfarb expressed confidence in the management team’s ability to navigate these challenges and leverage them as opportunities to enhance their competitive position and market share.

G-III Apparel Group, Ltd. (GIII) has experienced a rollercoaster of price changes recently, with a notable decline of 2.74% over the past week, despite a more optimistic 8.72% increase in the last month. This volatility reflects the company’s struggle to maintain momentum, as evidenced by a year-over-year drop of 11.60%. On the fundamental side, GIII boasts a low price-to-earnings ratio of 6.60, suggesting that the stock may be undervalued relative to its earnings potential. However, the company’s revenue has seen a slight decline over the past two years, which raises concerns about its growth trajectory. On a positive note, GIII has demonstrated a solid return on invested capital at 11.03%, indicating effective management of its resources. The net profit margin of 5.32% also highlights the company’s ability to convert revenue into profit, albeit at a modest level. As investors weigh these metrics against the stock’s recent performance, the outlook for GIII remains a mixed bag, balancing potential value against ongoing challenges in revenue growth.

G-III Apparel Group, Ltd. designs, sources, and markets women’s and men’s apparel in the United States and internationally. The company operates through two segments, Wholesale Operations and Retail Operations. Its products include outerwear, dresses, sportswear, swimwear, women’s suits, and women’s performance wear; and women’s handbags, footwear, small leather goods, cold weather accessories, and luggage. The company markets apparel and other products under the proprietary brand names, including DKNY, Donna Karan, Vilebrequin, Eliza J, Jessica Howard, Andrew Marc, Marc New York, Sonia Rykiel, Black Rivet, G-III Sports by Carl Banks, and G-III for Her; and licensed brands, such as Calvin Klein, Tommy Hilfiger, Karl Lagerfeld Paris, Levi’s, Guess?, Kenneth Cole, Cole Haan, Vince Camuto, and Dockers. It has licenses with the National Football League, Major League Baseball, National Basketball Association, Major League Baseball, and National Hockey League, as well as approximately 150 U.S. colleges and universities. The company offers its products to department, specialty, and mass merchant retail stores. As of January 31, 2022, it operated 96 Vilebrequin retail stores; 60 DKNY and Karl Lagerfeld Paris stores; and 26 DKNY stores. The company also sells its products online. G-III Apparel Group, Ltd. was founded in 1956 and is headquartered in New York, New York.