Sales Performance - G-III Apparel Group's net sales from Calvin Klein and Tommy Hilfiger licensed products decreased by $188.4 million in fiscal 2025, offset by a $254.4 million increase in net sales from DKNY, Donna Karan, and Karl Lagerfeld products [98]. - Approximately 34.0% of G-III's net sales in fiscal 2025 were derived from Calvin Klein and Tommy Hilfiger brands, down from 41.0% in fiscal 2024 [96]. - Net sales for the three months ended April 30, 2025 decreased to $583.6 million from $609.7 million in the same period last year, representing a decline of approximately 4.5% [111]. - Net sales of the wholesale operations segment decreased to $562.6 million, driven by a decrease of $58.1 million in Calvin Klein and Tommy Hilfiger licensed products [112]. Cost and Profitability - Gross profit was $246.5 million, or 42.2% of net sales, compared to $258.9 million, or 42.5% of net sales, in the same period last year [116]. - Selling, general and administrative expenses decreased to $231.5 million from $236.6 million, primarily due to lower advertising and compensation expenses [117]. - The effective tax rate increased to 32.4% from 29.3% in the prior year, attributed to permanent tax adjustments and discrete items [121][122]. Financial Position - Cash and cash equivalents as of April 30, 2025 were $257.8 million, with availability under the revolving credit facility of approximately $480 million [124]. - The company redeemed the entire $400 million principal amount of Senior Secured Notes in August 2024, resulting in a decrease in interest charges [120][125]. - The Third ABL Credit Agreement provides for borrowings of up to $700 million, extending the maturity date to June 2029 [126]. - As of April 30, 2025, the average interest rate paid under the Third ABL Credit Agreement was 8.0% per annum [128]. - The Company had no borrowings outstanding under the Third ABL Credit Agreement as of April 30, 2025 [132]. - The Company incurred new debt issuance costs totaling $3.8 million related to the Third ABL Credit Agreement [133]. - The Company had an aggregate outstanding balance of €4.9 million ($5.3 million) under unsecured loans as of April 30, 2025 [134]. - The Company had an aggregate of €7.4 million ($8.0 million) drawn under various overdraft facilities as of April 30, 2025 [135]. Cash Flow - Cash generated from operating activities during the three months ended April 30, 2025, was $93.8 million, primarily due to a net income of $7.8 million [142]. - The Company used $8.8 million of cash in investing activities during the three months ended April 30, 2025 [144]. - Net cash used by financing activities was $12.6 million during the three months ended April 30, 2025, primarily due to share repurchases [145]. Strategic Initiatives - The company is investing in digital marketing and logistics to expand its digital footprint, responding to the increasing trend of online apparel sales [92]. - G-III's strategic acquisitions, including the full ownership of Karl Lagerfeld, aim to diversify its business and expand distribution channels [95]. - The company is exploring new licensing opportunities and acquisitions to mitigate risks associated with the expiration of existing licenses for Calvin Klein and Tommy Hilfiger [97]. - The relaunch of the Donna Karan brand began in Spring 2024, with expectations for future growth through new product lines and marketing initiatives [99]. Market Trends and Challenges - In fiscal 2025, 76% of G-III's products were sourced from China, Vietnam, and Indonesia, with significant tariff implications affecting costs and supply chain [87]. - The U.S. imposed a minimum 10% tariff on most foreign imports, with an additional 145% tariff on imports from China, impacting G-III's sourcing strategy [87]. - The Company anticipates challenges in shipping goods from China due to limited capacity and ongoing geopolitical tensions affecting global supply chains [107][108]. - Retail industry trends include a shift towards digital sales and exclusive product offerings, prompting G-III to adapt its strategies accordingly [91].

Financial Data and Key Metrics Changes - Non-GAAP earnings per diluted share increased to $0.19 from $0.12 year-over-year, exceeding guidance [13][37] - Net sales for the quarter were $584 million, down from $610 million in the same period last year, aligning with expectations [35] - Gross margin percentage was 42.2%, slightly down from 42.5% in the previous year [35][36] - Non-GAAP net income for the first quarter was $8.4 million compared to $5.8 million in the previous year [37] - Ending cash and availability was approximately $740 million, indicating a strong financial position [13][38] Business Line Data and Key Metrics Changes - Wholesale segment net sales decreased to $563 million from $598 million year-over-year [35] - Retail segment net sales increased to $36 million from $31 million in the previous year [35] - Key owned brands, including DKNY, Karl Lagerfeld, and Donna Karan, experienced double-digit growth, offsetting losses from exited businesses [5][14] Market Data and Key Metrics Changes - International markets are seen as significant growth opportunities, particularly in Europe [14][22] - The brand Donna Karan saw nearly 50% sales growth, with strong performance in dresses and suit separates [15][16] - DKNY and Karl Lagerfeld also reported strong sales growth, particularly in North America and Europe [20][22] Company Strategy and Development Direction - The company is focused on driving growth through its owned brands, which are expected to be sustainable long-term profit drivers [13][14] - Strategic initiatives include sourcing diversification, vendor negotiations, and selective price increases to mitigate tariff impacts [7][39] - The company is also enhancing its omni-channel capabilities and optimizing its global store footprint [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the consumer environment despite macroeconomic uncertainties [6][33] - The potential unmitigated tariff impact for fiscal 2026 is estimated at approximately $135 million, with ongoing efforts to mitigate this through various strategies [7][39] - The company remains committed to investing in key owned brands and growth initiatives despite challenges [12][33] Other Important Information - The company successfully renegotiated favorable lease terms for corporate offices and is streamlining its warehouse network [11] - The planned relaunch of the Sonya Riquel brand was postponed due to uncertainties in the operating environment [12][54] Q&A Session Summary Question: Pricing Power and Areas for Price Increases - Management indicated strong cooperation from retailers in adjusting pricing, focusing on areas where consumers will accept price increases [45][46] Question: Impact of Sonya Riquel Postponement on Guidance - The decision to postpone the Sonya Riquel launch was made to avoid losses, but strength in other brands allows the company to maintain its sales guidance [53][54][75] Question: Inventory Levels and Supply Chain Challenges - Inventory levels are expected to align with sales growth, with management actively managing inventory purchases in light of supply chain disruptions [78][80] Question: Promotions and Consumer Demand - Management does not anticipate significant pressure on promotions, citing strong demand for their products and effective management of inventory levels [84][85]

Financial Data and Key Metrics Changes - Non-GAAP earnings per diluted share increased to $0.19 from $0.12 year-over-year, exceeding guidance [11] - Net sales for the quarter were $584 million, down from $610 million in the same period last year, aligning with expectations [32] - Gross margin percentage was 42.2%, slightly down from 42.5% in the previous year [32] - The company ended the quarter with a net cash position of approximately $239 million, compared to $82 million in the prior year [34] Business Line Data and Key Metrics Changes - The wholesale segment's net sales decreased to $563 million from $598 million year-over-year [32] - The retail segment's net sales increased to $36 million from $31 million in the previous year [32] - Key owned brands, including DKNY, Karl Lagerfeld, and Donna Karan, experienced double-digit growth, offsetting losses from exited businesses [4][12] Market Data and Key Metrics Changes - International markets are identified as significant growth opportunities, particularly in Europe [12] - Donna Karan saw nearly 50% sales growth, with strong performance in dresses and suit separates [14] - DKNY and Karl Lagerfeld also reported double-digit growth, with DKNY gaining share across multiple categories [17][19] Company Strategy and Development Direction - The company is focused on driving growth through its owned brands, which are seen as sustainable profit drivers [11] - Strategic initiatives include sourcing diversification, vendor negotiations, and selective price increases to mitigate tariff impacts [6][36] - The company is optimizing its global store footprint and enhancing its omni-channel capabilities [28] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the consumer environment and the health of the brands [5] - The company is actively working to mitigate the estimated $135 million tariff impact through various strategies [6][36] - Future growth is anticipated through the expansion of owned brands and strategic licenses, with a focus on long-term sustainability [22][28] Other Important Information - The company has successfully renegotiated lease terms for corporate offices and is streamlining its warehouse network [9] - The North American retail segment is expected to break even this year, enhancing operating income by $14 million [10] - The launch of the Sonya Riquel brand has been postponed due to market uncertainties [10] Q&A Session Summary Question: Pricing power and areas for price increases - Management indicated strong cooperation from retailers in adjusting pricing, particularly for newer brands like Donna Karan and Karl Lagerfeld [41][42] Question: Impact of Sonya Riquel postponement on guidance - The decision to postpone was made to avoid losses, and management remains confident in the overall strength of the portfolio [50][51] Question: Inventory levels and expectations for Q2 - Inventory levels are expected to align with sales growth, with a focus on managing supply chain challenges [74][75] Question: Promotions and consumer demand - Management does not anticipate significant pressure on promotions, citing strong demand for quality products [78][79]

G-III Apparel Group (GIII) came out with quarterly earnings of $0.19 per share, beating the Zacks Consensus Estimate of $0.12 per share. This compares to earnings of $0.12 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 58.33%. A quarter ago, it was expected that this clothing and accessories maker would post earnings of $0.97 per share when it actually produced earnings of $1.27, delivering a surprise of 30.93%.Over the last ...

Financial Performance - Net sales for the first quarter of fiscal 2026 decreased 4% to $583.6 million compared to $609.7 million in the prior year's quarter[5] - Net income for the first quarter was $7.8 million, or $0.17 per diluted share, compared to $5.8 million, or $0.12 per diluted share, in the prior year's quarter[5] - Non-GAAP net income per diluted share was $0.19 for the first quarter, up from $0.12 in the same period last year, excluding one-time severance expenses of $1.0 million[6] - Net income for the second quarter is projected to be between $1.0 million and $6.0 million, significantly lower than $24.2 million in the prior year's second quarter[15] - Forecasted net income for the three months ending July 31, 2025, is projected to be between $1,000,000 and $6,000,000, compared to actual net income of $24,212,000 for the same period in 2024[30] Guidance and Projections - The company reaffirmed its net sales guidance for fiscal 2026, expecting approximately $3.14 billion in net sales, down from $3.18 billion in fiscal 2025[13] - For the second quarter of fiscal 2026, net sales are expected to be approximately $570.0 million, down from $644.8 million in the prior year's second quarter[14] Debt and Expenses - Total debt decreased 96% to $18.7 million from $426.4 million last year, following the redemption of $400.0 million in senior secured notes[9] - The company anticipates an additional expense of approximately $135.0 million due to tariffs, primarily impacting the second half of the fiscal year[11] - The company incurred one-time warehouse-related severance expenses of $978,000 in the current quarter[28] Inventory and Financial Metrics - Inventories decreased 5% to $456.5 million compared to $479.7 million last year[7] - Adjusted EBITDA for the three months ended April 30, 2025, was $19,489,000, down from $22,299,000 in the prior year, reflecting a decrease of 12.2%[28] - The company reported a significant reduction in interest and financing charges, net, from $5,424,000 in the prior year to $461,000 in the current quarter[28] - Income tax expense increased to $3,718,000 for the three months ended April 30, 2025, compared to $2,305,000 in the same period last year, marking a rise of 61.5%[28] Non-GAAP Measures - The company emphasizes the importance of non-GAAP financial measures to provide a clearer picture of operational performance, excluding items not indicative of core business results[30] - Management believes that the non-GAAP measures are useful for investors to assess performance across historical periods and compare with competitors[30] Share Repurchases - Share repurchases totaled $19.7 million for 807,437 shares in the first quarter[10] Strategic Focus - The company is focused on strategic adjustments and operational efficiency to enhance profitability moving forward[28]

Core Viewpoint - G-III Apparel Group reported solid first-quarter results for fiscal 2026, with earnings exceeding guidance, driven by strong performance in key owned brands despite the exit from Calvin Klein jeans and sportswear [2][3]. Financial Performance - Net sales for the first quarter decreased by 4% to $583.6 million compared to $609.7 million in the prior year [3][9]. - Net income for the first quarter was $7.8 million, or $0.17 per diluted share, up from $5.8 million, or $0.12 per diluted share, in the prior year [3][9]. - Non-GAAP net income per diluted share was $0.19, compared to $0.12 in the same period last year, excluding one-time severance expenses [4][9]. Balance Sheet Highlights - Inventories decreased by 5% to $456.5 million compared to $479.7 million last year [5]. - Total debt significantly decreased by 96% to $18.7 million from $426.4 million, following the redemption of $400 million in senior secured notes [6]. Capital Allocation - The company repurchased 807,437 shares for $19.7 million during the first quarter [7][9]. Outlook - G-III reaffirmed its net sales guidance for fiscal 2026, expecting approximately $3.14 billion in net sales, down from $3.18 billion in fiscal 2025 [10]. - The company anticipates net sales for the second quarter to be around $570 million, impacted by supply chain challenges [11]. - Net income for the second quarter is projected to be between $1.0 million and $6.0 million, a decrease from $24.2 million in the prior year [12].

G-III Apparel Group, Ltd. GIII will release its first-quarter financial results before the opening bell on Friday, June 6.Analysts expect the New York-based company to report quarterly earnings at 13 cents per share, up from 12 cents per share in the year-ago period. G-III Apparel projects quarterly revenue of $580.37 million, compared to $609.75 million a year earlier, according to data from Benzinga Pro.On March 13, the company reported fourth-quarter sales growth of 9.8% year-on-year to $839.535 million, ...

Core Insights - ReGen III Corp. has opted to pay a semi-annual interest payment of $164,850 on its Series 2023-11.PP55CD-A Debentures through the issuance of approximately 855,598 common shares at a price of $0.19267 per share, pending approval from the TSX Venture Exchange [1] - The company has successfully sold a non-core asset, the Slocan Property, for gross proceeds of $295,000, which was acquired during a business combination in 2010 [2] - ReGen III has received a granted patent for its technology in Brazil, marking its first patent in the country, which has a significant re-refining rate and bans the burning of used motor oil [3] - The European Patent Office granted ReGen III a patent on April 2, 2025, and the company is moving towards the national validation stage in member states [4] - The company currently holds 22 patents issued or granted for its ReGen™ process and has 11 patents pending globally [5] - ReGen III's ReGen™ technology aims to upcycle used motor oil into high-value Group III base oils, with an expected reduction of CO2e emissions by 82% compared to virgin crude-derived base oils [6] - The company has completed FEL2 and value engineering for its 5,600 bpd UMO recycling facility in Texas, collaborating with several engineering and construction firms [7] - ReGen III aims to become the world's largest producer of sustainable re-refined Group III base oil, operating in an underserved segment of the base oils market [7]

NEW YORK, May 30, 2025 (GLOBE NEWSWIRE) -- G-III Apparel Group, Ltd. (NASDAQ: GIII) a global fashion leader with expertise in design, sourcing, and marketing, today announced that it will release its first quarter fiscal 2026 earnings before the market opens on Friday, June 6, 2025. Management will host a conference call to discuss results at 8:30 a.m. ET that same day, followed by a question and answer session for the investment community. To participate via telephone, please register in advance at this li ...

G-III Apparel Group, Ltd. (GIII) is currently trading at a low price-to-earnings (P/E) multiple, which is below the average of the Zacks Textile - Apparel industry and Consumer Discretionary sector. With a forward 12-month P/E of 6.47, GIII is priced lower than the industry average of 12.40 and the sector average of 19.36.This makes the G-III stock undervalued relative to its industry peers, presenting an attractive opportunity for investors seeking exposure to the sector. The company’s Value Score of A und ...