G-III Apparel, the parent company of well-known brands such as Donna Karan, Sonia Rykiel, and Karl Lagerfeld, has surpassed expectations with its second-quarter sales. The company reported a 9% increase in revenues, reaching $659.8 million. However, net income for the same period experienced a decline, dropping to $16.4 million compared to $36.3 million in the previous year. Despite this decrease, both sales and earnings surpassed the company’s earlier projections.
Morris Goldfarb, the chairman and CEO of G-III Apparel, expressed satisfaction with the company’s performance during the second quarter. He stated, “We once again exceeded our predictions for both revenue and profit, making progress on our strategic objectives.” Sales for the first half of the fiscal year totaled $1.27 billion, slightly lower than the $1.29 billion recorded in the same period last year.
In addition to the earnings update, G-III Apparel announced a new licensing partnership with HanesBrands. This agreement will see G-III producing outerwear for the Champion and C9 Champion brands in North America. Goldfarb emphasized the significance of this collaboration, stating, “Champion is a well-recognized iconic American brand. Our collections will feature high-quality pieces that align with and enhance Champion’s message of self-expression. This licensing agreement plays to G-III’s strengths in outerwear and seamlessly integrates into our well-established outerwear divisions.”
Moving forward, G-III Apparel has raised its guidance for the fiscal year ending on January 31, 2024. The company now anticipates net sales of approximately $3.3 billion and net income ranging from $145 million to $150 million. Goldfarb expressed confidence in the company’s future, stating, “At G-III, we prioritize agility in everything we do, and I am confident that we will continue to evolve despite any external factors. We will persist in driving our business forward and expect to deliver strong results for our shareholders.”
Useful links:
G-III Apparel Official Website
HanesBrands Official Website
