G-III Apparel Group, Ltd. Reports Fourth Quarter and Full-Year Fiscal 2025 Results; Provides Fiscal 2026 Outlook
G-III Apparel Group reported strong financial results for fiscal 2025, with net sales reaching $3.18 billion, up 2.7% from $3.10 billion last year. The company achieved record earnings with GAAP net income per diluted share of $4.20 and non-GAAP earnings of $4.42 per diluted share.
Key highlights include an 8% reduction in inventories, significant debt reduction of 99% to $6.2 million, and cash availability exceeding $775 million. Fourth quarter performance showed a 9.8% increase in net sales to $839.5 million.
For fiscal 2026, G-III projects net sales of approximately $3.14 billion and expects diluted earnings per share between $4.15 and $4.25. The company's owned brands DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin are anticipated to continue delivering double-digit sales increases, helping offset reduced sales from Calvin Klein and Tommy Hilfiger licenses transition.
G-III Apparel Group ha riportato risultati finanziari solidi per l'anno fiscale 2025, con vendite nette che hanno raggiunto 3,18 miliardi di dollari, in aumento del 2,7% rispetto ai 3,10 miliardi dell'anno precedente. L'azienda ha raggiunto guadagni record con un reddito netto GAAP per azione diluita di 4,20 dollari e guadagni non GAAP di 4,42 dollari per azione diluita.
I punti salienti includono una riduzione dell'8% delle scorte, una significativa riduzione del debito dell'99% a 6,2 milioni di dollari e disponibilità di liquidità superiore a 775 milioni di dollari. Le performance del quarto trimestre hanno mostrato un aumento del 9,8% delle vendite nette, raggiungendo 839,5 milioni di dollari.
Per l'anno fiscale 2026, G-III prevede vendite nette di circa 3,14 miliardi di dollari e si aspetta utili per azione diluita tra 4,15 e 4,25 dollari. I marchi di proprietà dell'azienda, DKNY, Donna Karan, Karl Lagerfeld e Vilebrequin, sono previsti continuare a registrare aumenti delle vendite a due cifre, contribuendo a compensare la riduzione delle vendite dalla transizione delle licenze di Calvin Klein e Tommy Hilfiger.
G-III Apparel Group reportó resultados financieros sólidos para el año fiscal 2025, con ventas netas que alcanzaron 3.18 mil millones de dólares, un aumento del 2.7% en comparación con los 3.10 mil millones del año anterior. La compañía logró ganancias récord con un ingreso neto GAAP por acción diluida de 4.20 dólares y ganancias no GAAP de 4.42 dólares por acción diluida.
Los aspectos más destacados incluyen una reducción del 8% en inventarios, una reducción significativa de la deuda del 99% a 6.2 millones de dólares, y una disponibilidad de efectivo que supera los 775 millones de dólares. El rendimiento del cuarto trimestre mostró un aumento del 9.8% en ventas netas, alcanzando 839.5 millones de dólares.
Para el año fiscal 2026, G-III proyecta ventas netas de aproximadamente 3.14 mil millones de dólares y espera ganancias por acción diluida entre 4.15 y 4.25 dólares. Se anticipa que las marcas propias de la compañía, DKNY, Donna Karan, Karl Lagerfeld y Vilebrequin, continúen generando aumentos en las ventas de dos dígitos, ayudando a compensar la reducción de ventas de la transición de licencias de Calvin Klein y Tommy Hilfiger.
G-III Apparel Group는 2025 회계연도에 강력한 재무 실적을 보고했으며, 순매출은 31.8억 달러에 달해 지난해 31억 달러에서 2.7% 증가했습니다. 회사는 희석 주당 GAAP 순이익 4.20 달러와 비 GAAP 순이익 4.42 달러를 기록하며 사상 최대의 수익을 달성했습니다.
주요 하이라이트로는 재고 8% 감소, 99%의 상당한 부채 감소로 620만 달러에 달하고, 7억 7500만 달러 이상의 현금 가용성이 있습니다. 4분기 성과는 순매출이 9.8% 증가하여 8억 3950만 달러에 도달했습니다.
2026 회계연도에 대해 G-III는 순매출 약 31.4억 달러를 예상하며, 희석 주당 수익은 4.15에서 4.25 달러 사이가 될 것으로 예상합니다. 회사의 소유 브랜드인 DKNY, Donna Karan, Karl Lagerfeld 및 Vilebrequin은 두 자릿수의 매출 증가를 지속할 것으로 예상되며, Calvin Klein 및 Tommy Hilfiger 라이센스 전환으로 인한 매출 감소를 상쇄하는 데 도움이 될 것입니다.
G-III Apparel Group a annoncé des résultats financiers solides pour l'exercice 2025, avec des ventes nettes atteignant 3,18 milliards de dollars, en hausse de 2,7 % par rapport à 3,10 milliards de dollars l'année précédente. L'entreprise a réalisé des bénéfices records avec un revenu net GAAP par action diluée de 4,20 dollars et des bénéfices non-GAAP de 4,42 dollars par action diluée.
Les points forts incluent une réduction de 8 % des stocks, une réduction significative de la dette de 99 % à 6,2 millions de dollars et une disponibilité de liquidités dépassant 775 millions de dollars. Les performances du quatrième trimestre ont montré une augmentation de 9,8 % des ventes nettes, atteignant 839,5 millions de dollars.
Pour l'exercice 2026, G-III prévoit des ventes nettes d'environ 3,14 milliards de dollars et s'attend à des bénéfices par action diluée compris entre 4,15 et 4,25 dollars. Les marques détenues par l'entreprise, DKNY, Donna Karan, Karl Lagerfeld et Vilebrequin, devraient continuer à enregistrer des augmentations de ventes à deux chiffres, contribuant à compenser la baisse des ventes des licences Calvin Klein et Tommy Hilfiger.
G-III Apparel Group berichtete von starken finanziellen Ergebnissen für das Geschäftsjahr 2025, mit Nettoumsätzen von 3,18 Milliarden Dollar, was einem Anstieg von 2,7% im Vergleich zu 3,10 Milliarden Dollar im Vorjahr entspricht. Das Unternehmen erzielte Rekordgewinne mit einem GAAP-Nettoeinkommen pro verwässerter Aktie von 4,20 Dollar und einem Non-GAAP-Gewinn von 4,42 Dollar pro verwässerter Aktie.
Zu den wichtigsten Highlights gehören eine Reduzierung der Bestände um 8%, eine signifikante Schuldenreduzierung um 99% auf 6,2 Millionen Dollar und eine verfügbare Liquidität von über 775 Millionen Dollar. Die Leistung im vierten Quartal zeigte einen Anstieg der Nettoumsätze um 9,8% auf 839,5 Millionen Dollar.
Für das Geschäftsjahr 2026 prognostiziert G-III Nettoumsätze von etwa 3,14 Milliarden Dollar und erwartet verwässerte Gewinne pro Aktie zwischen 4,15 und 4,25 Dollar. Die im Besitz des Unternehmens befindlichen Marken DKNY, Donna Karan, Karl Lagerfeld und Vilebrequin werden voraussichtlich weiterhin zweistellige Umsatzsteigerungen erzielen, um die gesunkenen Umsätze aus der Lizenzübertragung von Calvin Klein und Tommy Hilfiger auszugleichen.
- Record earnings with non-GAAP EPS of $4.42, up 9% year-over-year
- Q4 net sales increased 9.8% to $839.5 million
- Significant debt reduction of 99% to $6.2 million
- Strong cash position with over $775 million in cash and availability
- 8% reduction in inventories year-over-year
- Projected decline in fiscal 2026 net sales to $3.14 billion from $3.18 billion
- Expected decrease in fiscal 2026 non-GAAP EPS to $4.15-$4.25 from $4.42
- Reduction in sales expected from Calvin Klein and Tommy Hilfiger license transitions
- Projected decline in Q1 2026 net sales to $580 million from $609.7 million
Insights
G-III Apparel's Q4 results showcase impressive momentum, with quarterly sales jumping
The company's balance sheet transformation stands out as particularly significant. G-III slashed total debt by an extraordinary
However, the fiscal 2026 outlook reveals emerging headwinds. Revenue is projected to decline slightly to
The brand portfolio transition represents both challenge and opportunity. While the company expects double-digit growth from owned brands, these gains will be offset by the reduced sales from departing licensed businesses. This transition year will test management's ability to execute their strategic vision while maintaining profitability.
G-III's outperformance amid a challenging retail environment demonstrates the effectiveness of its diversified brand strategy. The
The company's inventory reduction of
The strategic pivot toward owned brand acceleration represents a fundamental transformation of G-III's business model. By focusing on DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin - where they control brand direction and capture full margin potential - the company is trading short-term revenue stability for long-term value creation. Owned brands typically generate higher margins and provide greater control over distribution and pricing.
The nearly complete debt elimination provides exceptional financial flexibility during this transition phase. With minimal interest burden and substantial cash reserves, G-III can invest aggressively in brand building, digital capabilities, and potential acquisitions to accelerate growth.
Though the guidance suggests a slight contraction for fiscal 2026, this reflects transition costs rather than fundamental weakness. The first quarter outlook (EPS of
- Delivers Record Full Year GAAP and Non-GAAP Earnings Per Diluted Share, Exceeding Guidance
- Net Sales of
$3.18 Billion for Fiscal 2025 Compared to$3.10 Billion Last Year - Net Income Per Diluted Share of
$4.20 for Fiscal 2025 Compared to$3.75 Last Year and Non-GAAP Net Income Per Diluted Share of$4.42 for Fiscal 2025 Compared to$4.04 Last Year - Inventories Decreased
8% Compared to Last Year - Ended the Year with Cash and Availability of Over
$775 Million
NEW YORK, March 13, 2025 (GLOBE NEWSWIRE) -- G-III Apparel Group, Ltd. (NasdaqGS: GIII) (“G-III” or the “Company”) today reported results for the fourth quarter and full fiscal year ended January 31, 2025.
Morris Goldfarb, G-III’s Chairman and Chief Executive Officer, said, “Fiscal 2025 was an incredible year, marked by robust top and bottom-line growth. Our world-class teams demonstrated strong execution of our strategic priorities, including bringing four new brands to market and driving outsized growth of our owned brands. We delivered record non-GAAP earnings per diluted share of
Mr. Goldfarb concluded, “We are confident in the power of our brands and business model. We believe the momentum of our key owned brands DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin will continue to deliver double-digit sales increases. This growth will help offset the reduced sales of our Calvin Klein and Tommy Hilfiger businesses as we transition out of those licenses. Our strong financial position, together with our proven track record, provides us with ample flexibility to invest in our future. G-III is undergoing an incredible transformation, and we are committed to delivering long-term growth and creating shareholder value.”
Results of Operations
Fourth Quarter Fiscal 2025 Financial Results
Net sales for the fourth quarter ended January 31, 2025 increased
Net income for the fourth quarter ended January 31, 2025 was
Non-GAAP net income per diluted share was
Fiscal 2025
Net sales for the fiscal year ended January 31, 2025 increased
Net income for the fiscal year ended January 31, 2025 was
Non-GAAP net income per diluted share was
Balance Sheet as of Fourth Quarter Fiscal 2025
Inventories decreased
Total debt decreased
Outlook
The Company today issues its outlook for the fiscal year ending January 31, 2026.
Fiscal 2026
Net sales are expected to be approximately
Net income is expected to be between
Non-GAAP net income for fiscal 2026 is expected to be between
Adjusted EBITDA for fiscal 2026 is expected to be between
Net interest expense is expected to be approximately
Tax rate for fiscal 2026 is estimated to be
First Quarter Fiscal 2026
Net sales for the first quarter of fiscal 2026 are expected to be approximately
Net income for the first quarter of fiscal 2026 is expected to be between
Non-GAAP Financial Measures
Reconciliations of GAAP net income to non-GAAP net income, GAAP net income per diluted share to non-GAAP net income per diluted share and GAAP net income to adjusted EBITDA are presented in tables accompanying the financial statements included in this release and provide useful information to evaluate the Company’s operational performance. A description of the amounts excluded on a non-GAAP basis are provided in conjunction with these tables. Non-GAAP net income, non-GAAP net income per diluted share and adjusted EBITDA should be evaluated in light of the Company’s financial statements prepared in accordance with GAAP.
About G-III Apparel Group, Ltd.
G-III Apparel Group, Ltd., a global leader in fashion with expertise in design, sourcing and marketing, owns and licenses a portfolio of over 30 preeminent brands. The Company is differentiated across unique brand propositions, product categories and consumer touch points. G-III owns ten iconic brands including, DKNY, Karl Lagerfeld, Donna Karan and Vilebrequin, and licenses over 20 brands including Calvin Klein, Tommy Hilfiger, Nautica, Halston, Converse, BCBG and National Sports leagues, among others.
Statements concerning G-III's business outlook or future economic performance, anticipated revenues, expenses or other financial items; product introductions and plans and objectives related thereto; and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters are "forward-looking statements" as that term is defined under the federal securities laws. Forward-looking statements are subject to risks, uncertainties and factors which include, but are not limited to, risks related to the reliance on licensed product, risks relating to G-III’s ability to increase revenues from sales of its other products, new acquired businesses or new license agreements as licenses for Calvin Klein and Tommy Hilfiger product expire on a staggered basis, reliance on foreign manufacturers, risks of doing business abroad, supply chain disruptions, risks related to acts of terrorism and the effects of war, the current economic and credit environment risks related to our indebtedness, the nature of the apparel industry, including changing customer demand and tastes, customer concentration, seasonality, risks of operating a retail business, risks related to G-III’s ability to reduce the losses incurred in its retail operations, customer acceptance of new products, the impact of competitive products and pricing, dependence on existing management, possible disruption from acquisitions, the impact on G-III’s business of the imposition of tariffs by the United States government and business and general economic conditions, including inflation and higher interest rates, as well as other risks detailed in G-III's filings with the Securities and Exchange Commission. G-III assumes no obligation to update the information in this release.
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES (Nasdaq: GIII) CONSOLIDATED STATEMENTS OF INCOME (In thousands, except per share amounts) | ||||||||||||||||
| Three Months Ended January 31, | Year Ended January 31, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| (Unaudited) | (Unaudited) | |||||||||||||||
| Net sales | $ | 839,535 | $ | 764,782 | $ | 3,180,796 | $ | 3,098,242 | ||||||||
| Cost of goods sold | 507,907 | 482,801 | 1,882,270 | 1,856,395 | ||||||||||||
| Gross profit | 331,628 | 281,981 | 1,298,526 | 1,241,847 | ||||||||||||
| Selling, general and administrative expenses | 244,921 | 220,747 | 969,812 | 924,223 | ||||||||||||
| Depreciation and amortization | 6,740 | 8,393 | 27,444 | 27,523 | ||||||||||||
| Asset impairments | 8,195 | 6,536 | 8,195 | 6,758 | ||||||||||||
| Operating profit | 71,772 | 46,305 | 293,075 | 283,343 | ||||||||||||
| Other loss | (2,141 | ) | (1,185 | ) | (4,374 | ) | (3,149 | ) | ||||||||
| Interest and financing charges, net | (2,184 | ) | (6,929 | ) | (18,842 | ) | (39,595 | ) | ||||||||
| Income before income taxes | 67,447 | 38,191 | 269,859 | 240,599 | ||||||||||||
| Income tax expense | 18,663 | 10,208 | 76,566 | 65,859 | ||||||||||||
| Net income | $ | 48,784 | $ | 27,983 | $ | 193,293 | $ | 174,740 | ||||||||
| Less: Loss attributable to noncontrolling interests | — | (871 | ) | (273 | ) | (1,428 | ) | |||||||||
| Net income attributable to G-III Apparel Group, Ltd. | $ | 48,784 | $ | 28,854 | $ | 193,566 | $ | 176,168 | ||||||||
| Net income attributable to G-III Apparel Group, Ltd. per common share: | ||||||||||||||||
| Basic | $ | 1.11 | $ | 0.63 | $ | 4.35 | $ | 3.84 | ||||||||
| Diluted | $ | 1.07 | $ | 0.61 | $ | 4.20 | $ | 3.75 | ||||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 43,886 | 45,727 | 44,450 | 45,859 | ||||||||||||
| Diluted | 45,703 | 47,021 | 46,116 | 47,000 | ||||||||||||
| Selected Balance Sheet Data (in thousands): | At January 31, | |||||
| 2025 | 2024 | |||||
| (Unaudited) | ||||||
| Cash and cash equivalents | $ | 181,440 | $ | 507,829 | ||
| Working capital | 824,864 | 1,166,690 | ||||
| Inventories | 478,086 | 520,426 | ||||
| Total assets | 2,483,234 | 2,681,164 | ||||
| Long-term debt | 6,159 | 417,833 | ||||
| Operating lease liabilities | 271,525 | 234,834 | ||||
| Total stockholders' equity | 1,679,481 | 1,550,260 | ||||
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES RECONCILIATION OF GAAP NET INCOME TO NON-GAAP NET INCOME (In thousands) | ||||||||||||||||
| Three Months Ended January 31, | Year Ended January 31, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| (Unaudited) | ||||||||||||||||
| GAAP net income attributable to G-III Apparel Group, Ltd. | $ | 48,784 | $ | 28,854 | $ | 193,566 | $ | 176,168 | ||||||||
| Excluded from non-GAAP: | ||||||||||||||||
| Asset impairments | 8,195 | 6,536 | 8,195 | 6,758 | ||||||||||||
| One-time warehouse related severance expenses | 1,349 | — | 1,908 | — | ||||||||||||
| Write-off of deferred financing costs | — | — | 1,598 | — | ||||||||||||
| Gain on forgiveness of liabilities | — | — | (600 | ) | — | |||||||||||
| Expenses related to Karl Lagerfeld acquisition | — | 598 | — | 6,115 | ||||||||||||
| Non-cash imputed interest | — | 213 | — | 3,798 | ||||||||||||
| One-time expenses primarily related to our DKNY business in China | — | 3,138 | — | 3,138 | ||||||||||||
| Change in fair value of earnout liability | — | (1,041 | ) | — | (1,041 | ) | ||||||||||
| Income tax impact of non-GAAP adjustments | (542 | ) | (2,524 | ) | (1,030 | ) | (5,137 | ) | ||||||||
| Non-GAAP net income attributable to G-III Apparel Group, Ltd., as defined | $ | 57,786 | $ | 35,774 | $ | 203,637 | $ | 189,799 | ||||||||
Non-GAAP net income is a “non-GAAP financial measure” that excludes (i) in both fiscal 2025 and 2024, asset impairments, (ii) in fiscal 2025, one-time severance expenses related to a closed warehouse, (iii) in fiscal 2025, the write-off of deferred financing costs related to the redemption of the Notes, (iv) in fiscal 2025, the gain on the forgiveness of certain liabilities related to the acquisition of the minority interest of our DKNY business in China that we did not already own, (v) in fiscal 2024, incentive compensation expenses related to the Karl Lagerfeld transaction, (vi) in fiscal 2024, non-cash imputed interest expense, (vii) in fiscal 2024, one-time expenses primarily related to our DKNY business in China and (viii) the gain recorded from the reduction of the earnout liability related to our acquisition of Sonia Rykiel in fiscal 2022. For fiscal 2025, the income tax impact of non-GAAP adjustments is calculated using an effective tax rate derived from our results of operations excluding certain non-GAAP adjustments. For fiscal 2024, the income tax impact of non-GAAP adjustments is calculated using the effective tax rate for the period. Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding items that are not indicative of our core business operating results. Management uses these non-GAAP financial measures to assess our performance on a comparative basis and believes that they are also useful to investors to enable them to assess our performance on a comparative basis across historical periods and facilitate comparisons of our operating results to those of our competitors. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES RECONCILIATION OF GAAP NET INCOME PER SHARE TO NON-GAAP NET INCOME PER SHARE | ||||||||||||||||
| Three Months Ended January 31, | Year Ended January 31, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| (Unaudited) | ||||||||||||||||
| GAAP diluted net income attributable to G-III Apparel Group, Ltd. per common share | $ | 1.07 | $ | 0.61 | $ | 4.20 | $ | 3.75 | ||||||||
| Excluded from non-GAAP: | ||||||||||||||||
| Asset impairments | 0.18 | 0.14 | 0.18 | 0.14 | ||||||||||||
| One-time warehouse related severance expenses | 0.03 | — | 0.04 | — | ||||||||||||
| Write-off of deferred financing costs | — | — | 0.03 | — | ||||||||||||
| Gain on forgiveness of liabilities | — | — | (0.01 | ) | — | |||||||||||
| Expenses related to Karl Lagerfeld acquisition | — | 0.01 | — | 0.13 | ||||||||||||
| Non-cash imputed interest | — | — | — | 0.08 | ||||||||||||
| One-time expenses primarily related to our DKNY business in China | — | 0.07 | — | 0.07 | ||||||||||||
| Change in fair value of earnout liability | — | (0.02 | ) | — | (0.02 | ) | ||||||||||
| Income tax impact of non-GAAP adjustments | (0.01 | ) | (0.05 | ) | (0.02 | ) | (0.11 | ) | ||||||||
| Non-GAAP diluted net income attributable to G-III Apparel Group, Ltd. per common share, as defined | $ | 1.27 | $ | 0.76 | $ | 4.42 | $ | 4.04 | ||||||||
Non-GAAP diluted net income per common share is a “non-GAAP financial measure” that excludes (i) in both fiscal 2025 and 2024, asset impairments, (ii) in fiscal 2025, one-time severance expenses related to a closed warehouse, (iii) in fiscal 2025, the write-off of deferred financing costs related to the redemption of the Notes, (iv) in fiscal 2025, the gain on the forgiveness of certain liabilities related to the acquisition of the minority interest of our DKNY business in China that we did not already own, (v) in fiscal 2024, incentive compensation expenses related to the Karl Lagerfeld transaction, (vi) in fiscal 2024, non-cash imputed interest expense, (vii) in fiscal 2024, one-time expenses primarily related to our DKNY business in China and (viii) the gain recorded from the reduction of the earnout liability related to our acquisition of Sonia Rykiel in fiscal 2022. For fiscal 2025, the income tax impact of non-GAAP adjustments is calculated using an effective tax rate derived from our results of operations excluding certain non-GAAP adjustments. For fiscal 2024, the income tax impact of non-GAAP adjustments is calculated using the effective tax rate for the period. Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding items that are not indicative of our core business operating results. Management uses these non-GAAP financial measures to assess our performance on a comparative basis and believes that they are also useful to investors to enable them to assess our performance on a comparative basis across historical periods and facilitate comparisons of our operating results to those of our competitors. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES RECONCILIATION OF FORECASTED AND ACTUAL NET INCOME TO FORECASTED AND ACTUAL ADJUSTED EBITDA (In thousands) | |||||||||||
| Forecasted Year Ended | Actual Year Ended | Actual Year Ended | |||||||||
| January 31, 2026 | January 31, 2025 | January 31, 2024 | |||||||||
| (Unaudited) | |||||||||||
| Net income attributable to G-III Apparel Group, Ltd. | $ | 192,000 - 197,000 | $ | 193,566 | $ | 176,168 | |||||
| Asset impairments | — | 8,195 | 6,758 | ||||||||
| One-time warehouse related severance expenses | — | 1,908 | — | ||||||||
| Gain on forgiveness of liabilities | — | (600 | ) | — | |||||||
| Expenses related to Karl Lagerfeld acquisition | — | — | 6,115 | ||||||||
| One-time expenses primarily related to our DKNY business in China | — | — | 3,138 | ||||||||
| Change in fair value of earnout liability | — | — | (1,041 | ) | |||||||
| Depreciation and amortization | 30,000 | 27,444 | 27,523 | ||||||||
| Interest and financing charges, net | 9,000 | 18,842 | 39,595 | ||||||||
| Income tax expense | 79,000 | 76,566 | 65,859 | ||||||||
| Adjusted EBITDA, as defined | $ | 310,000 - 315,000 | $ | 325,921 | $ | 324,115 | |||||
Adjusted EBITDA is a “non-GAAP financial measure” which represents earnings before depreciation and amortization, interest and financing charges, net and income tax expense and excludes in (i) in both fiscal 2025 and 2024, asset impairments, (ii) in fiscal 2025, one-time severance expenses related to a closed warehouse, (iii) in fiscal 2025, the gain on the forgiveness of certain liabilities related to the acquisition of the minority interest of our DKNY business in China that we did not already own, (iv) in fiscal 2024, incentive compensation expenses related to the Karl Lagerfeld transaction, (v) in fiscal 2024, one-time expenses primarily related to our DKNY business in China and (vi) the gain recorded from the reduction of the earnout liability related to our acquisition of Sonia Rykiel in fiscal 2022. Adjusted EBITDA is being presented as a supplemental disclosure because management believes that it is a common measure of operating performance in the apparel industry. Adjusted EBITDA should not be construed as an alternative to net income, as an indicator of the Company’s operating performance, or as an alternative to cash flows from operating activities as a measure of the Company’s liquidity, as determined in accordance with GAAP.
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES RECONCILIATION OF FORECASTED AND ACTUAL GAAP NET INCOME TO FORECASTED AND ACTUAL NON-GAAP NET INCOME (In thousands) | |||||||||||||
| Forecasted Three Months Ended | Actual Three Months Ended | Forecasted Year Ended | Actual Year Ended | ||||||||||
| April 30, 2025 | April 30, 2024 | January 31, 2026 | January 31, 2025 | ||||||||||
| (Unaudited) | |||||||||||||
| GAAP net income attributable to G-III Apparel Group, Ltd. | $ | 2,000 - 7,000 | $ | 5,802 | $ | 192,000 - 197,000 | $ | 193,566 | |||||
| Excluded from non-GAAP: | |||||||||||||
| Asset impairments | — | — | — | 8,195 | |||||||||
| One-time warehouse related severance expenses | — | — | — | 1,908 | |||||||||
| Write-off of deferred financing costs | — | — | — | 1,598 | |||||||||
| Gain on forgiveness of liabilities | — | — | — | (600 | ) | ||||||||
| Income tax impact of non-GAAP adjustments | — | — | — | (1,030 | ) | ||||||||
| Non-GAAP net income (loss) attributable to G-III Apparel Group, Ltd., as defined | $ | 2,000 - 7,000 | $ | 5,802 | $ | 192,000 - 197,000 | $ | 203,637 | |||||
Non-GAAP net income is a “non-GAAP financial measure” that excludes in fiscal 2025, (i) asset impairments, (ii) one-time severance expenses related to a closed warehouse, (iii) the write-off of deferred financing costs related to the redemption of the Notes and (iv) the gain on the forgiveness of certain liabilities related to the acquisition of the minority interest of our DKNY business in China that we did not already own. For fiscal 2025, the income tax impact of non-GAAP adjustments is calculated using an effective tax rate derived from our results of operations excluding certain non-GAAP adjustments. Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding items that are not indicative of our core business operating results. Management uses these non-GAAP financial measures to assess our performance on a comparative basis and believes that they are also useful to investors to enable them to assess our performance on a comparative basis across historical periods and facilitate comparisons of our operating results to those of our competitors. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
| G-III APPAREL GROUP, LTD. AND SUBSIDIARIES RECONCILIATION OF FORECASTED AND ACTUAL GAAP NET INCOME PER SHARE TO FORECASTED AND ACTUAL NON-GAAP NET INCOME PER SHARE | |||||||||||||
| Forecasted Three Months Ended | Actual Three Months Ended | Forecasted Year Ended | Actual Year Ended | ||||||||||
| April 30, 2025 | April 30, 2024 | January 31, 2026 | January 31, 2025 | ||||||||||
| (Unaudited) | |||||||||||||
| GAAP diluted net income attributable to G-III Apparel Group, Ltd. per common share | $ | 0.05 - 0.15 | $ | 0.12 | $ | 4.15 - 4.25 | $ | 4.20 | |||||
| Excluded from non-GAAP: | |||||||||||||
| Asset impairments | — | — | — | 0.18 | |||||||||
| One-time warehouse related severance expenses | — | — | — | 0.04 | |||||||||
| Write-off of deferred financing costs | — | — | — | 0.03 | |||||||||
| Gain on forgiveness of liabilities | — | — | — | (0.01 | ) | ||||||||
| Income tax impact of non-GAAP adjustments | — | — | — | (0.02 | ) | ||||||||
| Non-GAAP diluted net income attributable to G-III Apparel Group, Ltd. per common share, as defined | $ | 0.05 - 0.15 | $ | 0.12 | $ | 4.15 - 4.25 | $ | 4.42 | |||||
Non-GAAP diluted net income per common share is a “non-GAAP financial measure” that excludes in fiscal 2025, (i) asset impairments, (ii) one-time severance expenses related to a closed warehouse, (iii) the write-off of deferred financing costs related to the redemption of the Notes and (iv) the gain on the forgiveness of certain liabilities related to the acquisition of the minority interest of our DKNY business in China that we did not already own. For fiscal 2025, the income tax impact of non-GAAP adjustments is calculated using an effective tax rate derived from our results of operations excluding certain non-GAAP adjustments. Management believes that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding items that are not indicative of our core business operating results. Management uses these non-GAAP financial measures to assess our performance on a comparative basis and believes that they are also useful to investors to enable them to assess our performance on a comparative basis across historical periods and facilitate comparisons of our operating results to those of our competitors. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
G-III Apparel Group, Ltd.
Company Contact:
Priya Trivedi
SVP of Investor Relations and Treasurer
(646) 473-5228
FAQ
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