G-III Apparel Group's Q2 sales beat estimates

Overview

• G-III fiscal Q2 net sales fall 5% yr/yr to $613.3 mln, beating estimates

• Adjusted EPS of $0.25 beats analyst expectations, per LSEG data

• Co repurchased $24.6 mln in shares during the quarter

Outlook

• Company expects fiscal 2026 net sales of approximately $3.02 bln

• G-III anticipates fiscal 2026 net income between $112 mln and $122 mln

• Company sees third-quarter net sales around $1.01 bln

Result Drivers

• BRAND MOMENTUM - Strong performance driven by DKNY, Donna Karan, Karl Lagerfeld, and Vilebrequin

• TARIFF MITIGATION - Co addresses tariff impacts through vendor participation, sourcing shifts, and price increases

• STRATEGIC EXECUTION - Results highlight ability to leverage corporate platform and execute strategic priorities, per CEO Morris Goldfarb

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the apparel & accessories peer group is "hold"

• Wall Street's median 12-month price target for G-III Apparel Group Ltd is $26.50, about 2.3% below its September 3 closing price of $27.12

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nGNX3hNscR