G III Apparel Group Q1 Fiscal 2026 – Net Sales Down, But Net Income Up

By Bobby Samwell • Friday, June 06 15:30 • Permanent Link

G-III Apparel Group, Ltd. has reported its first quarter fiscal 2026 results, highlighting a 4% decrease in net sales to $583.6 million compared to $609.7 million in the prior year's quarter. However, the company's net income for the first quarter ended April 30, 2025, rose to $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. Non-GAAP net income per diluted share also showed a significant increase, reaching $0.19 for the first quarter ended April 30, 2025, compared to $0.12 in the same period last year.

The company's balance sheet for the first quarter fiscal 2026 revealed a 5% decrease in inventories to $456.5 million from $479.7 million last year. Total debt also saw a substantial 96% decrease to $18.7 million this year compared to $426.4 million last year, following the voluntary redemption of the entire $400.0 million principal amount of senior secured notes in August 2024.

G-III Apparel Group, Ltd. also disclosed that it repurchased 807,437 shares for $19.7 million in the first quarter ended April 30, 2025. The company reaffirmed its net sales outlook for fiscal 2026 but withdrew its net income, non-GAAP net income, and adjusted EBITDA guidance for the fiscal year due to uncertainty around tariffs and related macroeconomic conditions.

Looking ahead, the company provided its outlook for the second quarter ending July 31, 2025, with net sales expected to be approximately $570.0 million, compared to $644.8 million in the previous year's second quarter. Net income for the second quarter of fiscal 2026 is projected to be between $1.0 million and $6.0 million, or diluted earnings per share between $0.02 and $0.12, indicating a decrease from net income of $24.2 million, or $0.53 per diluted share, in last year's second quarter.

G-III Apparel Group, Ltd. is a global leader in fashion with a portfolio of over 30 brands and remains focused on navigating uncertainties and strengthening its competitive position to drive long-term profitability and shareholder value. As a result of these announcements, the company's shares have moved -18.7% on the market, and are now trading at a price of $22.495. Check out the company's full 8-K submission here.

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