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Apr 30, 2021

G-III Apparel Q1 2022 Earnings Report

Net sales and net income per share exceeded expectations.

Key Takeaways

G-III Apparel Group reported a strong first quarter for fiscal year 2022, with net sales increasing by 28.3% to $519.9 million compared to $405.1 million in the prior year's quarter. The company's net income for the quarter was $26.3 million, or $0.53 per diluted share, a significant improvement from the net loss of $39.3 million, or $(0.82) per share, in the prior year's quarter.

Net sales for the first quarter reached $519.9 million, up from $405.1 million in the previous year.

Net income for the first quarter was $26.3 million, or $0.53 per diluted share, compared to a net loss of $39.3 million, or $(0.82) per share, in the prior year’s quarter.

The company has completed the restructuring of its retail operations segment, closing Wilsons Leather and G.H. Bass stores.

G-III is in a strong financial position to fund growth domestically and internationally and capitalize on opportunities.

Total Revenue
$520M
Previous year: $405M
+28.3%
EPS
$0.53
Previous year: -$0.75
-170.7%
Gross Profit
$195M
Previous year: $124M
+57.1%
Cash and Equivalents
$396M
Previous year: $616M
-35.7%
Total Assets
$2.4B
Previous year: $2.8B
-14.3%

G-III Apparel

G-III Apparel

Forward Guidance

G-III Apparel Group issued guidance for the fiscal year ending January 31, 2022. For fiscal 2022, the Company is forecasting net sales of approximately $2.57 billion. Net income for fiscal 2022 is expected to be between $125 million and $135 million, or between $2.60 and $2.70 per diluted share.

Positive Outlook

  • Net sales of approximately $2.57 billion
  • Net income expected to be between $125 million and $135 million
  • Net income per diluted share expected to be between $2.60 and $2.70
  • Net sales of approximately $460 million for the second quarter of fiscal year 2022
  • Net income for the second quarter of fiscal year 2022 is expected to be in the range of $0.03 and $0.13 per diluted share

Challenges Ahead

  • Developments associated with the COVID-19 pandemic continue to be fluid
  • Fiscal year 2022 guidance does not contemplate any reimposition of government-mandated store closures
  • Governmental restrictions that were previously imposed as a result of the COVID-19 pandemic could have a material impact on our net sales
  • Governmental restrictions that were previously imposed as a result of the COVID-19 pandemic could have a material impact on our results of operations
  • Governmental restrictions that were previously imposed as a result of the COVID-19 pandemic could have a material impact on our supply chain during fiscal 2022