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Jul 31, 2020

G-III Apparel Q2 2021 Earnings Report

G-III Apparel reported a decrease in net sales and a net loss for the second quarter of fiscal 2021, impacted by the COVID-19 pandemic and restructuring of retail operations.

Key Takeaways

G-III Apparel Group reported a significant decrease in net sales by 53.8% to $297.2 million for the second quarter of fiscal 2021, compared to $643.9 million in the same period last year. The company experienced a net loss of $15.0 million, or $(0.31) per share, a stark contrast to the net income of $11.1 million, or $0.23 per diluted share, in the prior year's comparable period. The results were impacted by the COVID-19 pandemic and the restructuring of its retail operations, including the closure of Wilsons Leather and G.H. Bass stores.

Net sales decreased by 53.8% to $297.2 million compared to the same quarter last year.

Net loss was $15.0 million, or $(0.31) per share, compared to a net income of $11.1 million, or $0.23 per diluted share, in the prior year’s comparable period.

The company is restructuring its retail operations segment, including closing 110 Wilsons Leather and 89 G.H. Bass stores.

Net losses from Wilsons Leather and G.H. Bass operations were $25.6 million, or $(0.53) per share.

Total Revenue
$297M
Previous year: $644M
-53.8%
EPS
-$0.01
Previous year: $0.23
-104.3%
Gross Profit
$135M
Previous year: $232M
-41.9%
Cash and Equivalents
$253M
Previous year: $39.6M
+538.9%
Total Assets
$2.27B
Previous year: $2.71B
-16.3%

G-III Apparel

G-III Apparel

Forward Guidance

The Company expects net sales to decline in the range of 28% - 33% in the second half of its fiscal year compared to the same period last year.