G-III Apparel Q2 net sales drops 10% to $554.1 million

• G-III Apparel Group reported fiscal second-quarter 2027 earnings per share above its previous guidance.
• Net sales declined 10% to $554.1 million, while gross margin increased to 45.2%.
• The company completed its Marc Jacobs acquisition and expects fiscal 2027 revenue of about $2.71 billion.

G-III Apparel Group (NASDAQ:GIII) reported fiscal second-quarter 2027 results with earnings per diluted share above prior guidance, while net sales declined 10% to $554.1 million.

Revenue decreased from $613.3 million in the prior-year period, but gross margin expanded 440 basis points to 45.2% due to price increases and a greater mix of higher-margin owned brands.

GAAP net income increased to $20.2 million, or $0.46 per diluted share, compared with $10.9 million, or $0.25 per share, a year earlier, while non-GAAP earnings per share increased to $0.26 from $0.25, cash and equivalents reached $529.2 million, and inventories declined 13% to $555 million.

G-III Apparel Group expects fiscal 2027 net sales of about $2.71 billion, GAAP net income of $181–$185 million, EPS of $4.10–$4.20, and non-GAAP EPS of $2.20–$2.30.

G-III Apparel Group designs, sources, and markets apparel and accessories through owned and licensed brands across multiple consumer categories.

The company completed its acquisition of Marc Jacobs and stated that it is targeting $1 billion in long-term annual revenue from the brand, while expecting the transaction to be slightly dilutive in fiscal 2027.