G-III Apparel (GIII) Stock Gains On Earnings Beat In Q4
Zacks Investment Research | Mar 19, 2020 10:38PM ET
Shares of G-III Apparel Group, Ltd. (NASDAQ:GIII) surged 69.1% during the trading session on Mar 19, following impressive fourth-quarter fiscal 2020 earnings results. Strength in the Calvin Klein, Tommy Hilfiger and DKNY brands has been a major boost. Moreover, the company’s e-commerce business is performing well, with DKNY and Karl Lagerfeld recording double-digit sales growth. Moving along, management is on track with the restructuring of retail operations, which will bring down the number of stores and consequently cut losses from underperforming locations.
G-III Apparel expects to continue leveraging strength in its global power brands — DKNY, Donna Karan, Calvin Klein, Tommy Hilfiger and Karl Lagerfeld — by enhancing and developing new designs.
However, management informed that it has closed retail stores and corporate offices, and has been working remotely in view of the coronavirus outbreak. Further, it informed that it has been monitoring developments of the pandemic and its impact on sales, operations and supply chain. Consequently, G-III Apparel has not provided any outlook for fiscal 2021 as of now. Furthermore, the company expects minimal delays in production and transit times, depending on the current updates for factory operations in China and other affected areas. Sales from the retail partners and the company’s retail stores are also facing the brunt.
Q4 in Detail
Adjusted earnings improved 36.4% year over year to 75 cents per share and surpassed the Zacks Consensus Estimate of 68 cents.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.