G-III Apparel Group reported earnings rose 61.8 percent in its fourth quarter ended Jan. 31, to $13.0 million, or 62 cents a share.
Revenues climbed 26.0 percent to $472.8 million, driven by broad strength across categories and tiers of distribution, as well as by the recently acquired G.H. Bass & Co. business.
On a conference call with analysts, Morris Goldfarb, chairman, president and CEO, said the cold-weather during the quarter particularly supported its outerwear business. Its strongest women's coats were Calvin Klein and Jessica Simpson. In men's outerwear, its top brands were Calvin Klein, Tommy Hilfiger and Levi's.
Its team sports business, which includes G-III Sports by Carl Banks and Touch by Alyssa Milano, ”concluded an excellent year with good fourth quarter.” G-III recently relaunched the Starter jacket.
Dresses “also performed well,” led by Calvin Klein and Eliza J. Sportswear showed gains with Calvin Klein and Calvin Klein Performance but saw margin pressures in January, attributable to the weather. Its Wilsons Leather retail business delivered a 9 percent comp gain against a 12 percent comp increase a year ago.
For the fiscal year, earnings rose 36.0 percent $77.4 million, or $3.71 a share. Net sales increased 23.0 percent to $1.72 billion.
For the current year, the company is forecasting net sales of approximately $2.05 billion and net income between $85.2 million and $88.5 million, or between $3.95 and $4.10 per diluted share.
For the first quarter ending April 30, the company is forecasting net sales of approximately $346 million and a net loss between $2.0 million and $4.0 million, or between 10 and 20 cents per share. This compares to net sales of $272.6 million and net income of $1.1 million, or 5 cents, a year ago.
