G-III Apparel Group, Ltd. reported that for the first quarter ended April 30, net sales increased by 19 percent to $272.6 million from $229.4 million in the year-ago period. The companys net income for the first quarter was $1.1 million, or 5 cents per diluted share, compared to a net loss of $847,000, or 4 cents per share, in the prior years comparable period.
Morris Goldfarb, G-IIIs Chairman and Chief Executive Officer, said, Our increase in first quarter revenue was driven by a variety of businesses and by the inclusion of sales from Vilebrequin which was acquired in August 2012. We saw a strong performance across a broad range of categories, particularly with respect to a number of our Calvin Klein products, and from our growing retail operations which produced double-digit comparable store sales increases in the quarter.
Goldfarb concluded, Current booking activity and sell-through rates, as well as positive feedback from our retail customers on our upcoming merchandise programs, give us increased confidence in our full year outlook. As the year progresses, we expect to continue to increase penetration with respect to several of our important categories, including womens sportswear, dresses, suits and handbags. We also are looking forward to some important brand expansions, including the launches of our Ivanka Trump collection, Calvin Klein mens and womens swimwear and a new line of womens status swimwear under our Vilebrequin brand. Our strategic and diversified approach to growth encompasses multiple brands, both genders and several tiers of retail distribution.
The company today revised its prior guidance for the full fiscal 2014 year ending January 31, 2014. The company is now forecasting net sales of approximately $1.57 billion and net income between $66.3 million and $68.4 million, or a range between $3.20 and $3.30 per diluted share, compared to its previous guidance of net sales of approximately $1.55 billion and net income between $64.3 million and $66.4 million, or a range between $3.10 and $3.20 per diluted share. For the fiscal year ended January 31, 2013, net sales were $1.40 billion and net income was $56.9 million, or $2.80 per diluted share. Net income per diluted share for fiscal 2013 included the effect of expenses and integration costs, net of taxes, associated with the Vilebrequin acquisition equal to $0.12 per share.
The company is now projecting adjusted EBITDA for fiscal 2014 to increase between 14 percent and 17 percent, to between approximately $129.5 million and $132.8 million as compared to its previous guidance of between $126.5 million and $129.5 million.
EBITDA should be evaluated in light of the companys financial results prepared in accordance with U.S. GAAP. A reconciliation of GAAP net income to adjusted EBITDA is included in a table accompanying the condensed financial statements in this release.
For its second fiscal quarter ending July 31, 2013, the company is forecasting net sales of approximately $287.0 million compared to $251.5 million in the comparable quarter last year. The company is also forecasting net income for the second fiscal quarter between $1.1 million and $2.1 million, or between $0.06 and $0.10 per diluted share, compared to net income of $1.4 million, or $0.07 per diluted share, in last years second quarter. Net income per diluted share for last years second fiscal quarter included the effect of expenses, net of taxes, associated with the Vilebrequin acquisition equal to $0.06 per share.
G-III is a leading manufacturer and distributor of outerwear, dresses, sportswear, swimwear, women’s suits and womens performance wear, as well as luggage and womens handbags, small leather goods and cold weather accessories, under licensed brands, our own brands and private label brands. G-III sells swimwear, resort wear and related accessories under our own Vilebrequin brand. G-III also sells outerwear, dresses, performance wear and handbags under our own Andrew Marc and Marc New York brands and has licensed these brands to select third parties in certain product categories. G-III has fashion licenses under the Calvin Klein, Kenneth Cole, Cole Haan, Guess?, Tommy Hilfiger, Jones New York, Jessica Simpson, Sean John, Vince Camuto, Ivanka Trump, Nine West, Ellen Tracy, Kensie, Mac & Jac, Levi’s and Dockers brands. Through our team sports business, we have licenses with the National Football League, National Basketball Association, Major League Baseball, National Hockey League, Touch by Alyssa Milano and more than 100 U.S. colleges and universities. Our other owned brands include G-III Sports by Carl Banks, Eliza J, Black Rivet, Jessica Howard and Winlit. G-III also operates retail stores under the Wilsons Leather, Vilebrequin, Calvin Klein Performance and Andrew Marc names.