G-III Apparel sales up 17.6% in 2018

For the fourth quarter ended January 31, 2018, net sales grew 18.5 per cent to $715 million from $603 million in the fourth quarter last year. This includes net sales of approximately $85 million related to operating DKI business in the quarter compared to approximately $28 million in sales from the two months of the prior year that the company owned this business. The remainder of the year-over-year increase in net sales in the fourth quarter reflected strength in the company’s wholesale business, including new product launches. These increases were partially offset by declines in net sales of the company’s legacy retail businesses.

"We are pleased to have finished with better results than last year, particularly as a result of our power brands: Calvin Klein, Tommy Hilfiger, DKNY, Donna Karan and Karl Lagerfeld Paris. The strength of these businesses is enabling us to grow profitably despite the pressures of a persistently challenging environment," Morris Goldfarb, G-III’s chairman and chief executive officer, said.

"We are focused on improving the results of our specialty retail operations. In that regard, we continue to implement our strategy to improve productivity and streamline operations. We believe that significant growth in our wholesale businesses should continue to propel us to higher sales and profits over the next several years," Goldfarb added.

For fiscal 2019, the company has forecast net sales of approximately $2.94 billion and net income between $97 million and $102 million, or between $1.90 and $2.00 per diluted share. The company has anticipated non-GAAP net income for fiscal year 2019 between $101 million and $106 million, or between $1.98 and $2.08 per diluted share. Non-GAAP guidance excludes non-cash imputed interest expense of approximately $5.7 million, or $0.08 per diluted share, related to the note issued to the seller as part of the consideration for the DKI acquisition.

Fibre2Fashion News Desk – India