G-III Apparel Group has upped its full-year guidance after reporting a 9 percent increase in sales but narrowing profits in the second quarter.
The group, whose portfolio includes brands Karl Lagerfeld, DKNY, and Donna Karan, generated sales of 659.8 million dollars in the three months ended July 31. That’s compared to sales of 605.2 million dollars in the prior-year period.
Its net profit, however, narrowed to 16.4 million dollars from 36.3 million dollars a year earlier.
“For the second quarter of fiscal 2024, we once again beat both our top and bottom line guidance and made progress on our strategic priorities,” said chair and CEO Morris Goldfarb in a statement.
G-III ups outlook
“G-III closed out a strong first half of our year, giving us confidence to once again raise our outlook,” Goldfarb said.
It's the second time the group has raised its outlook in recent months after upping it in June when announcing better-than-expected first-quarter results.
The group now expects full-year revenue of approximately 3.30 billion dollars, compared to its previous outlook of approximately 3.29 billion dollars.
It expects a FY net profit of between 145 million dollars and 150 million dollars, compared to previous guidance of between 125 million dollars and 130 million dollars.
Goldfarb added: “Our balance sheet provides us with financial flexibility to invest in our business and consider additional opportunities.
“Agility is at the heart of everything we do at G-III and I am confident that we will continue to evolve, regardless of external factors. We will continue to drive our business forward and expect to deliver strong results for our shareholders.”
G-III also announced Thursday that its newest license agreement with HanesBrands will produce an outerwear collection for the Champion brand.