G-III Apparel (US:GIII) Globenewswire·2026-03-12 11:00Core Insights - G-III Apparel Group reported a challenging fiscal year 2026, with net sales decreasing by 7% to $2.96 billion, impacted by lost sales from PVH brands totaling $254 million, while key owned brands showed mid-single-digit growth [5][8] - The company experienced a net loss of $31.9 million in the fourth quarter, compared to a net income of $48.8 million in the same period last year, largely due to non-cash asset impairment charges and bad debt expenses related to the bankruptcy of Saks Global [6][9] - For fiscal 2027, G-III expects net sales to decline to approximately $2.71 billion, factoring in a loss of $470 million from exiting Calvin Klein and Tommy Hilfiger businesses, but anticipates net income to rise to between $88 million and $92 million [14][15] Financial Performance - Fourth quarter net sales decreased by 8.1% to $771.5 million from $839.5 million year-over-year [4] - Fiscal 2026 reported EPS was $1.51, with non-GAAP EPS at $2.61, which included a $0.30 impact from bad debt expense [5][10] - Year-end cash stood at $407 million, with a capital return to shareholders exceeding $50 million [5][11] Balance Sheet and Capital Allocation - Cash and cash equivalents increased to $406.7 million from $181.4 million the previous year [11] - Inventories decreased by 3.8% to $460 million compared to $478.1 million last year [11] - The company initiated a $25 million run-rate cost savings initiative to enhance profitability [12] Strategic Outlook - G-III aims for high-single-digit growth in fiscal 2027, leveraging its go-forward portfolio while focusing on gross margin expansion and cost structure streamlining [3][14] - The company is positioned to invest in strategic opportunities and return capital to shareholders, supported by a strong cash position [3][5]