G-III Apparel Shares Slide 15% After Earnings Miss and Weak 2027 Outlook

Core Viewpoint - G-III Apparel Group, Ltd. reported disappointing fourth-quarter results and provided weak guidance for fiscal 2027, leading to a significant drop in share price [1] Financial Performance - The company reported an adjusted loss of $0.30 per share for the quarter ended January 31, 2026, which was below analyst expectations [2] - Revenue for the quarter decreased by 8.1% to $771.5 million from $839.5 million in the same period last year [2] - For fiscal 2026, net sales fell by 7% to $2.96 billion compared to $3.18 billion in the previous year, with adjusted earnings per share of $2.61 [3] Bad-Debt Impact - The quarter included $17.5 million in bad-debt expenses primarily related to the Saks Global bankruptcy, which impacted earnings by approximately $0.32 per share after tax [2] - The revenue decline was attributed to a loss of $254 million in sales from PVH brands, although key owned brands experienced mid-single-digit growth [3] Future Guidance - For fiscal 2027, G-III expects net sales to be approximately $2.71 billion, down from $2.96 billion in fiscal 2026, reflecting a loss of $470 million in revenue due to the exit from Calvin Klein and Tommy Hilfiger licensing agreements [4] - The company forecasts adjusted earnings per share between $2.00 and $2.10, with a midpoint of $2.05 [4] - For the first quarter, G-III anticipates revenue of roughly $530 million compared to $583.6 million in the prior year and projects an adjusted loss of $0.30 to $0.40 per share [4]