G-III Apparel Group topped second-quarter profit expectations and did what many of its retail counterparts could not — raise expectations for the year.
The company’s second-quarter income jumped 164 percent to $3.6 million, or 17 cents a diluted share, from $1.4 million, or 7 cents, a year earlier. Earnings per share came in 7 cents better than the 10 cents analysts projected.
Sales for the three months ended July 31 increased 20.9 percent to $304.2 million from $251.4 million.
G-III produces and distributes outerwear, dresses, sportswear and other categories under a number of licensed brands, including Calvin Klein, Kenneth Cole, Tommy Hilfiger, Jones New York, and Levi’s. The company sells to major department stores and also has over 200 stores.
“We have a powerful opportunity to continue to diversify our business, further penetrate key categories and layer on promising new organic growth initiatives, such as our multi-category launch of the Ivanka Trump collection and the rollout of full-priced Wilsons stores, which is still in a test mode,” said Morris Goldfarb, chairman and chief executive officer. “Our most-recent acquisition, Vilebrequin, is performing well and provides us with a premier status brand in a new category.”
G-III now expects its earnings this year to range from $3.30 to $3.40, ahead of the $3.20 to $3.30. Shares of the company popped up 7.4 percent to $50.50 in early trading on Wall Street today.