G-III APPAREL EARNINGS RISE 56.3% IN QUARTER
NEW YORK — Citing strength in its licensed and nonlicensed businesses, G-III Apparel Group reported third-quarter earnings surged 56.3 percent on a 21.8 percent jump in sales.
The outerwear firm’s profits in the three months ended Oct. 31 grew to $6.9 million, or $1.01 a share, from $4.4 million, or 66 cents.
Sales improved to $74.5 million from $61.2 million.
The latest quarter included charges from G-III’s dissolving of its joint apparel venture with Black Entertainment Network, which included the Exsto young men’s brand.
The company incurred $1.3 million in losses in connection with BET, including a $950,000 provision related to the closing. Excluding those charges, earnings would have been $7.7 million, or $1.12, G-III said.
“This is our third consecutive quarter of year-to-year increases in operating results,” said Morris Goldfarb, chief executive officer.
“Our record third-quarter results are indicative of the strength of both our licensed and non-licensed businesses.
“We continued to experience improvements in both aspects of our business, both from a revenue and profitability standpoint.”
Goldfarb said the company would “strive to add new businesses” that would complement its existing portfolio.
In the nine months, earnings more than doubled to $5.1 million, or 75 cents, from $1.9 million, or 27 cents.
Sales gained 14.1 percent to $116.3 million from $101.9 million.
G-III produces outerwear for Kenneth Cole Productions, Nine West Group and Tommy Hilfiger, as well as for sporting teams and universities.