G-III Apparel Group (GIII) Q3 2026 earnings summary

Executive summary

• Achieved strong Q3 profitability, with GAAP EPS of $1.84 and Non-GAAP EPS of $1.90, both exceeding guidance despite a 9% sales decline and tariff impacts.

• Net sales for Q3 were $988.6 million, down from $1.09 billion YoY, mainly due to PVH license expirations, partially offset by growth in owned and new licensed brands such as Karl Lagerfeld, Donna Karan, Converse, and BCBG.

• Retail segment sales rose to $45.7 million, driven by Donna Karan website and Karl Lagerfeld Paris store growth, despite fewer stores.

• Gross margin was 38.6%, outperforming expectations but down from 39.8% YoY due to tariffs and lower wholesale/retail margins.

• Initiated first-ever quarterly dividend of $0.10 per share and executed $50 million in share repurchases YTD.

Financial highlights

• Q3 net sales: $988.6 million, down from $1.09 billion YoY; wholesale: $977.3 million, retail: $45.7 million.

• Non-GAAP EPS: $1.90, $0.37 above guidance midpoint; GAAP EPS: $1.84.

• Non-GAAP net income: $83.4 million, down from $116.3 million YoY.

• Adjusted EBITDA for Q3: $124.9 million, down from $174.4 million YoY.

• Inventory up 3% YoY to $547 million, with disciplined management.

Outlook and guidance

• FY26 net sales expected at $2.98 billion, down from $3.18 billion in FY25.

• Raised FY26 non-GAAP EPS guidance to $2.80–$2.90; GAAP net income guidance at $2.72–$2.82 per share.

• Adjusted EBITDA for FY26 expected at $208–$213 million, down from $326 million in FY25.

• Gross margin for FY26 expected to decline ~200 bps, with normalization and expansion expected in FY27.

• Tariff impact for FY26 estimated at $65 million after mitigation efforts.