The American clothing group G-III Apparel Group Ltd. Had to accept a decline in sales in the first quarter of the 2025/26 financial year. However, the profit rose surprisingly clearly.
Overall, the parent company of brands such as Donna Karan, DKNY, Karl Lagerfeld and Sonia Rykiel with its figures published on Thursday could outperform the market expectations. Because the possible effects of US customs policy are currently not foreseeable, the company withdrew its result forecasts for the year as a whole.
In the three months before April 30, the group turnover reached a height of $ 583.6 million (510.8 million euros). He fell by four percent compared to the previous year. The company justified the losses with the end of the license partnership for jeans and sports swear of the Calvin Klein brand. The own labels DKNY, Karl Lagerfeld and Donna Karan had achieved double -digit growth, emphasized Chairman and CEO Morris gold color in a statement. Overall, the group delivered “solid results” in the opening quarter.
US customs policy ensures uncertainties
Although the group was able to reduce its operating expenses, the operational result decreased by 37 percent to $ 8.5 million. Due to lower financing costs, the net profit due to the shareholder increased by 34 percent to $ 7.8 million (6.8 million euros). The diluted profit per share increased from $ 0.12 to $ 0.17 and was therefore over expectations.
Based on the available figures, the management confirmed its sales forecast for the year as a whole. It continues to expect proceeds of around 3.14 billion US dollars.
However, the group withdrew its result forecasts released in March due to the “uncertainties regarding the tariffs and the associated macro -congalical conditions”. He currently expects additional costs of around $ 135.0 million as a result of the current US import duties. However, the company wants to compensate for these burdens as far as possible through changes in procurement, targeted price increases and austerity measures.