The US clothing group G-III Apparel Group Ltd. has announced its fourth quarter and full fiscal year 2026 results. The financial year ended January 31, 2026. The group reported a decline in annual revenue as it completes the planned exit from the Calvin Klein and Tommy Hilfiger licenses.
For the full fiscal year, net sales reached $2.96 billion (€2.58 billion). This represents a seven percent decrease compared to $3.18 billion last year. Net income for the period was $67.4 million. In the 2025 financial year this was still at 193.6 million US dollars
G-III Chairman and Chief Executive Officer (CEO) Morris Goldfarb described fiscal 2026 as a pivotal year for the group. Goldfarb emphasized that the owned brands portfolio delivered strong results with improved full-price sales.
Fourth quarter performance impacted by impairments
Net sales for the fourth quarter fell 8.1 percent to $771.5 million. In the same period last year it was $839.5 million. The company reported a net loss of $31.9 million for the quarter. In the previous year it had achieved a net profit of 48.8 million US dollars.
Quarterly results were impacted by non-cash asset impairments of $45 million (€41.63 million). In addition, the company reported $17.5 million (16.19 million euros) in bad debts. G-III attributed this primarily to the bankruptcy of US retailer Saks Global.
The group is currently implementing operational efficiency measures. These are expected to result in ongoing savings of $25 million by fiscal year 2028. The measures are designed to increase profitability while the company restructures its cost structure.
Outlook for the 2027 financial year
G-III provided an outlook for the coming fiscal year ending January 31, 2027. Net sales should then be around 2.7 billion US dollars. This figure takes into account the loss of $470 million in sales due to the exit of stores selling Calvin Klein and Tommy Hilfiger products.
Net income for fiscal 2027 is expected to be between $88 million and $92 million. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) are forecast at $158 million to $162 million. In fiscal year 2026 it was $192.4 million.
For the first quarter of fiscal 2027, the group expects net sales of approximately $530 million. Goldfarb said the company is entering the new year from a position of strength.
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