G-III Apparel Group, Ltd. Revises Earnings Guidance for the Full Fiscal Year Ending January 31, 2017
January 05, 2017 at 04:05 pm EST
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G-III Apparel Group, Ltd. revised earnings guidance for the full fiscal year ending January 31, 2017. For the full fiscal year ending January 31, 2017, the Company is now forecasting net sales of approximately $2.41 billion and net income between $57 million and $62 million, or a range between $1.21 and $1.31 per diluted share, compared to the previous guidance of net sales of approximately $2.43 billion and net income between $67 million and $72 million, or a range between $1.41 and $1.51 per diluted share. The full year forecast continues to include an estimate of net sales of approximately $25 million and operating losses and additional interest expense of approximately $21 million, before taxes, equal to $0.28 per diluted share, associated with the acquisition of Donna Karan International Inc. The current year’s forecast also continues to include professional fees of approximately $15 million, before taxes, equal to approximately $0.20 per diluted share, in connection with the acquisition and the impact of the issuance of approximately 2.6 million shares of new G-III common stock to the seller. Excluding professional fees associated with the acquisition of Donna Karan in fiscal 2017 and other income in fiscal 2016, the Company is now forecasting non-GAAP net income per diluted share of between $1.41 and $1.51, for the full 2017 fiscal year compared to $2.44 for the 2016 fiscal year. The Company is now projecting adjusted EBITDA for fiscal 2017 of between approximately $148 million and $155 million compared to adjusted EBITDA of $210.1 million in fiscal 2016 and to its previous forecast of adjusted EBITDA of between approximately $163 million and $171 million.
G-III Apparel Group, Ltd. designs, sources and markets a range of apparel, including outerwear, dresses, sportswear, swimwear, womenâs suits and womenâs performance wear, as well as womenâs handbags, footwear, small leather goods, cold weather accessories and luggage. Its segments include wholesale operations and retail operations. The wholesale operations segment includes sales of products to retailers under owned, licensed and private label brands, as well as sales related to the Vilebrequin and Karl Lagerfeld businesses, other than sales of products under the Karl Lagerfeld Paris brand from its retail stores and digital outlets. The retail operations segment consists primarily of direct sales to consumers through its Company-operated stores and through digital channels. Its Company-operated retail channels consist primarily of DKNY and Karl Lagerfeld Paris stores, as well as the digital channels for DKNY, Donna Karan, Karl Lagerfeld Paris, G.H. Bass, Andrew Marc and Wilsons Leather.
G-III APPAREL GROUP, LTD. 
