Calvin Klein parent G-III Apparel shares plummet 15% after sales miss
G-III Apparel Group Ltd. (GIII) shares plummeted 15.2% in Thursday trading after the company, whose portfolio includes fashion brands Calvin Klein and Tommy Hilfiger, reported a third-quarter sales miss. Net income totaled $94.0 million, or $1.86 per share, up from $81.6 million, or $1.65 per share, last year. Adjusted EPS of $1.88 beat the $1.81 FactSet consensus. Sales of $1.07 billion was up from $1.02 billion last year, but below the $1.08 billion FactSet forecast. The company said it was hurt by operating a lower number of stores as well as the Bon-Ton Stores Inc. (BONTQ) bankruptcy, which hit the Calvin Klein brand particularly hard. The company has closed 105 stores over the past two years, and expects to operate about 245 Wilson and Bass stores by year end, compared with 350 at the beginning of fiscal 2018. G-III now expects fiscal year sales of $3.08 billion, up from previous guidance of $3.06 billion, and EPS between $2.59 and $2.69, up from between $2.45 and $2.55 previously. The FactSet expectation is for sales of $3.06 billion and EPS of $2.61. G-III shares have slipped 6% for the year to date while the S&P 500 index is down 0.3% for the period.
-Tonya Garcia; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
December 06, 2018 13:00 ET (18:00 GMT)
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