G-III Apparel Group, Ltd. (NASDAQ:GIII) Q1 2023 Earnings Conference Call June 7, 2022 8:30 AM ET

Company Participants

Neal Nackman – Chief Financial Officer and Treasurer

Morris Goldfarb – Chairman and Chief Executive Officer

Conference Call Participants

Alec Legg – B. Riley

Mauricio Serna – UBS

Dana Telsey – Telsey Advisory Group

Operator

Ladies and gentlemen, thank you for standing by, and welcome to the G-III Apparel Group First Quarter Fiscal 2023 Earnings Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions]

I would now like to turn the call over to your host, Neal Nackman, the company’s CFO. You may begin.

Neal Nackman

Good morning, and thank you for joining us. Before we begin, I would like to remind participants that certain statements made on today’s call and in the Q&A session may constitute forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees and actual results may differ materially from those expressed or implied in forward-looking statements. Important factors that could cause actual results of operations or the financial condition of the company to differ are discussed in the documents filed by the company with the SEC. The company undertakes no duty to update any forward-looking statements.

In addition, during the call, we will refer to non-GAAP net income, non-GAAP net income per diluted share and adjusted EBITDA, which are all non-GAAP financial measures. We have provided reconciliations of these non-GAAP financial measures to GAAP measures in our press release, which is also available on our website. Also disclosed in our press release for your reference are last year’s GAAP to non-GAAP results by quarter.

I will now turn the call over to our Chairman and Chief Executive Officer, Morris Goldfarb.

Morris Goldfarb

Good morning and thank you for joining us. Also joining me today is Neal Nackman, our Chief Financial Officer. We entered the fiscal year with strong momentum that continued throughout the first quarter of fiscal 2023 and exceeded both our top and bottom line guidance. As people go back to work, resume socializing and life continues to return to normal, customers are shopping to refresh their wardrobes and demand for our product remains strong.

Our retail partners are seeing significant growth in sales of our power brands: DKNY, Donna Karan, Calvin Klein, Tommy Hilfiger and Karl Lagerfeld Paris. Given the positioning of our brands in better department stores, our business is much less impacted by the recent inflationary pressures. In particular, our status brands, Vilebrequin and Karl Lagerfeld are even further insulated on pace with the overall luxury market.