G-III Apparel Group, Ltd. (NASDAQ:GIII) Q3 2025 Earnings Conference Call December 10, 2024 8:30 AM ET

Company Participants

Morris Goldfarb - Chairman, Chief Executive Officer
Neal Nackman - Chief Financial Officer

Conference Call Participants

Bob Drbul - Guggenheim
Ashley Owens - KeyBank Capital Markets
Mauricio Serna - UBS
Paul Kearney - Barclays

Operator

Good day! And thank you for standing by. Welcome to the G-III Apparel Group Third Quarter Fiscal 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. [Operator Instructions]. Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker today, Neal Nackman, Chief Financial Officer. Please go ahead.

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.

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

Morris Goldfarb

Thank you, Neil. And thank you, everyone, for joining us. I’m very pleased with our strong third quarter results with earnings above our expectations driven by growth of our key owned brands, DKNY, Karl Lagerfeld, Donna Karan and Vilebrequin, which collectively grew over 30%.

Our teams continue to demonstrate strong execution despite a challenging consumer environment, unseasonable weather, and supply chain disruptions. In fact, in the U.S., September and October ranked as one of the warmest on record. Had the weather been in line with historical trends, we would have captured incremental sales in the third quarter, driving further earnings outperformance.

At the start of the fourth quarter, we experienced softer sales in cold weather categories. However, as temperatures have started to drop heading into the holiday selling period, we've seen notable improvements in selling throughout -- across our brands and channels.