G-III Apparel Group (GIII) delivered a mixed bag in its second-quarter 2024 earnings report, exceeding profit estimates but falling short on revenue. The company reported earnings of $0.52 per share, surpassing the Zacks Consensus Estimate of $0.28 per share. This represents a significant 85.71% earnings surprise compared to the same period last year.
Despite the earnings beat, G-III Apparel’s revenue came in at $644.76 million for the quarter, missing the Zacks Consensus Estimate by 0.84%. This figure also represents a slight decline from the $659.76 million in revenue generated a year ago.
The company’s stock performance has been lackluster this year, losing about 26.3% since the start of the year, compared to the S&P 500’s gain of 15.7%.
While the recent earnings report offers some insight into G-III Apparel’s current performance, investors are undoubtedly curious about the company’s future prospects. The company’s earnings outlook is a key indicator that can provide guidance for investors.
Currently, the Zacks Rank assigns G-III Apparel a ‘Hold’ rating, indicating the stock is expected to perform in line with the market in the near term. This assessment is based on an analysis of earnings estimate revisions, which have been mixed for the company. The current consensus EPS estimate stands at $2.48 on $1.12 billion in revenue for the coming quarter, and $3.63 on $3.2 billion in revenue for the current fiscal year.
It’s important to note that the overall performance of the textile and apparel industry can also influence G-III Apparel’s stock performance. Currently, the Zacks Industry Rank for Textile – Apparel sits in the bottom 25% of the over 250 Zacks industries. Research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another company in the textile and apparel industry, Oxford Industries (OXM), is scheduled to report its earnings for the second quarter of 2024 on September 11th. The company, which owns brands like Tommy Bahama, Lilly Pulitzer, and Southern Tide, is expected to post quarterly earnings of $3.05 per share, representing a year-over-year change of -11.6%. Oxford Industries’ revenues are expected to be $440.1 million, up 4.7% from the year-ago quarter.
