Form 10-Q - Quarterly report [Sections 13 or 15(d)]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended October 31, 2024


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number: 0-18183

G-III APPAREL GROUP, LTD.

(Exact name of registrant as specified in its charter)


Delaware		41-1590959
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

512 Seventh Avenue, New York, New York		10018
(Address of principal executive offices)		(Zip Code)

(212) 403-0500

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, $0.01 par value per share	GIII	The Nasdaq Stock Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files.) Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of December 5, 2024, there were 43,886,707 shares of issuer’s common stock, par value $0.1 per share, outstanding.

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TABLE OF CONTENTS

		Page No.
Part I	FINANCIAL INFORMATION
Item 1.	Financial Statements
	Condensed Consolidated Balance Sheets – October 31, 2024 (Unaudited), October 31, 2023 (Unaudited) and January 31, 2024	3
	Condensed Consolidated Statements of Income and Comprehensive Income – For the Three and Nine Months Ended October 31, 2024 and 2023 (Unaudited)	4
	Condensed Consolidated Statements of Stockholders’ Equity – October 31, 2024 and October 31, 2023 (Unaudited)	5
	Condensed Consolidated Statements of Cash Flows – For the Nine Months Ended October 31, 2024 and 2023 (Unaudited)	6
	Notes to Condensed Consolidated Financial Statements	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	30
Item 4.	Controls and Procedures	30

Part II	OTHER INFORMATION
Item 1A.	Risk Factors	32
Item 5.	Other Information	32
Item 6.	Exhibits	33

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PART I – FINANCIAL INFORMATION

Item 1. Financial Statements.

G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS


	October 31,		October 31,		January 31,
	2024		2023		2024
	(Unaudited)		(Unaudited)
	(In thousands, except per share amounts)
ASSETS
Current assets
Cash and cash equivalents	$	104,686	$	197,391	$	507,829
Accounts receivable, net of allowance for doubtful accounts of $1,355, $18,412 and $1,471, respectively		879,681		863,221		562,363
Inventories		532,463		591,530		520,426
Prepaid income taxes		9,207		2,216		1,356
Prepaid expenses and other current assets		55,183		58,779		68,344
Total current assets		1,581,220		1,713,137		1,660,318
Investments in unconsolidated affiliates		109,911		24,354		22,472
Property and equipment, net		70,298		52,032		55,084
Operating lease assets		286,232		221,474		216,886
Other assets, net		47,246		53,852		45,147
Other intangibles, net		28,232		32,565		31,676
Deferred income tax assets, net		26,964		26,389		19,248
Trademarks		633,508		625,530		630,333
Total assets	$	2,783,611	$	2,749,333	$	2,681,164
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Current portion of notes payable	$	10,277	$	59,099	$	15,026
Accounts payable		239,882		179,396		182,531
Accrued expenses		160,059		153,200		140,535
Customer refund liabilities		88,323		108,042		84,054
Current operating lease liabilities		55,479		55,897		56,587
Income tax payable		45,730		46,380		14,676
Other current liabilities		571		330		219
Total current liabilities		600,321		602,344		493,628
Notes payable, net of discount and unamortized issuance costs		213,898		402,846		402,807
Deferred income tax liabilities, net		51,442		44,265		42,736
Noncurrent operating lease liabilities		246,834		183,522		178,247
Other noncurrent liabilities		22,390		14,543		15,764
Total liabilities		1,134,885		1,247,520		1,133,182

Redeemable noncontrolling interests		—		(1,407)		(2,278)

Stockholders' Equity
Preferred stock; 1,000 shares authorized; no shares issued		—		—		—
Common stock - $0.01 par value; 120,000 shares authorized; 49,396, 49,396 and 49,396 shares issued, respectively		264		264		264
Additional paid-in capital		456,839		453,504		458,841
Accumulated other comprehensive income (loss)		3,420		(15,995)		(3,207)
Retained earnings		1,304,894		1,131,258		1,160,112
Common stock held in treasury, at cost - 5,511, 3,670 and 3,668 shares, respectively		(116,691)		(65,811)		(65,750)
Total stockholders' equity		1,648,726		1,503,220		1,550,260
Total liabilities, redeemable noncontrolling interests and stockholders' equity	$	2,783,611	$	2,749,333	$	2,681,164

The accompanying notes are an integral part of these statements.

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G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME


	Three Months Ended October 31,				Nine Months Ended October 31,
	2024		2023		2024		2023

	(Unaudited)
	(In thousands, except per share amounts)
Net sales	$	1,086,759	$	1,067,110	$	2,341,261	$	2,333,460
Cost of goods sold		654,628		633,697		1,374,363		1,373,594
Gross profit		432,131		433,413		966,898		959,866
Selling, general and administrative expenses		259,240		236,308		724,891		703,476
Depreciation and amortization		6,556		6,595		20,704		19,130
Asset impairments		—		222		—		222
Operating profit		166,335		190,288		221,303		237,038
Other income (loss)		942		(3,129)		(2,233)		(1,964)
Interest and financing charges, net		(6,358)		(11,024)		(16,658)		(32,666)
Income before income taxes		160,919		176,135		202,412		202,408
Income tax expense		46,151		48,755		57,903		55,651
Net income		114,768		127,380		144,509		146,757
Less: Loss attributable to noncontrolling interests		—		(260)		(273)		(557)
Net income attributable to G-III Apparel Group, Ltd.	$	114,768	$	127,640	$	144,782	$	147,314


NET INCOME PER COMMON SHARE ATTRIBUTABLE TO G-III APPAREL GROUP, LTD.:
Basic:
Net income per common share	$	2.62	$	2.79	$	3.24	$	3.21
Weighted average number of shares outstanding		43,885		45,723		44,640		45,904

Diluted:
Net income per common share	$	2.55	$	2.74	$	3.17	$	3.13
Weighted average number of shares outstanding		44,954		46,560		45,719		46,992

Net income	$	114,768	$	127,380	$	144,509	$	146,757
Other comprehensive income (loss):
Foreign currency translation adjustments		15,489		(11,391)		6,589		(4,317)
Other comprehensive income (loss)		15,489		(11,391)		6,589		(4,317)
Comprehensive income	$	130,257	$	115,989	$	151,098	$	142,440
Comprehensive loss attributable to noncontrolling interests:
Net loss		—		(260)		(273)		(557)
Foreign currency translation adjustments		—		(1)		38		(25)
Comprehensive loss attributable to noncontrolling interests		—		(261)		(235)		(582)
Comprehensive income attributable to G-III Apparel Group, Ltd.	$	130,257	$	115,728	$	150,863	$	141,858

The accompanying notes are an integral part of these statements.

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G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY


					Accumulated				Common
			Additional		Other				Stock
	Common		Paid-In		Comprehensive		Retained		Held In
	Stock		Capital		Loss		Earnings		Treasury		Total

	(Unaudited)
	(In thousands)
Balance as of July 31, 2024	$	264	$	451,005	$	(12,069)	$	1,190,126	$	(116,691)	$	1,512,635
Share-based compensation expense		—		5,834		—		—		—		5,834
Other comprehensive income, net		—		—		15,489		—		—		15,489
Net income attributable to G-III Apparel Group, Ltd.		—		—		—		114,768		—		114,768
Balance as of October 31, 2024	$	264	$	456,839	$	3,420	$	1,304,894	$	(116,691)	$	1,648,726

Balance as of July 31, 2023	$	264	$	448,762	$	(4,603)	$	1,003,618	$	(65,926)	$	1,382,115
Equity awards vested, net		—		(115)		—		—		115		—
Share-based compensation expense		—		4,890		—		—		—		4,890
Taxes paid for net share settlements		—		(33)		—		—		—		(33)
Other comprehensive loss, net		—		—		(11,392)		—		—		(11,392)
Net income attributable to G-III Apparel Group, Ltd.		—		—		—		127,640		—		127,640
Balance as of October 31, 2023	$	264	$	453,504	$	(15,995)	$	1,131,258	$	(65,811)	$	1,503,220

Balance as of January 31, 2024	$	264	$	458,841	$	(3,207)	$	1,160,112	$	(65,750)	$	1,550,260
Equity awards vested, net		—		(9,668)		—		—		9,668		—
Share-based compensation expense		—		17,942		—		—		—		17,942
Taxes paid for net share settlements		—		(7,534)		—		—		—		(7,534)
Other comprehensive income, net		—		—		6,627		—		—		6,627
Repurchases of common stock		—		—		—		—		(59,973)		(59,973)
Excise tax on stock repurchases		—		—		—		—		(636)		(636)
Reduction of noncontrolling interest		—		(2,742)		—		—		—		(2,742)
Net income attributable to G-III Apparel Group, Ltd.		—		—		—		144,782		—		144,782
Balance as of October 31, 2024	$	264	$	456,839	$	3,420	$	1,304,894	$	(116,691)	$	1,648,726

Balance as of January 31, 2023	$	264	$	468,712	$	(11,653)	$	983,944	$	(55,819)	$	1,385,448
Equity awards vested, net		—		(16,108)		—		—		16,108		—
Share-based compensation expense		—		11,728		—		—		—		11,728
Taxes paid for net share settlements		—		(10,828)		—		—		—		(10,828)
Other comprehensive loss, net		—		—		(4,342)		—		—		(4,342)
Repurchases of common stock		—		—		—		—		(26,100)		(26,100)
Net income attributable to G-III Apparel Group, Ltd.		—		—		—		147,314		—		147,314
Balance as of October 31, 2023	$	264	$	453,504	$	(15,995)	$	1,131,258	$	(65,811)	$	1,503,220

The accompanying notes are an integral part of these statements.

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G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS


	Nine Months Ended October 31,
	2024		2023

	(Unaudited, in thousands)
Cash flows from operating activities
Net income attributable to G-III Apparel Group, Ltd.	$	144,782	$	147,314
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation and amortization		20,704		19,130
Loss on disposal of fixed assets		388		239
Non-cash operating lease costs		44,176		43,467
Asset impairment		—		222
Extinguishment of deferred financing costs		1,598		—
Equity gain in unconsolidated affiliates		2,758		3,725
Change in fair value of equity securities		—		(1,009)
Share-based compensation		17,942		11,728
Deferred financing charges and debt discount amortization		1,951		6,054
Deferred income taxes		990		(519)
Changes in operating assets and liabilities:
Accounts receivable, net		(317,318)		(188,258)
Inventories		(12,037)		117,815
Income taxes, net		23,203		35,175
Prepaid expenses and other current assets		13,949		12,636
Other assets, net		(730)		(3,044)
Customer refund liabilities		4,269		18,282
Operating lease liabilities		(44,270)		(43,750)
Accounts payable, accrued expenses and other liabilities		80,629		47,064
Net cash (used in) provided by operating activities		(17,016)		226,271

Cash flows from investing activities
Operating lease assets initial direct costs		(1,757)		(52)
Proceeds from sale of assets		733		—
Investment in equity interest of private company		(84,832)		(3,600)
Capital expenditures		(31,757)		(15,653)
Net cash used in investing activities		(117,613)		(19,305)

Cash flows from financing activities
Repayment of borrowings - revolving facility		(228,756)		(112,826)
Proceeds from borrowings - revolving facility		438,811		32,738
Repayment of borrowings - LVMH Note		—		(75,000)
Repayment of borrowings - foreign facilities		(103,635)		(106,100)
Proceeds from borrowings - foreign facilities		97,338		99,032
Repayment of borrowings - senior secured notes		(400,000)		—
Payment of financing costs		(3,785)		—
Purchase of treasury shares		(59,973)		(26,100)
Taxes paid for net share settlements		(7,534)		(10,828)
Net cash used in financing activities		(267,534)		(199,084)

Foreign currency translation adjustments		(980)		(2,143)
Net (decrease) increase in cash and cash equivalents		(403,143)		5,739
Cash and cash equivalents at beginning of period		507,829		191,652
Cash and cash equivalents at end of period	$	104,686	$	197,391

Supplemental disclosures of cash flow information
Cash payments:
Interest, net	$	26,036	$	32,882
Income tax payments, net	$	29,691	$	20,195
Excise tax liability related to stock repurchases	$	636	$	—

The accompanying notes are an integral part of these statements.

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G-III APPAREL GROUP, LTD. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 – BASIS OF PRESENTATION

As used in these financial statements, the term “Company” or “G-III” refers to G-III Apparel Group, Ltd. and its subsidiaries. The Company designs, sources and markets an extensive range of apparel, including outerwear, dresses, sportswear, swimwear, women’s suits and women’s performance wear, as well as women’s handbags, footwear, small leather goods, cold weather accessories and luggage. The Company also operates retail stores and licenses its proprietary brands under several product categories.

The Company consolidates the accounts of its wholly-owned and majority-owned subsidiaries. The Company’s DKNY and Donna Karan business in China is operated by Fabco Holding B.V. (“Fabco”), a Dutch joint venture limited liability company that was 75% owned by the Company through April 16, 2024 and was treated as a consolidated majority-owned subsidiary. Effective April 17, 2024, the Company acquired the remaining 25% interest in Fabco that it did not previously own and, as a result, Fabco began being treated as a wholly-owned subsidiary. AWWG Investments B.V. (“AWWG”) is a Dutch corporation that was 12.1% owned by the Company from May 3, 2024 through July 18, 2024 and was accounted for using the cost method. Effective July 19, 2024, the Company acquired an additional 6.6% minority interest in AWWG, increasing its total ownership interest to 18.7% and, as a result, AWWG began being accounted for under the equity method of accounting. All material intercompany balances and transactions have been eliminated.

Karl Lagerfeld Holding B.V. (“KLH”), a Dutch limited liability company that is wholly-owned by the Company, Vilebrequin International SA (“Vilebrequin”), a Swiss corporation that is wholly-owned by the Company, Sonia Rykiel, a Swiss corporation that is wholly-owned by the Company, Fabco and AWWG report results on a calendar year basis rather than on the January 31 fiscal year basis used by the Company. Accordingly, the results of KLH, Vilebrequin, Sonia Rykiel, Fabco and AWWG are included in the financial statements for the quarter ended or ending closest to the Company’s fiscal quarter end. For example, with respect to the Company’s results for the nine-month period ended October 31, 2024, the results of KLH, Vilebrequin, Sonia Rykiel, Fabco and AWWG are included for the nine-month period ended September 30, 2024. The Company’s retail operations segment reports on a 52/53 week fiscal year. For fiscal 2025 and 2024, the three and nine-month periods for the retail operations segment were each 13-week and 39-week periods, respectively, and ended on November 2, 2024 and October 28, 2023, respectively.

The results for the three and nine months ended October 31, 2024 are not necessarily indicative of the results expected for the entire fiscal year, given the seasonal nature of the Company’s business. The accompanying financial statements included herein are unaudited. All adjustments (consisting of only normal recurring adjustments) necessary for a fair presentation of the financial position, results of operations and cash flows for the interim period presented have been reflected.

The accompanying financial statements should be read in conjunction with the financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2024 filed with the Securities and Exchange Commission (the “SEC”).

Assets and liabilities of the Company’s foreign operations, where the functional currency is not the U.S. dollar (reporting currency), are translated from the foreign currency into U.S. dollars at period-end rates, while income and expenses are translated at the weighted-average exchange rates for the period. The related translation adjustments are reflected as a foreign currency translation adjustment in accumulated other comprehensive loss within stockholders’ equity.

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NOTE 2 – ALLOWANCE FOR DOUBTFUL ACCOUNTS

The Company’s financial instruments consist of trade receivables arising from revenue transactions in the ordinary course of business. The Company considers its trade receivables to consist of two portfolio segments: wholesale and retail trade receivables. Wholesale trade receivables result from credit the Company has extended to its wholesale customers based on pre-defined criteria and are generally due within 60 days. Retail trade receivables primarily relate to amounts due from third-party credit card processors for the settlement of debit and credit card transactions and are typically collected within 3 to 5 days.

The Company’s accounts receivable and allowance for doubtful accounts as of October 31, 2024, October 31, 2023 and January 31, 2024 were:


	October 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	879,572	$	1,464	$	881,036
Allowance for doubtful accounts		(1,217)		(138)		(1,355)
Accounts receivable, net	$	878,355	$	1,326	$	879,681

	October 31, 2023
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	880,827	$	806	$	881,633
Allowance for doubtful accounts		(18,349)		(63)		(18,412)
Accounts receivable, net	$	862,478	$	743	$	863,221

	January 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	563,130	$	704	$	563,834
Allowance for doubtful accounts		(1,408)		(63)		(1,471)
Accounts receivable, net	$	561,722	$	641	$	562,363

The allowance for doubtful accounts for wholesale trade receivables is estimated based on several factors. In circumstances where the Company is aware of a specific customer’s inability to meet its financial obligations (such as in the case of bankruptcy filings (including potential bankruptcy filings), extensive delay in payment or substantial downgrading by credit rating agencies), a specific reserve for bad debt is recorded against amounts due from that customer to reduce the net recognized receivable to the amount reasonably expected to be collected. For all other wholesale customers, an allowance for doubtful accounts is determined through analysis of the aging of accounts receivable at the end of the reporting period for financial statements, assessments of collectability based on historical trends and an evaluation of the impact of economic conditions. The Company considers both current and forecasted future economic conditions in determining the adequacy of its allowance for doubtful accounts.

The allowance for doubtful accounts for retail trade receivables is estimated at the credit card chargeback rate applied to the previous 90 days of credit card sales. In addition, the Company considers both current and forecasted future economic conditions in determining the adequacy of its allowance for doubtful accounts.

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The Company had the following activity in its allowance for doubtful accounts:


	Wholesale		Retail		Total

	(In thousands)
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)
Provision for credit losses, net		143		(75)		68
Accounts written off as uncollectible		48		—		48
Balance as of October 31, 2024	$	(1,217)	$	(138)	$	(1,355)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		(115)		(3)		(118)
Accounts written off as uncollectible		3		—		3
Balance as of October 31, 2023	$	(18,349)	$	(63)	$	(18,412)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		166		(3)		163
Accounts written off as uncollectible		16,663		—		16,663
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)

NOTE 3 – INVENTORIES

Wholesale inventories, which comprise a significant portion of the Company’s inventory, and KLH inventories are stated at the lower of cost (determined by the first-in, first-out method) or net realizable value. Retail and Vilebrequin inventories are stated at the lower of cost (determined by the weighted average method) or net realizable value. Substantially all of the Company’s inventories consist of finished goods.

The inventory return asset, which consists of the amount of goods that are anticipated to be returned by customers, was $10.6 million, $15.6 million and $16.5 million as of October 31, 2024, October 31, 2023 and January 31, 2024, respectively. The inventory return asset is recorded within prepaid expenses and other current assets on the condensed consolidated balance sheets.

Inventory held on consignment by the Company’s customers totaled $5.6 million, $7.9 million and $6.6 million at October 31, 2024, October 31, 2023 and January 31, 2024, respectively. The Company reflects this inventory on its condensed consolidated balance sheets.

NOTE 4 – FAIR VALUE OF FINANCIAL INSTRUMENTS

Generally Accepted Accounting Principles establish a three-level valuation hierarchy for disclosure of fair value measurements. The determination of the applicable level within the hierarchy for a particular asset or liability depends on the inputs used in its valuation as of the measurement date, notably the extent to which the inputs are market-based (observable) or internally-derived (unobservable). A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The three levels are defined as follows:

●

Level 1 — inputs to the valuation methodology based on quoted prices (unadjusted) for identical assets or liabilities in active markets.

●

Level 2 — inputs to the valuation methodology based on quoted prices for similar assets or liabilities in active markets for substantially the full term of the financial instrument; quoted prices for identical or similar instruments in markets that are not active for substantially the full term of the financial instrument; and model-derived valuations whose inputs or significant value drivers are observable.

●

Level 3 — inputs to the valuation methodology based on unobservable prices or valuation techniques that are significant to the fair value measurement.

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The following table summarizes the carrying values and the estimated fair values of the Company’s debt instruments:


		Carrying Value						Fair Value
		October 31,		October 31,		January 31,		October 31,		October 31,		January 31,
Financial Instrument	Level	2024		2023		2024		2024		2023		2024

		(In thousands)
Secured Notes	1	$	—	$	400,000	$	400,000	$	—	$	396,340	$	401,080
Revolving credit facility	2		210,055		—		—		210,055		—		—
Note issued to LVMH	3		—		49,787		—		—		49,350		—
Unsecured loans	2		7,326		9,097		8,791		7,326		9,097		8,791
Overdraft facilities	2		4,608		1,872		2,651		4,608		1,872		2,651
Foreign credit facility	2		2,186		4,161		8,939		2,186		4,161		8,939

The Company’s debt instruments are recorded at their carrying values in its condensed consolidated balance sheets, which may differ from their respective fair values. The carrying amount of the Company’s variable rate debt approximates the fair value, as interest rates change with market rates. Furthermore, the carrying value of all other financial instruments potentially subject to valuation risk (principally consisting of cash, accounts receivable and accounts payable) also approximates fair value due to the short-term nature of these accounts.

The fair value of the Company’s secured notes was based on their market price at each fiscal quarter end. The Company redeemed the entire $400 million principal amount of its 7.875% Senior Secured Notes due August 2025 (the “Notes”) at a redemption price equal to 100% of the principal amount of the Notes plus accrued and unpaid interest in August 2024.

The 2% note in the original principal amount of $125 million (the “LVMH Note”) issued to LVMH Moet Hennessy Louis Vuitton Inc. (“LVMH”) in connection with the acquisition of DKNY and Donna Karan was recorded on the balance sheet at a discount of $40.0 million in accordance with Accounting Standards Codification (“ASC”) 820 – Fair Value Measurements (“ASC 820”). For purposes of this fair value disclosure, the Company based its fair value estimate for the LVMH Note on the initial fair value as determined at the date of the acquisition of DKNY and Donna Karan and recorded amortization using the effective interest method over the term of the LVMH Note. The Company repaid $75.0 million of the principal amount of the LVMH Note on June 1, 2023 and the remaining $50.0 million of such principal amount on December 1, 2023.

The fair value of the LVMH Note was considered a Level 3 valuation in the fair value hierarchy.

Non-Financial Assets and Liabilities

The Company’s non-financial assets that are measured at fair value on a nonrecurring basis include long-lived assets, which consist primarily of property and equipment and operating lease assets. The Company reviews these assets for impairment whenever events or changes in circumstances indicate that their carrying value may not be fully recoverable. For assets that are not recoverable, an impairment loss is recognized equal to the difference between the carrying amount of the asset or asset group and its estimated fair value. For operating lease assets, the Company determines the fair value of the assets by discounting the estimated market rental rates over the remaining term of the lease. These fair value measurements are considered level 3 measurements in the fair value hierarchy. During fiscal 2024, the Company recorded a $1.3 million impairment charge primarily related to leasehold improvements, furniture and fixtures, computer hardware and operating lease assets at certain DKNY, Karl Lagerfeld and Vilebrequin stores as a result of the performance of these stores.

NOTE 5 – LEASES

The Company leases retail stores, warehouses, distribution centers, office space and certain equipment. Leases with an initial term of 12 months or less are not recorded on the balance sheet. The Company recognizes lease expense for these leases on a straight-line basis over the lease term.

Most leases are for a term of one to ten years. Some leases include one or more options to renew, with renewal terms that can extend the lease term from one to ten years. Several of the Company’s retail store leases include an option to terminate the lease based on failure to achieve a specified sales volume. The exercise of lease renewal options is generally at the

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Company’s sole discretion. The exercise of lease termination options is generally by mutual agreement between the Company and the lessor.

Certain of the Company’s lease agreements include rental payments based on a percentage of retail sales over contractual levels and others include rental payments adjusted periodically for inflation. The Company’s leases do not contain any material residual value guarantees or material restrictive covenants.

The Company’s operating lease assets and liabilities as of October 31, 2024, October 31, 2023 and January 31, 2024 consist of the following:



Leases	Classification	October 31, 2024		October 31, 2023		January 31, 2024

		(In thousands)
Assets
Operating	Operating lease assets	$	286,232	$	221,474	$	216,886

Liabilities
Current operating	Current operating lease liabilities	$	55,479	$	55,897	$	56,587
Noncurrent operating	Noncurrent operating lease liabilities		246,834		183,522		178,247
Total lease liabilities		$	302,313	$	239,419	$	234,834

The Company’s operating lease assets and operating lease liabilities increased during fiscal 2025 primarily due to the renewal of the Company’s corporate office lease. The Company recorded lease costs of $19.0 million and $55.2 million during the three and nine months ended October 31, 2024. The Company recorded lease costs of $18.1 million and $55.1 million during the three and nine months ended October 31, 2023. Lease costs are recorded within selling, general and administrative expenses in the Company’s condensed consolidated statements of operations and comprehensive income. The Company recorded variable lease costs and short-term lease costs of $5.0 million and $16.1 million for the three and nine months ended October 31, 2024. The Company recorded variable lease costs and short-term lease costs of $6.7 million and $18.1 million for the three and nine months ended October 31, 2023. Short-term lease costs are immaterial.

As of October 31, 2024, the Company’s maturity of operating lease liabilities in the years ending up to January 31, 2029 and thereafter are as follows:


Year Ending January 31,	Amount
	(In thousands)
2025	$	18,641
2026		72,868
2027		61,177
2028		51,862
2029		42,716
After 2029		130,897
Total lease payments	$	378,161
Less: Interest		75,848
Present value of lease liabilities	$	302,313

As of October 31, 2024, there are no material leases that are legally binding but have not yet commenced.

As of October 31, 2024, the weighted average remaining lease term related to operating leases is 6.7 years. The weighted average discount rate related to operating leases is 6.8%.

Cash paid for amounts included in the measurement of operating lease liabilities was $58.9 million and $53.2 million during the nine months ended October 31, 2024 and 2023, respectively. Right-of-use assets obtained in exchange for lease obligations were $108.7 million and $26.8 million during the nine months ended October 31, 2024 and 2023, respectively.

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NOTE 6 – NET INCOME PER COMMON SHARE

Basic net income per common share has been computed using the weighted average number of common shares outstanding during each period. Diluted net income per share, when applicable, is computed using the weighted average number of common shares and potential dilutive common shares, consisting of unvested restricted stock unit awards outstanding during the period. There were no shares of common stock excluded from the diluted net income per share calculation for the three and nine months ended October 31, 2024. Approximately 8,200 and 59,200 shares of common stock have been excluded from the diluted net income per share calculation for the three and nine months ended October 31, 2023. All share-based payments outstanding that vest based on the achievement of performance conditions, and for which the respective performance conditions have not been achieved, have been excluded from the diluted per share calculation.

The following table reconciles the numerators and denominators used in the calculation of basic and diluted net income per share:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2024		2023		2024		2023

	(In thousands, except share and per share amounts)
Net income attributable to G-III Apparel Group, Ltd.	$	114,768	$	127,640	$	144,782	$	147,314
Basic net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Basic net income per share	$	2.62	$	2.79	$	3.24	$	3.21

Diluted net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Dilutive restricted stock unit awards and stock options		1,069		837		1,079		1,088
Diluted common shares		44,954		46,560		45,719		46,992
Diluted net income per share	$	2.55	$	2.74	$	3.17	$	3.13

NOTE 7 – NOTES PAYABLE

Long-term debt consists of the following:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Secured Notes	$	—	$	400,000	$	400,000
Revolving credit facility		210,055		—		—
LVMH Note		—		50,000		—
Unsecured loans		7,326		9,097		8,791
Overdraft facilities		4,608		1,872		2,651
Foreign credit facility		2,186		4,161		8,939
Subtotal		224,175		465,130		420,381
Less: Net debt issuance costs ⁽¹⁾		—		(2,972)		(2,548)
Debt discount		—		(213)		—
Current portion of long-term debt		(10,277)		(59,099)		(15,026)
Total	$	213,898	$	402,846	$	402,807

(1)

Does not include debt issuance costs, net of amortization, totaling $5.2 million, $2.8 million and $2.4 million as of October 31, 2024, October 31, 2023 and January 31, 2024, respectively, related to the revolving credit facility. These debt issuance costs have been deferred and are classified in assets in the accompanying condensed consolidated balance sheets in accordance with ASC 835.

Senior Secured Notes

The Company had previously completed a private debt offering of $400 million aggregate principal amount of the Notes.

In August 2024, the Company used cash on hand and borrowings from its revolving credit facility to make a $400.7 million payment to voluntarily redeem the entire $400 million principal amount of the Notes at a redemption price equal to 100%

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of the principal amount of the Notes plus accrued and unpaid interest. At the date of redemption, the Company had unamortized debt issuance costs of $1.6 million associated with the Notes. These debt issuance costs were fully extinguished and charged to interest expense in the Company’s results of operations.

Third Amended and Restated ABL Credit Agreement

On June 4, 2024, the Company’s subsidiaries, G-III Leather Fashions, Inc., Riviera Sun, Inc., AM Retail Group, Inc. and The Donna Karan Company Store LLC (collectively, the “Borrowers”), entered into the third amended and restated credit agreement (the “Third ABL Credit Agreement”) with the lenders named therein and with JPMorgan Chase Bank, N.A., as administrative agent. The Third ABL Credit Agreement is a five-year senior secured asset-based revolving credit facility providing for borrowings in an aggregate principal amount of up to $700 million. The Company and certain of its wholly-owned domestic subsidiaries, as well as G-III Apparel Canada ULC (collectively, the “Guarantors”), are guarantors under the Third ABL Credit Agreement.

The Third ABL Credit Agreement amends and restates the Second Amended Credit Agreement, dated as of August 7, 2020 (as amended, supplemented or otherwise modified from time to time prior to June 4, 2024, the “Second Credit Agreement”), by and among the Borrowers and the Guarantors, the lenders from time-to-time party thereto, and JPMorgan Chase Bank, N.A., in its capacity as the administrative agent thereunder. The Second Credit Agreement provided for borrowings of up to $650 million and was due to expire on August 7, 2025. The Third ABL Credit Agreement extends the maturity date to June 2029, subject to a springing maturity date as defined within the credit agreement.

Amounts available under the Third ABL Credit Agreement are subject to borrowing base formulas and overadvances as specified in the Third ABL Credit Agreement. Borrowings bear interest, at the Borrowers’ option, at Adjusted Term Secured Overnight Financing Rate (“SOFR”) plus a margin of 1.50% to 2.00%, or the alternate base rate plus a margin of 0.50% to 1.00% (defined as the greatest of (i) the “prime rate” of JPMorgan Chase Bank, N.A. from time to time, (ii) the federal funds rate plus 0.5% and (iii) SOFR for a borrowing with an interest period of one month plus 1.00%), with the applicable margin determined based on the Borrowers’ average daily availability under the Third ABL Credit Agreement. As of October 31, 2024, interest under the Third ABL Credit Agreement was being paid at an average rate of 6.57% per annum.

The Third ABL Credit Agreement is secured by specified assets of the Borrowers and the Guarantors. In addition to paying interest on any outstanding borrowings under the Third ABL Credit Agreement, the Company is required to pay a commitment fee to the lenders under the credit agreement with respect to the unutilized commitments. The commitment fee accrues at a tiered rate equal to 0.375% per annum on the average daily amount of the available commitments when the average usage is less than 50% of the total available commitments and decreases to 0.25% per annum on the average daily amount of the available commitments when the average usage is greater than or equal to 50% of the total available commitments.

The Third ABL Credit Agreement contains covenants that, among other things, restrict the Company’s ability to, subject to specified exceptions, incur additional debt; incur liens; sell or dispose of certain assets; merge with other companies; liquidate or dissolve the Company; acquire other companies; make loans, advances, or guarantees; and make certain investments. In certain circumstances, the revolving credit facility also requires the Company to maintain a fixed charge coverage ratio, as defined in the agreement, not less than 1.00 to 1.00 for each period of twelve consecutive fiscal months of the Company. As of October 31, 2024, the Company was in compliance with these covenants.

As of October 31, 2024, the Company had $210.1 million borrowings outstanding under the Third ABL Credit Agreement. The Third ABL Credit Agreement also includes amounts available for letters of credit. As of October 31, 2024, there were outstanding trade and standby letters of credit amounting to $6.2 million and $2.9 million, respectively.

At the date of the refinancing of the Second ABL Credit Agreement, the Company had $1.9 million of unamortized debt issuance costs remaining from the Second ABL Credit Agreement. There was no extinguishment of any amount of the unamortized debt issuance costs remaining from the Second ABL Credit Agreement. The Company incurred new debt issuance costs totaling $3.8 million related to the Third ABL Credit Agreement. The Company has a total of $5.6 million debt issuance costs related to its Third ABL Credit Agreement. As permitted under ASC 835, the debt issuance costs have been deferred and are presented as an asset which is amortized ratably over the term of the Third ABL Credit Agreement.

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LVMH Note

As a portion of the consideration for the acquisition of DKNY and Donna Karan, the Company issued to LVMH a junior lien secured promissory note in the principal amount of $125.0 million that bore interest at the rate of 2% per year. $75.0 million of the principal amount of the LVMH Note was paid on June 1, 2023 and the remaining $50.0 million of such principal amount was paid on December 1, 2023.

ASC 820 required the LVMH Note to be recorded at fair value at issuance. As a result, the Company recorded a $40.0 million debt discount. This discount was amortized as interest expense using the effective interest method over the term of the LVMH Note.

Unsecured Loans

Several of the Company’s foreign entities borrow funds under various unsecured loans of which a portion is to provide funding for operations in the normal course of business while other loans are European state backed loans as part of COVID-19 relief programs. In the aggregate, the Company is currently required to make quarterly installment payments of principal in the amount of €0.6 million under these loans. Interest on the outstanding principal amount of the unsecured loans accrues at a fixed rate equal to 0% to 5.0% per annum, payable on either a quarterly or monthly basis. As of October 31, 2024, the Company had an aggregate outstanding balance of €6.0 million ($7.3 million) under these unsecured loans.

Overdraft Facilities

During fiscal 2021 and 2025, certain of the Company’s foreign entities entered into overdraft facilities that allow for applicable bank accounts to be in a negative position up to a certain maximum overdraft. These uncommitted overdraft facilities with HSBC Bank allow for an aggregate maximum overdraft of €10 million. Interest on drawn balances accrues at a rate equal to the Euro Interbank Offered Rate plus a margin of 1.75% per annum, payable quarterly. The facility may be cancelled at any time by the Company or HSBC Bank. As part of a COVID-19 relief program, certain of the Company’s foreign entities entered into several state backed overdraft facilities with UBS Bank in Switzerland for an aggregate of CHF 4.7 million at varying interest rates of 0% to 0.5%. As of October 31, 2024, the Company had an aggregate of €4.1 million ($4.6 million) drawn under these various facilities.

Foreign Credit Facility

KLH has a credit agreement with ABN AMRO Bank N.V. with a credit limit of €15.0 million which is secured by specified assets of KLH. Borrowings bear interest at the Euro Interbank Offered Rate plus a margin of 1.7%. As of October 31, 2024, KLH had an aggregate outstanding balance of €2.0 million ($2.2 million) borrowings outstanding under this credit facility.

NOTE 8 – REVENUE RECOGNITION

Disaggregation of Revenue

In accordance with ASC 606 – Revenue from Contracts with Customers, the Company discloses its revenues by segment. Each segment presents its own characteristics with respect to the timing of revenue recognition and the type of customer. In addition, disaggregating revenues using a segment basis is consistent with how the Company’s Chief Operating Decision Maker manages the Company. The Company has identified the wholesale operations segment and the retail operations segment as distinct sources of revenue.

Wholesale Operations Segment. Wholesale revenues include sales of products to retailers under owned, licensed and private label brands, as well as sales related to the Vilebrequin and Karl Lagerfeld businesses, including from retail stores operated by Vilebrequin and Karl Lagerfeld, other than sales of product under the Karl Lagerfeld Paris brand generated by the Company’s retail stores and digital outlets. Wholesale revenues from sales of products are recognized when control transfers to the customer. The Company considers control to have been transferred when the Company has transferred physical possession of the product, the Company has a right to payment for the product, the customer has legal title to the product and the customer has the significant risks and rewards of the product. Wholesale revenues are adjusted by variable

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consideration arising from implicit or explicit obligations. Wholesale revenues also include revenues from license agreements related to the DKNY, Donna Karan, Karl Lagerfeld, G.H. Bass, Andrew Marc, Vilebrequin and Sonia Rykiel trademarks owned by the Company.

Retail Operations Segment. Retail store revenues are generated by direct sales to consumers through Company-operated stores and product sales through the Company’s digital channels for the DKNY, Donna Karan, Karl Lagerfeld Paris, G.H. Bass and Wilsons Leather businesses. Retail stores primarily consist of DKNY and Karl Lagerfeld Paris retail stores, substantially all of which are operated as outlet stores. Retail operations segment revenues are recognized at the point of sale when the customer takes possession of the goods and tenders payment. Digital revenues primarily consist of sales to consumers through the Company’s digital platforms. Digital revenue is recognized when a customer takes possession of the goods. Retail sales are recorded net of applicable sales tax.

Contract Liabilities

The Company’s contract liabilities, which are recorded within accrued expenses in the accompanying condensed consolidated balance sheets, primarily consist of gift card liabilities and advance payments from licensees. In some of its retail concepts, the Company also offers a limited loyalty program where customers accumulate points redeemable for cash discount certificates that expire 90 days after issuance. Total contract liabilities were $4.6 million, $3.3 million and $5.2 million at October 31, 2024, October 31, 2023 and January 31, 2024, respectively. The Company recognized $3.6 million in revenue for the three months ended October 31, 2024 related to contract liabilities that existed at July 31, 2024. The Company recognized $4.5 million in revenue for the nine months ended October 31, 2024 related to contract liabilities that existed at January 31, 2024. There were no contract assets recorded as of October 31, 2024, October 31, 2023 and January 31, 2024. Substantially all of the advance payments from licensees as of October 31, 2024 are expected to be recognized as revenue within the next twelve months.

NOTE 9 – SEGMENTS

The Company’s reportable segments are business units that offer products through different channels of distribution. The Company has two reportable segments: 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, including from retail stores operated by Vilebrequin and Karl Lagerfeld, other than sales of product under the Karl Lagerfeld Paris brand generated by the Company’s retail stores and digital outlets. Wholesale revenues also include royalty revenues from license agreements related to the DKNY, Donna Karan, Karl Lagerfeld, Vilebrequin, G.H. Bass, Andrew Marc and Sonia Rykiel trademarks owned by the Company. The retail operations segment consists primarily of direct sales to consumers through Company-operated stores, which consists primarily of DKNY and Karl Lagerfeld Paris stores, as well as the digital channels for DKNY, Donna Karan, Karl Lagerfeld Paris, G.H. Bass and Wilsons Leather. Substantially all DKNY and Karl Lagerfeld Paris stores are operated as outlet stores.

The following segment information is presented for the three and nine month periods indicated below:


	Three Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,066,635	$	42,333	$	(22,209)	$	1,086,759
Cost of goods sold		656,659		20,178		(22,209)		654,628
Gross profit		409,976		22,155		—		432,131
Selling, general and administrative expenses		235,628		23,612		—		259,240
Depreciation and amortization		5,674		882		—		6,556
Operating profit (loss)	$	168,674	$	(2,339)	$	—	$	166,335

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	Three Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,054,303	$	32,711	$	(19,904)	$	1,067,110
Cost of goods sold		636,961		16,640		(19,904)		633,697
Gross profit		417,342		16,071		—		433,413
Selling, general and administrative expenses		213,263		23,045		—		236,308
Depreciation and amortization		5,475		1,120		—		6,595
Asset impairments		222		—		—		222
Operating profit (loss)	$	198,382	$	(8,094)	$	—	$	190,288


	Nine Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,284,710	$	110,060	$	(53,509)	$	2,341,261
Cost of goods sold		1,374,544		53,328		(53,509)		1,374,363
Gross profit		910,166		56,732		—		966,898
Selling, general and administrative expenses		658,645		66,246		—		724,891
Depreciation and amortization		17,113		3,591		—		20,704
Operating profit (loss)	$	234,408	$	(13,105)	$	—	$	221,303


	Nine Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,280,391	$	97,268	$	(44,199)	$	2,333,460
Cost of goods sold		1,369,315		48,478		(44,199)		1,373,594
Gross profit		911,076		48,790		—		959,866
Selling, general and administrative expenses		633,841		69,635		—		703,476
Depreciation and amortization		16,247		2,883		—		19,130
Asset impairments		222		—		—		222
Operating profit (loss)	$	260,766	$	(23,728)	$	—	$	237,038

(1)Represents intersegment sales to the Company’s retail operations segment.

The total net sales by licensed and proprietary product sales for each of the Company’s reportable segments are as follows:


	Three Months Ended				Nine Months Ended
	October 31, 2024		October 31, 2023		October 31, 2024		October 31, 2023

	(In thousands)
Licensed brands	$	560,780	$	625,231	$	1,109,630	$	1,261,894
Proprietary brands		505,855		429,072		1,175,080		1,018,497
Wholesale net sales	$	1,066,635	$	1,054,303	$	2,284,710	$	2,280,391

Licensed brands	$	—	$	—	$	—	$	—
Proprietary brands		42,333		32,711		110,060		97,268
Retail net sales	$	42,333	$	32,711	$	110,060	$	97,268

The total assets for each of the Company’s reportable segments, as well as assets not allocated to a segment, are as follows:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Wholesale	$	1,611,042	$	1,700,179	$	1,562,203
Retail		115,505		120,080		104,272
Corporate		1,057,064		929,074		1,014,689
Total assets	$	2,783,611	$	2,749,333	$	2,681,164

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NOTE 10 – STOCKHOLDERS’ EQUITY

For the three months ended October 31, 2024, the Company issued no shares of common stock and utilized no shares of treasury stock in connection with the vesting of equity awards. For the three months ended October 31, 2023, the Company issued no shares of common stock and utilized 4,354 shares of treasury stock in connection with the vesting of equity awards. For the nine months ended October 31, 2024, the Company issued no shares of common stock and utilized 366,714 shares of treasury stock in connection with the vesting of equity awards. For the nine months ended October 31, 2023, the Company issued no shares of common stock and utilized 608,325 shares of treasury stock in connection with the vesting of equity awards.

NOTE 11 – FABCO

On April 17, 2024, the Company acquired from Amlon Capital B.V. (“Amlon”) the remaining 25% interest in Fabco that it did not previously own for $0.2 million. Additionally, at the date of the transaction, there were $1.2 million of payables due from Fabco to Amlon. As settlement of a portion of the outstanding payables, the Company issued a non-interest bearing promissory note to Amlon in the principal amount of $0.6 million of which $0.4 million of the principal amount is due and payable on April 17, 2025 and $0.2 million of the principal amount is due and payable on April 17, 2026. The promissory note is classified in notes payable in the Company’s condensed consolidated balance sheet as of October 31, 2024. The remaining $0.6 million of payables due to Amlon was forgiven, resulting in the Company recognizing a gain of $0.6 million within other income (loss) in the Company’s condensed consolidated statements of income and comprehensive income.

Since the Company controlled Fabco prior to this transaction and continues to control Fabco after the transaction, the Company accounted for the change in its ownership interest in Fabco as an equity transaction, which was reflected as a reduction of the noncontrolling interest with a corresponding decrease to additional paid in capital as a result of losses incurred by Fabco. No gain or loss was recognized in the Company’s condensed consolidated statements of income and comprehensive income as a result of this transaction.

NOTE 12 – AWWG INVESTMENT

In May 2024, the Company acquired a 12.1% minority interest in AWWG for €50 million ($53.6 million). AWWG is a global fashion group and premier platform for international brands. AWWG owns a portfolio of brands including Hackett, Pepe Jeans and Façonnable. This investment is intended to leverage AWWG’s expertise and provide for synergies to support the Company’s international expansion priority through the development of its operational platform in Europe.

In July 2024, the Company acquired an additional 6.6% minority interest in AWWG for €27.1 million ($29.1 million), increasing its total ownership interest to 18.7%. The investment in AWWG is owned by G-III Foreign Holdings B.V., a wholly-owned subsidiary of the Company. G-III Foreign Holdings B.V. reports results on a calendar year basis rather than on the January 31 fiscal year basis used by the Company.

Prior to the additional investment made in July 2024, the Company accounted for its investment in AWWG using the cost method and the investment was classified in other assets, net in the Company’s condensed consolidated balance sheet. As of the date of the additional investment made in July 2024, the Company determined it has significant influence in accordance with ASC 323 and, as a result, converted the accounting for the investment from the cost method to the equity method of accounting. The investment is classified in investments in unconsolidated affiliates in the Company’s condensed consolidated balance sheet as of October 31, 2024.

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NOTE 13 – RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

Recently Adopted Accounting Guidance

There was no accounting guidance adopted during the three months ended October 31, 2024.

Issued Accounting Guidance Being Evaluated for Adoption

In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures”. The ASU expands the scope and frequency of segment disclosures and introduces the concept of a “significant expense principle,” which requires entities to disclose significant expense categories and amounts that are regularly provided to the chief operating decision maker (“CODM”) and included within the reported measure of a segment’s profit or loss. The ASU also changes current disclosure requirements by allowing entities to report multiple measures of a segment’s profit or loss, provided the reported measures are used by the CODM to assess performance and allocate resources and that the measure closest to GAAP is also provided. Finally, the ASU requires all segment profit or loss and assets disclosures to be provided on both an annual and interim basis and requires entities to disclose the title and position of the individual identified as the CODM. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024 and shall be applied retrospectively to all periods presented in the financial statements. The Company is currently evaluating the standard and determining the extent of additional interim and annual segment disclosures that may be required.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The ASU requires public companies to disclose, on an annual basis, a tabular reconciliation of the effective tax rate to the statutory rate for federal, state and foreign income taxes. It also requires greater detail about individual reconciling items in the rate reconciliation to the extent the impact of those items exceeds a specified threshold. In addition, the ASU requires public companies to disclose their income tax payments (net of refunds received), disaggregated between federal, state/local and foreign jurisdictions. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the standard and determining the extent of additional disclosures that may be required.

In November 2024, the FASB issued ASU 2024-03, “Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses”. The ASU requires public entities to disclose more detailed information about certain costs and expenses presented in the income statement, including inventory purchases, employee compensation, selling expenses, depreciation and intangible asset amortization. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027, with early adoption permitted. The amendments in this ASU should be applied prospectively; however, retrospective application is permitted. The Company is currently evaluating the impact of ASU 2024-03 on its consolidated financial statements and related disclosures.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Unless the context otherwise requires, “G-III,” “us,” “we” and “our” refer to G-III Apparel Group, Ltd. and its subsidiaries. References to fiscal years refer to the year ended or ending on January 31 of that year. For example, our fiscal year ending January 31, 2025 is referred to as “fiscal 2025.”

KLH, Vilebrequin, Sonia Rykiel, Fabco and AWWG report results on a calendar year basis rather than on the January 31 fiscal year basis used by G-III. Accordingly, the results of KLH, Vilebrequin, Sonia Rykiel, Fabco and AWWG are included in the financial statements for the quarter ended or ending closest to G-III’s fiscal quarter end. For example, with respect to our results for the nine-month period ended October 31, 2024, the results of KLH, Vilebrequin, Sonia Rykiel, Fabco and AWWG are included for the nine-month period ended September 30, 2024. Our retail operations segment uses a 52/53-week fiscal year. For fiscal 2025 and 2024, the three and nine-month periods for the retail operations segment were each 13-week and 39-week periods and ended on November 2, 2024 and October 28, 2023, respectively.

Various statements contained in this Form 10-Q, in future filings by us with the SEC, in our press releases and in oral statements made from time to time by us or on our behalf constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on current expectations and are indicated by words or phrases such as “anticipate,” “estimate,” “expect,” “will,” “project,” “we believe,” “is or remains optimistic,” “currently envisions,” “forecasts,” “goal” and similar words or phrases and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from the future results, performance or achievements expressed in or implied by such forward-looking statements. Forward-looking statements also include representations of our expectations or beliefs concerning future events that involve risks and uncertainties, including, but not limited to, the following:

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the failure to maintain our material license agreements could cause us to lose significant revenues and have a material adverse effect on our results of operations;

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unless we are able to increase the sales of our other products, acquire new businesses and/or enter into other license agreements covering different products, the limited extension period of the amended Calvin Klein and Tommy Hilfiger license agreements could cause a significant decrease in our net sales and have a material adverse effect on our results of operations;

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any adverse change in our relationship with PVH Corp. and its Calvin Klein or Tommy Hilfiger brands would have a material adverse effect on our results of operations;

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our dependence on the strategies and reputation of our licensors;

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risks relating to our wholesale operations including, among others, maintaining the image of our proprietary brands and business practices of our customers that could adversely affect us;

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our significant customer concentration, and the risk that the loss of one of our largest customers could adversely affect our business;

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risks relating to our retail operations segment;

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our ability to achieve operating enhancements and cost reductions from our retail operations;

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dependence on existing management;

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our ability to make strategic acquisitions and possible disruptions from acquisitions, including our ownership of the entire Karl Lagerfeld business, and the risks associated with such acquisitions on our ability to maintain an effective internal control environment;

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need for additional financing;

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seasonal nature of our business and effect of unseasonable or extreme weather on our business;

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possible adverse effects from disruptions to the worldwide supply chain;

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price, availability and quality of materials used in our products;

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the need to protect our trademarks and other intellectual property;

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risk that our licensees may not generate expected sales or maintain the value of our brands;

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the impact of the current economic and credit environment on us, our customers, suppliers and vendors, including without limitation, the effects of inflationary cost pressures and higher interest rates;

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effects of war, acts of terrorism, natural disasters or public health crises could adversely affect our business and results of operations, including the wars in Ukraine and the Middle East;

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our dependence on foreign manufacturers;

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risks of expansion into foreign markets, conducting business internationally and exposures to foreign currencies;

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risks related to the implementation of the national security law in Hong Kong;

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the need to successfully upgrade, maintain and secure our information systems;

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increased exposure to consumer privacy, cybersecurity and fraud concerns, including as a result of a remote working environment;

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possible adverse effects of data security or privacy breaches;

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the impact on our business of the imposition of tariffs by the United States government and the escalation of trade tensions between countries;

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changes in tax legislation or exposure to additional tax liabilities that could impact our business;

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the effect of regulations applicable to us as a U.S. public company;

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focus on corporate responsibility issues by stakeholders;

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potential effect on the price of our stock if actual results are worse than financial forecasts or if we are unable to provide financial forecasts;

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fluctuations in the price of our common stock;

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impairment of our trademarks or other intangibles may require us to record charges against earnings; and

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risks related to our indebtedness.

Any forward-looking statements are based largely on our expectations and judgments and are subject to a number of risks and uncertainties, many of which are unforeseeable and beyond our control. A detailed discussion of significant risk factors that have the potential to cause our actual results to differ materially from our expectations is described under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended January 31, 2024. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Overview

G-III designs, sources and markets an extensive range of apparel, including outerwear, dresses, sportswear, swimwear, women’s suits and women’s performance wear, as well as women’s handbags, footwear, small leather goods, cold weather accessories and luggage. G-III has a substantial portfolio of more than 30 licensed and proprietary brands, anchored by our key brands: DKNY, Donna Karan, Karl Lagerfeld, Nautica and Halston, as well as other major brands that currently drive our business, including Calvin Klein and Tommy Hilfiger. We distribute our products through multiple channels and in markets located in a variety of geographies.

Our own proprietary brands include DKNY, Donna Karan, Karl Lagerfeld, Karl Lagerfeld Paris, Vilebrequin, G.H. Bass, Eliza J, Jessica Howard, Andrew Marc, Marc New York, Wilsons Leather and Sonia Rykiel. We have an extensive portfolio of well-known licensed brands, including Calvin Klein, Tommy Hilfiger, Nautica, Halston, Levi’s, Kenneth Cole, Cole Haan, Vince Camuto, Dockers, Champion, Converse and BCBG. Through our team sports business, we have licenses with the National Football League, National Basketball Association, Major League Baseball, National Hockey League and over 150 U.S. colleges and universities. We also source and sell products to major retailers for their own private label programs.

Our products are sold through a cross section of leading retailers such as Macy’s, including its Bloomingdale’s division, Dillard’s, Hudson’s Bay Company, including its Saks Fifth Avenue division, Nordstrom, Kohl’s, TJX Companies, Ross Stores, Burlington and Costco. We also sell our products using digital channels through retail partners such as macys.com, nordstrom.com and dillards.com, each of which operates significant digital businesses. In addition, we sell to leading online retail partners such as Amazon, Fanatics, Zalando and Zappos.

We also distribute apparel and other products directly to consumers through our own DKNY, Karl Lagerfeld, Karl Lagerfeld Paris and Vilebrequin retail stores, as well as through our digital sites for our DKNY, Donna Karan, Karl Lagerfeld, Karl Lagerfeld Paris, Vilebrequin, G.H. Bass, Wilsons Leather and Sonia Rykiel brands.

We operate in fashion markets that are intensely competitive. Our ability to continuously evaluate and respond to changing consumer demands and tastes, across multiple market segments, distribution channels and geographic areas is critical to our success. Although our portfolio of brands is aimed at diversifying our risks in this regard, misjudging shifts in consumer preferences could have a negative effect on our business. Our continued success depends on our ability to design products

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that are accepted in the marketplace, source the manufacture of our products on a competitive basis and continue to diversify our product portfolio and the markets we serve.

We believe that consumers prefer to buy brands they know, and we have continually sought to increase the portfolio of name brands we can offer through different tiers of retail distribution, for a wide array of products at a variety of price points. We have increased the portfolio of brands we offer through licenses, acquisitions and joint ventures. It is our objective to continue to expand our product offerings and we are continually discussing new licensing opportunities with brand owners and seeking to acquire established brands.

Recent Developments

Repositioning and Expansion of Donna Karan

We acquired the DKNY and Donna Karan brands, two of the most iconic American fashion brands, in December 2016. We initially repositioned and relaunched DKNY and we have successfully grown the brand. In February 2024, we relaunched the Donna Karan brand with new designs supported by a powerful ad campaign and an updated digital experience. Our new Donna Karan product is currently being distributed in the United States through our diversified distribution network, including better department stores, digital channels and our own Donna Karan website.

We intend to continue to focus on several initiatives to continue the momentum and invest in marketing to further drive awareness of the Donna Karan brand, as well as to expand the brand into complementary categories through licensing. Donna Karan is widely considered to be a top fashion brand and is recognized as one of the most famous designer names in American fashion. We believe that the strength of the Donna Karan brand, along with our success with the DKNY brand, demonstrates the potential for our new Donna Karan products.

Investment in AWWG

In May 2024, we acquired a 12.1% minority interest in AWWG Investments B.V. (“AWWG”) for €50 million ($53.6 million). AWWG is a global fashion group and premier platform for international brands. AWWG owns a portfolio of brands including Hackett, Pepe Jeans and Façonnable. In July 2024, we acquired an additional 6.6% minority interest in AWWG for €27.1 million ($29.1 million), increasing our total ownership interest to approximately 18.7%. This investment is intended to leverage AWWG’s expertise and provide for synergies to support our international expansion priority through the development of our operational platform in Europe.

License Agreements

In fiscal 2025, we entered into license agreements for (i) men’s and women’s apparel under the Converse brand and (ii) women’s apparel under the BCBG brand. In fiscal 2024, we entered into license agreements (i) for women’s apparel under the Nautica brand, (ii) to design and produce all categories of men’s and women’s product for the Halston brand and (iii) to design and produce men’s and women’s outerwear collections for the Champion brand.

Each of these license agreements include an initial term of five-years with certain renewal options. The products produced under these license agreements is distributed, or expected to be distributed, in North America through our diversified distribution network, including better department stores, digital channels, as well as other channels. Additionally, our Halston and Converse product is expected to be distributed globally. First deliveries of our Converse and BCBG products are expected to begin in Fall 2025. First deliveries of our Nautica product began in Spring 2024, and Halston and Champion product began in Fall 2024.

We believe that significant opportunity exists in the categories subject to these license agreements where we have strong expertise, and the products produced, or expected to be produced, under these license agreements align with G-III’s core competencies.

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Third Amended and Restated ABL Credit Agreement

In June 2024, our subsidiaries, G-III Leather Fashions, Inc., Riviera Sun, Inc., AM Retail Group, Inc. and The Donna Karan Company Store LLC (collectively, the “Borrowers”), entered into the third amended and restated credit agreement (the “Third ABL Credit Agreement”) with the lenders named therein and with JPMorgan Chase Bank, N.A., as administrative agent. The Third ABL Credit Agreement is a five-year senior secured asset-based revolving credit facility providing for borrowings in an aggregate principal amount of up to $700 million. We and certain of our wholly-owned domestic subsidiaries, as well as G-III Apparel Canada ULC (collectively, the “Guarantors”), are guarantors under the Third ABL Credit Agreement.

Amounts available under the Third ABL Credit Agreement are subject to borrowing base formulas and overadvances as specified in the Third ABL Credit Agreement. Borrowings bear interest, at the Borrowers’ option, at Adjusted Term Secured Overnight Financing Rate (“SOFR”) plus a margin of 1.50% to 2.00%, or the alternate base rate plus a margin of 0.50% to 1.00% (defined as the greatest of (i) the “prime rate” of JPMorgan Chase Bank, N.A. from time to time, (ii) the federal funds rate plus 0.5% and (iii) SOFR for a borrowing with an interest period of one month plus 1.00%), with the applicable margin determined based on the Borrowers’ average daily availability under the Third ABL Credit Agreement. The Third ABL Credit Agreement is secured by specified assets of the Borrowers and the Guarantors.

Senior Secured Notes Redemption

In August 2024, we used cash on hand and borrowings from our revolving credit facility to make a $400.7 million payment to voluntarily redeem the entire $400 million principal amount of our 7.875% Senior Secured Notes due August 2025 (the “Notes”) at a redemption price equal to 100% of the principal amount of the Notes plus accrued and unpaid interest.

Segments

We report based on two segments: wholesale operations and retail operations.

Our wholesale operations segment includes sales of products to retailers under owned, licensed and private label brands, as well as sales related to the Karl Lagerfeld and Vilebrequin businesses, including from retail stores operated by Vilebrequin and Karl Lagerfeld, other than sales of product under the Karl Lagerfeld Paris brand generated by our retail stores and digital sites. Wholesale revenues also include royalty revenues from license agreements related to our owned trademarks including DKNY, Donna Karan, Karl Lagerfeld, G.H. Bass, Andrew Marc, Vilebrequin and Sonia Rykiel.

Our retail operations segment consists primarily of direct sales to consumers through our company-operated stores and product sales through our digital sites for the DKNY, Donna Karan, Karl Lagerfeld Paris, G.H. Bass and Wilsons Leather brands. Our company-operated stores primarily consist of DKNY and Karl Lagerfeld Paris retail stores, substantially all of which are operated as outlet stores.

Trends Affecting Our Business

Industry Trends

Significant trends that affect the apparel industry include retail chains closing unprofitable stores, an increased focus by retail chains and others on expanding digital sales and providing convenience-driven fulfillment options, the continued consolidation of retail chains and the desire on the part of retailers to consolidate vendors supplying them.

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We distribute our products through multiple channels, including online through retail partners such as macys.com, nordstrom.com and dillards.com, each of which has a substantial online business. As sales of apparel through digital channels continue to increase, we are developing additional digital marketing initiatives on both our web sites and third party web sites and through social media. We are investing in digital personnel, marketing, logistics, planning, distribution and other strategic opportunities to expand our digital footprint. Our digital business consists of our own web platforms at www.dkny.com, www.donnakaran.com, www.ghbass.com, www.vilebrequin.com, www.wilsonsleather.com, www.soniarykiel.com, www.karllagerfeldparis.com and www.karl.com. In addition, we sell to leading online retail partners such as Amazon, Fanatics, Zalando and Zappos.

A number of retailers have experienced financial difficulties, which in some cases have resulted in bankruptcies, liquidations and/or store closings. The financial difficulties of a retail customer of ours could result in reduced business with that customer. We may also assume higher credit risk relating to receivables of a retail customer experiencing financial difficulty that could result in higher reserves for doubtful accounts or increased write-offs of accounts receivable. We attempt to mitigate credit risk from our customers by closely monitoring accounts receivable balances and shipping levels, as well as the ongoing financial performance and credit standing of customers.

Retailers are seeking to differentiate their offerings by devoting more resources to the development of exclusive products, whether by focusing on their own private label products or on products produced exclusively for a retailer by a national brand manufacturer. Exclusive brands are only made available to a specific retailer. As a result, customers loyal to their brands can only find them in the stores of that retailer.

We have attempted to respond to general trends in our industry by continuing to focus on selling products with recognized brand equity, by attention to design, quality and value and by improving our sourcing capabilities. We have also responded with the strategic acquisitions made by us, such as our purchase of the interests not previously owned by us that resulted in Karl Lagerfeld becoming our wholly-owned subsidiary, new license agreements entered into by us, such as our recent license agreements for the Nautica, Halston, Champion and Converse brands and investments to accelerate our strategic priorities, such as our investment in AWWG. Our actions added to our portfolio of licensed and proprietary brands and helped diversify our business by adding new product lines and expanding distribution channels. We believe that our broad distribution capabilities help us to respond to the various shifts by consumers between distribution channels and that our operational capabilities will enable us to continue to be a vendor of choice for our retail partners.

Political Environment

In November 2024, the U.S. presidential election resulted in the election of a new president and administration that will take effect in January 2025. The potential impact of new policies that may be implemented as a result of the new administration is currently uncertain. Any resulting changes in international trade relations, legislation and regulations (including those related to taxation and importation), economic and monetary policies, heightened diplomatic tensions or political and civil unrest, among other potential impacts, could adversely impact the global economy and our operating results.

Tax Laws and Regulations

In December 2022, the Council of the European Union (“EU”) announced that EU member states reached an agreement to implement the minimum tax component of the Organization for Economic Co-operation and Development’s international tax reform initiative, known as Pillar Two. The Pillar Two Model Rules provide for a global minimum tax of 15% for multinational enterprise groups, and is effective for fiscal 2025. While we do not expect these rules to have a material impact on our effective tax rate or financial results, we will continue to monitor evolving tax legislation in the jurisdictions in which we operate.

In August 2022, the Inflation Reduction Act of 2022 (“IRA”) was signed into law which contains several tax-related provisions. Among other effects, the IRA created an excise tax of 1% on stock repurchases by publicly traded U.S. corporations effective after December 31, 2022. The excise tax on common stock repurchases is classified as an additional cost of the stock acquired included in treasury stock in shareholders' equity. The excise tax did not have a material impact on our results of operations and cash flows as of and for the nine months ended October 31, 2024.

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Inflation and Interest Rates

Inflationary pressures have impacted the entire economy, including our industry. Recent high rates of inflation, including increased fuel and food prices, have led to a softening of consumer demand and increased promotional activity in the apparel categories we sell. Ongoing inflation may lead to further challenges to increase our sales and may also negatively impact our cost structure and labor costs in the future.

The Federal Reserve raised interest rates several times in fiscal 2024 in response to concerns about inflation. The Federal Reserve recently decreased interest rates in the third quarter of fiscal 2025, however it is unclear whether the Federal Reserve will further reduce interest rates, maintain the current rates or raise interest rates in the future. Higher interest rates increase the cost of our borrowing under our revolving credit facility, may increase economic uncertainty and may negatively affect consumer spending. Volatility in interest rates may adversely affect our business or our customers. If the equity and credit markets deteriorate, it may make any necessary debt or equity financing more difficult to obtain in a timely manner or on favorable terms, or at all.

Foreign Currency Fluctuation

Our consolidated operations are impacted by the relationships between our reporting currency, the U.S. Dollar, and those of our non-United States subsidiaries whose functional/local currency is other than the U.S. Dollar, primarily the Euro. Volatility in the global foreign currency exchange rates may have a negative impact on the reported results of certain of our non-United States subsidiaries in the future, when translated to the U.S. Dollar.

Supply Chain

The global supply chain continues to be negatively impacted by various factors, including the ongoing disruptions in the Red Sea, port congestion and capacity shortages in Asia and recent and threatened port strikes on the U.S. East and Gulf coasts and in Canada . Although our business has not been significantly impacted by such disruptions, we have experienced some shipping delays impacting the timing of inventory receipts. These delays have not yet resulted in a significant loss of customer sales and the increase in transportation costs to North America has not yet been significant. We have incurred and will continue to incur increased shipping costs to North America and Europe in the second half of fiscal 2025. We continue to monitor supply chain challenges and coordinate with our partners to divert or adjust routes and destinations accordingly to ensure timely delivery of our product.

International Conflicts

We are monitoring the direct and indirect impacts from the military conflicts between Russia and Ukraine and between Israel and Hamas, as well as other confrontations in the Middle East related to the Israel and Hamas conflict. These international conflicts and the continued threat of terrorism, heightened security measures and military action in response to acts of terrorism or civil unrest have disrupted commerce and intensified concerns regarding the United States and world economies. Our sales in Russia, Ukraine and Israel are not material to our financial results. However, the imposition of additional sanctions by the United States and/or foreign governments, as well as the sanctions already in place, could lead to restrictions related to sales and our supply chain for which the financial impact is uncertain. In addition, the continuation or escalation of these international conflicts, including the potential for additional countries to declare war against each other, may lead to further, broader unfavorable macroeconomic conditions, including unfavorable foreign exchange rates, increases in fuel prices, food shortages, a weakening of the worldwide economy, lower consumer demand and volatility in financial markets. The possible effects of these international conflicts could have a material adverse effect on our business and our results of operations.

Results of Operations

Three months ended October 31, 2024 compared to three months ended October 31, 2023

Net sales for the three months ended October 31, 2024 increased to $1.09 billion from $1.07 billion in the same period last year. Net sales of our segments are reported before intercompany eliminations.

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Net sales of our wholesale operations segment increased to $1.07 billion for the three months ended October 31, 2024 from $1.05 billion in the comparable period last year. This increase was primarily the result of an increase in net sales of our DKNY and Karl Lagerfeld products, as well as our Donna Karan products and Nautica denim licensed products that primarily started shipping during the current year. The increase in sales of DKNY products was primarily related to performance wear, sportswear and denim categories. The increase in sales of Karl Lagerfeld products was primarily related to women’s suits, shoes, handbags and outerwear. These increases were partially offset by decreases in net sales of Calvin Klein and Tommy Hilfiger licensed products.

Net sales of our retail operations segment were $42.3 million for the three months ended October 31, 2024 compared to $32.7 million in the same period last year. The number of retail stores operated by us decreased from 62 at October 31, 2023 to 51 at October 31, 2024. The increase in sales in our retail operations segment was the result of increased sales at our Karl Lagerfeld Paris and DKNY stores. Comparable store sales, which include both stores and digital channels, increased by high double digits at our Karl Lagerfeld Paris and DKNY stores compared to the same period in the prior year.

Gross profit was $432.1 million, or 39.8% of net sales, for the three months ended October 31, 2024, compared to $433.4 million, or 40.6% of net sales, in the same period last year. The gross profit percentage in our wholesale operations segment was 38.4% in the three months ended October 31, 2024 compared to 39.6% in the same period last year. The gross profit percentage in the current year period decreased due to product mix, partially offset by an increased proportion of sales of product related to our owned brands which have no royalty costs and thus result in a higher gross profit percentage. The gross profit percentage in our retail operations segment was 52.3% for the three months ended October 31, 2024 compared to 49.1% for the same period last year. The gross profit percentage in the current year period was positively impacted by product mix with a higher gross profit percentage.

Selling, general and administrative expenses increased to $259.2 million in the three months ended October 31, 2024 from $236.3 million in the same period last year. The increase in expenses was primarily due to increases of $12.0 million in compensation expenses, primarily due to an increase in salaries and bonus expense accruals, $9.0 million in advertising expenses, primarily due to the relaunch of the Donna Karan brand and higher spending on the DKNY brand which was partially offset by reduced royalty advertising expenses resulting from lower net sales of licensed product, and $1.6 million in third-party warehouse and facility expenses

Depreciation and amortization was $6.6 million for both the three months ended October 31, 2024 and 2023.

Other income was $0.9 million in the three months ended October 31, 2024 compared to other loss of $3.1 million in the same period last year. Other income in the current period was impacted by $0.3 million of income from unconsolidated affiliates during the current year period compared to $2.7 million of losses from unconsolidated affiliates in the same period last year. Additionally, other income in the current period was impacted by $0.5 million of foreign currency income during the current year period compared to $0.4 million of foreign currency losses in the same period last year.

Interest and financing charges, net, for the three months ended October 31, 2024 were $6.4 million compared to $11.0 million in the same period last year. The decrease in interest and financing charges was primarily due to a $4.3 million decrease in interest charges resulting from the redemption of the entire $400 million principal amount of the Notes in August 2024 that was partially offset by increased interest charges from higher average borrowings under our revolving credit facility in the current year period. Additionally, there was a decrease of $0.7 million in interest charges related to the LVMH Note as a result of the repayment of $125 million in principal of this Note in fiscal 2024. These decreases were partially offset by a $1.6 million charge to interest expense from extinguished debt issuance costs upon the redemption of the Notes.

Income tax expense was $46.2 million for the three months ended October 31, 2024 compared to $48.8 million for the same period last year. Our effective tax rate increased to 28.7% in the current year’s quarter from 27.7% in last year’s comparable quarter. The higher effective tax rate in the current year period is primarily due to the impact of permanent tax adjustments on the annual effective tax rate.

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Nine months ended October 31, 2024 compared to nine months ended October 31, 2023

Net sales for the nine months ended October 31, 2024 increased to $2.34 billion from $2.33 billion in the same period last year. Net sales of our segments are reported before intercompany eliminations.

Net sales of our wholesale operations segment was $2.28 billion for both the nine months ended October 31, 2024 and 2023. There was increases in net sales of our DKNY and Karl Lagerfeld products, as well as our Donna Karan products and Nautica denim licensed products that primarily started shipping during the current year. The increase in sales of DKNY products was primarily related to performance wear, sportswear and denim categories. The increase in sales of Karl Lagerfeld products was primarily related to women’s suits, shoes, handbags and sportswear. These increases were partially offset by decreases in net sales of Calvin Klein and Tommy Hilfiger licensed products.

Net sales of our retail operations segment were $110.1 million for the nine months ended October 31, 2024 compared to $97.3 million in the same period last year. The number of retail stores operated by us decreased from 62 at October 31, 2023 to 51 at October 31, 2024. The increase in sales in our retail operations segment was the result of increased sales at our Karl Lagerfeld Paris stores, partially offset by decreased sales at our DKNY stores. Comparable store sales, which include both stores and digital channels, increased by low double digits at our Karl Lagerfeld Paris and DKNY stores compared to the same period in the prior year.

Gross profit was $966.9 million, or 41.3% of net sales, for the nine months ended October 31, 2024, compared to $959.9 million, or 41.1% of net sales, in the same period last year. The gross profit percentage in our wholesale operations segment was 39.8% in the nine months ended October 31, 2024 compared to 40.0% in the same period last year. The gross profit percentage in our retail operations segment was 51.5% for the nine months ended October 31, 2024 compared to 50.2% for the same period last year. The gross profit percentage in the current year period was positively impacted by product mix with a higher gross profit percentage.

Selling, general and administrative expenses increased to $724.9 million in the nine months ended October 31, 2024 from $703.5 million in the same period last year. The increase in expenses was primarily due increases of $15.5 million in advertising expenses, primarily due to the relaunch of the Donna Karan brand and higher spending on the DKNY brand that was partially offset by reduced royalty advertising expenses resulting from lower net sales of licensed product, and $13.2 million in compensation expenses, primarily due to an increase in salaries. These increases were partially offset by a decrease of $8.3 million in third-party warehouse and facility expenses associated with carrying lower levels of inventory.

Depreciation and amortization was $20.7 million for the nine months ended October 31, 2024 compared to $19.1 million in the same period last year. This increase primarily results from higher depreciation and amortization related to information technology expenditures and fixturing costs at department stores.

Other loss was $2.2 million in the nine months ended October 31, 2024 compared to $2.0 million in the same period last year.

Interest and financing charges, net, for the nine months ended October 31, 2024 were $16.7 million compared to $32.7 million in the same period last year. The decrease in interest and financing charges was primarily due to a $7.9 million increase in investment income from having a larger average cash position in fiscal 2025 compared to fiscal 2024. Additionally, there was a $4.5 million decrease in interest charges resulting from the redemption of the entire $400 million principal amount of the Notes in August 2024 that was partially offset by increased interest charges from higher average borrowings under our revolving credit facility in the current year as well as a decrease of $3.6 million in interest charges related to the LVMH Note as a result of the repayment of $125 million in principal of this Note in fiscal 2024. These decreases were partially offset by a $1.6 million charge to interest expense from extinguished debt issuance costs upon the redemption of the Notes.

Income tax expense was $57.9 million for the nine months ended October 31, 2024 compared to $55.7 million for the same period last year. Our effective tax rate increased to 28.6% in the current year’s period from 27.5% in last year’s comparable period. The higher effective tax rate in the current year period is due to the impact of permanent tax adjustments on the annual effective tax rate.

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Liquidity and Capital Resources

Cash Availability

We rely on our cash flows generated from operations, cash and cash equivalents and the borrowing capacity under our revolving credit facility to meet the cash requirements of our business. The cash requirements of our business are primarily related to the seasonal buildup in inventories, compensation paid to employees, occupancy, payments to vendors in the normal course of business, capital expenditures, interest payments on debt obligations and income tax payments. We have also used cash to repurchase our shares, make investments and redeem the Notes.

As of October 31, 2024, we had cash and cash equivalents of $104.7 million and availability under our revolving credit facility of approximately $480 million. As of October 31, 2024, we were in compliance with covenants under our revolving credit facility. In August 2024, we used our cash and borrowings from our revolving credit facility to make a $400.7 million payment to voluntarily redeem the entire principal amount of the Notes plus accrued and unpaid interest.

Senior Secured Notes

We had previously completed a private debt offering of $400 million aggregate principal amount of the Notes.

In August 2024, we used cash on hand and borrowings from our revolving credit facility to make a $400.7 million payment to voluntarily redeem the entire $400 million principal amount of the Notes at a redemption price equal to 100% of the principal amount of the Notes plus accrued and unpaid interest. At the date of redemption, we had unamortized debt issuance costs of $1.6 million associated with the Notes. These debt issuance costs were fully extinguished and charged to interest expense in our results of operations.

Third Amended and Restated ABL Credit Agreement

On June 4, 2024, our subsidiaries, G-III Leather Fashions, Inc., Riviera Sun, Inc., AM Retail Group, Inc. and The Donna Karan Company Store LLC (collectively, the “Borrowers”), entered into the third amended and restated credit agreement (the “Third ABL Credit Agreement”) with the lenders named therein and with JPMorgan Chase Bank, N.A., as administrative agent. The Third ABL Credit Agreement is a five-year senior secured asset-based revolving credit facility providing for borrowings in an aggregate principal amount of up to $700 million. We and certain of our wholly-owned domestic subsidiaries, as well as G-III Apparel Canada ULC (collectively, the “Guarantors”), are guarantors under the Third ABL Credit Agreement.

Amounts available under the Third ABL Credit Agreement are subject to borrowing base formulas and overadvances as specified in the Third ABL Credit Agreement. Borrowings bear interest, at the Borrowers’ option, at Adjusted Term Secured Overnight Financing Rate (“SOFR”) plus a margin of 1.50% to 2.00%, or the alternate base rate plus a margin of 0.50% to 1.00% (defined as the greatest of (i) the “prime rate” of JPMorgan Chase Bank, N.A. from time to time, (ii) the federal funds rate plus 0.5% and (iii) SOFR for a borrowing with an interest period of one month plus 1.00%), with the applicable margin determined based on the Borrowers’ average daily availability under the Third ABL Credit Agreement. The Third ABL Credit Agreement is secured by specified assets of the Borrowers and the Guarantors. As of October 31, 2024, interest under the Third ABL Credit Agreement was being paid at an average rate of 6.57% per annum.

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is less than 50% of the total available commitments and decreases to 0.25% per annum on the average daily amount of the available commitments when the average usage is greater than or equal to 50% of the total available commitments.

The Third ABL Credit Agreement contains covenants that, among other things, restricts our ability to, subject to specified exceptions, incur additional debt; incur liens; sell or dispose of certain assets; merge with other companies; liquidate or dissolve the Company; acquire other companies; make loans, advances, or guarantees; and make certain investments. In certain circumstances, the revolving credit facility also requires us to maintain a fixed charge coverage ratio, as defined in the agreement, not less than 1.00 to 1.00 for each period of twelve consecutive fiscal months. As of October 31, 2024, we were in compliance with these covenants.

As of October 31, 2024, we had $210.1 million in borrowings outstanding under the Third ABL Credit Agreement. The Third ABL Credit Agreement also includes amounts available for letters of credit. As of October 31, 2024, there were outstanding trade and standby letters of credit amounting to $6.2 million and $2.9 million, respectively.

At the date of the refinancing of the Second ABL Credit Agreement, we had $1.9 million of unamortized debt issuance costs remaining from the Second ABL Credit Agreement. There was no extinguishment of any amount of the unamortized debt issuance costs remaining from the Second ABL Credit Agreement. We incurred new debt issuance costs totaling $3.8 million related to the Third ABL Credit Agreement. We have a total of $5.6 million debt issuance costs related to our Third ABL Credit Agreement. As permitted under ASC 835, the debt issuance costs have been deferred and are presented as an asset which is amortized ratably over the term of the Third ABL Credit Agreement.

LVMH Note

We issued to LVMH, as a portion of the consideration for the acquisition of DKI, a junior lien secured promissory note in favor of LVMH in the principal amount of $125 million (the “LVMH Note”) that bore interest at the rate of 2% per year. $75 million of the principal amount of the LVMH Note was paid on June 1, 2023 and the remaining $50 million of such principal amount was paid on December 1, 2023.

Based on an independent valuation, it was determined that the LVMH Note should be treated as having been issued at a discount of $40 million in accordance with ASC 820 — Fair Value Measurements. This discount was amortized as interest expense using the effective interest method over the term of the LVMH Note.

Unsecured Loans

Several of our foreign entities borrow funds under various unsecured loans of which a portion is to provide funding for operations in the normal course of business while other loans are European state backed loans that were part of COVID-19 relief programs. In the aggregate, we are currently required to make quarterly installment payments of principal in the amount of €0.6 million. Interest on the outstanding principal amount of the unsecured loans accrues at a fixed rate equal to 0% to 5.0% per annum, payable on either a quarterly or monthly basis. As of October 31, 2024, the Company had an aggregate outstanding balance of €6.0 million ($7.3 million) under these various unsecured loans.

Overdraft Facilities

During fiscal 2021 and 2025, certain of the Company’s foreign entities entered into overdraft facilities that allow for applicable bank accounts to be in a negative position up to a certain maximum overdraft. These uncommitted overdraft facilities with HSBC Bank allow for an aggregate maximum overdraft of €10 million. Interest on drawn balances accrues at a rate equal to the Euro Interbank Offered Rate plus a margin of 1.75% per annum, payable quarterly. The facility may be cancelled at any time by the Company or HSBC Bank. As part of a COVID-19 relief program, certain of the Company’s foreign entities have also entered into several state backed overdraft facilities with UBS Bank in Switzerland for an aggregate of CHF 4.7 million at varying interest rates of 0% to 0.5%. As of October 31, 2024, the Company had an aggregate of €4.1 million ($4.6 million) drawn under these various facilities.

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Foreign Credit Facility

KLH has a credit agreement with ABN AMRO Bank N.V. with a credit limit of €15.0 million which is secured by specified assets of KLH. Borrowings bear interest at the Euro Interbank Offered Rate plus a margin of 1.7%. As of October 31, 2024, KLH had an aggregate balance of €2.0 million ($2.2 million) in borrowings outstanding under this credit facility.

Outstanding Borrowings

Our primary operating cash requirements are to fund our seasonal buildup in inventories and accounts receivable, primarily during the second and third fiscal quarters each year. Due to the seasonality of our business, we generally reach our peak borrowings under our asset-based credit facility during our third fiscal quarter. The primary sources to meet our operating cash requirements have been borrowings under this credit facility and cash generated from operations.

We had $210.1 million in borrowings outstanding under our Third ABL Credit Agreement at October 31, 2024 and no borrowings outstanding under our Third ABL Credit Agreement at October 31, 2023. We redeemed the entire $400 million principal amount of the Notes in August 2024. We had $400 million in borrowings outstanding under the Notes at October 31, 2023. Our contingent liability under open letters of credit was approximately $9.0 million and $4.9 million at October 31, 2024 and 2023, respectively. At October 31, 2023, we had $50 million of face value principal amount outstanding under the LVMH Note. The amount outstanding under the LVMH Note was repaid during fiscal 2024. We had an aggregate of €6.0 million ($7.3 million) and €8.6 million ($9.1 million) outstanding under the Company’s various unsecured loans as of October 31, 2024 and 2023, respectively. We had €4.1 million ($4.6 million) and €1.8 million ($1.9 million) outstanding under our various overdraft facilities as of October 31, 2024 and 2023, respectively. We had €2.0 million ($2.2 million) and €3.9 million ($4.2 million) outstanding under our foreign credit facility as of October 31, 2024 and 2023, respectively.

Share Repurchase Program

In August 2023, our Board of Directors authorized an increase in the number of shares covered by our share repurchase program to an aggregate amount of 10,000,000 shares. Pursuant to this program, during the nine months ended October 2024, we acquired 2,209,832 of our shares of common stock for an aggregate purchase price of $60.0 million, excluding excise tax. The timing and actual number of shares repurchased, if any, will depend on a number of factors, including market conditions and prevailing stock prices, and are subject to compliance with certain covenants contained in our loan agreement. Share repurchases may take place on the open market, in privately negotiated transactions or by other means, and would be made in accordance with applicable securities laws. As of October 31, 2024, we had remaining 7,790,168 shares that are authorized for purchase under this program. As of December 5, 2024, we had 43,886,707 shares of common stock outstanding.

Cash from Operating Activities

We used $17.0 million in cash from operating activities during the nine months ended October 31, 2024, primarily as a result of increases of $317.3 million in accounts receivable and $12.0 million in inventories. These items were offset, in part, by our net income of $144.8 million, an increase of $80.6 million in accounts payable and accrued expenses, a decrease of $23.2 million in income taxes and non-cash charges relating primarily to depreciation and amortization of $20.7 million and share-based compensation of $17.9 million.

The changes in operating cash flow items are generally consistent with our seasonal pattern of higher sales and building up inventory for the fall shipping season resulting in the increases in accounts receivable, inventory and accounts payable. The fall shipping season begins during the latter half of our second fiscal quarter. Our fiscal year ending January 31, 2023 experienced inventory levels that were unusually high due to supply chain challenges throughout the industry during fiscal 2023. This resulted in a reduction to our inventories as of October 31, 2023 as reflected in our condensed consolidated statement of cash flows.

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Cash from Investing Activities

We used $117.6 million of cash in investing activities during the nine months ended October 31, 2024, primarily as a result of our $84.8 million investment in AWWG. We also had $31.8 million in capital expenditures primarily related to information technology expenditures and fixturing costs at department stores.

Cash from Financing Activities

Net cash used by financing activities was $267.5 million during nine months ended October 31, 2024 primarily as a result of $400 million of cash used to redeem the entire principal amount of the Notes, $60.0 million of cash used to repurchase 2,209,832 shares of our common stock under our share repurchase program, excluding excise tax, and $7.5 million for taxes paid in connection with net share settlements of stock grants that vested. These items were offset, in part, by net proceeds of $210.1 million under our revolving credit facility.

Critical Accounting Policies

Our discussion of results of operations and financial condition relies on our consolidated financial statements that are prepared based on certain critical accounting policies that require management to make judgments and estimates that are subject to varying degrees of uncertainty. We believe that investors need to be aware of these policies and how they impact our financial statements as a whole, as well as our related discussion and analysis presented herein. While we believe that these accounting policies are based on sound measurement criteria, actual future events can, and often do, result in outcomes that can be materially different from these estimates or forecasts.

The accounting policies and related estimates described in our Annual Report on Form 10-K for the year ended January 31, 2024 are those that depend most heavily on these judgments and estimates. As of October 31, 2024, there have been no material changes to our critical accounting policies.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

There are no material changes to the disclosure made with respect to these matters in our Annual Report on Form 10-K for the year ended January 31, 2024.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

Disclosure controls and procedures are designed only to provide “reasonable assurance” that the controls and procedures will meet their objectives. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within our Company have been detected.

As of the end of the period covered by this report, our management, including our Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)). Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, because of a material weakness in the Company’s internal control over financial reporting as described below, our disclosure controls and procedures that are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is (i) recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms and (ii) accumulated and communicated to our management, including our principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure, were not effective in making known to them material information relating to G-III required to be included in this report.

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Material Weakness in Internal Control

A material weakness is a deficiency, or combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of a company’s annual and interim financial statements will not be detected or prevented on a timely basis.

Within the KLH subsidiary, which represents approximately 7.8% of the total net sales of the Company for the nine months ended October 31, 2024, the Company identified a material weakness in the operating effectiveness of controls related to information technology general controls (ITGCs) over business applications that support the Company’s financial reporting processes. Automated and manual business process controls that are dependent on the affected ITGCs were also deemed ineffective because they rely upon information and configurations from the affected IT systems.

We concluded that the material weakness did not result in any material misstatements in our financial statements or disclosures in the current year. Based on additional procedures and post-closing review, management concluded that the consolidated financial statements included in this Quarterly Report on Form 10-Q present fairly, in all material respects, our financial position, results of operations, and cash flows for the periods presented in conformity with accounting principles generally accepted in the United States.

Remediation Measures

Management, with oversight from the Audit Committee of the Board of Directors, has begun remedial actions and is developing a full plan designed to remediate these deficiencies. This plan may include, among other items, additional risk assessment procedures over information technology, enhancements to controls, and additional training related to the operational effectiveness of control procedures. These deficiencies will not be considered remediated until the remediation plan is complete, and controls have been operational for a sufficient period of time and successfully tested.

Changes in Internal Control over Financial Reporting

Other than the material weakness described above, there were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during the quarter ended October 31, 2024 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II – OTHER INFORMATION

Item 1A. Risk Factors.

In addition to the other information set forth in this Quarterly Report, you should carefully consider the risk factors contained in “Item 1A.-Risk Factors” in our Annual Report on Form 10-K for the year ended January 31, 2024 (the “Annual Report”), which could materially affect our business, financial condition and/or future results. As of October 31, 2024, there have been no material changes in our risk factors from those set forth in the Annual Report. The risks described in the Annual Report are not the only risks facing our company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition and/or future results.

Item 5. Other Information

During the three months ended October 31, 2024, no director or officer of the Company adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as each term is defined in Item 408(a) of Regulation S-K.

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Item 6. Exhibits.


3.1	Certificate of Incorporation (incorporated by reference to Exhibit 3.1 to the Company’s Registration Statement on Form S-1, dated November 3, 1989).
3.1(a)	Certificate of Amendment of Certificate of Incorporation, dated June 8, 2006 (incorporated by reference to Exhibit 3.1 to the Company’s Form 10-Q, dated September 13, 2006).
3.1(b)	Certificate of Amendment of Certificate of Incorporation, dated June 7, 2011 (incorporated by reference to Exhibit 3.1 to the Company’s Form 8-K, dated June 9, 2011).
3.1(c)	Certificate of Amendment of Certificate of Incorporation, dated June 30, 2015 (incorporated by reference to Exhibit 3.1 to the Company’s Form 8-K, dated July 1, 2015).
3.2	By-Laws, as amended, of G-III (incorporated by reference to Exhibit 3.1 to the Company’s Form 8-K, dated March 15, 2013).
31.1*	Certification by Morris Goldfarb, Chief Executive Officer of G-III Apparel Group, Ltd., pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended, in connection with G-III Apparel Group, Ltd.’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 31, 2024.
31.2*	Certification by Neal S. Nackman, Chief Financial Officer of G-III Apparel Group, Ltd., pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, as amended, in connection with G-III Apparel Group, Ltd.’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 31, 2024.
32.1**	Certification by Morris Goldfarb, Chief Executive Officer of G-III Apparel Group, Ltd., pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, in connection with G-III Apparel Group, Ltd.’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 31, 2024.
32.2**	Certification by Neal S. Nackman, Chief Financial Officer of G-III Apparel Group, Ltd., pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, in connection with G-III Apparel Group, Ltd.’s Quarterly Report on Form 10-Q for the fiscal quarter ended October 31, 2024.
101.INS*	Inline XBRL Instance Document.
101.SCH*	Inline XBRL Schema Document.
101.CAL*	Inline XBRL Calculation Linkbase Document.
101.DEF*	Inline XBRL Extension Definition.
101.LAB*	Inline XBRL Label Linkbase Document.
101.PRE*	Inline XBRL Presentation Linkbase Document.
104*	Cover Page Interactive Data File (embedded within the Inline XBRL document)

* Filed herewith.

** This certification is deemed furnished, and not filed, for purposes of section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	G-III APPAREL GROUP, LTD. (Registrant)

Date: December 10, 2024	By:	/s/ Morris Goldfarb
		Morris Goldfarb
		Chief Executive Officer

Date: December 10, 2024	By:	/s/ Neal S. Nackman
		Neal S. Nackman
		Chief Financial Officer

Exhibit 31.1

CERTIFICATION PURSUANT TO

RULE 13a - 14(a) OR RULE 15d - 14(a) OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Morris Goldfarb, certify that:

I have reviewed this quarterly report on Form 10-Q of G-III Apparel Group, Ltd.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report.

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 10, 2024


	/s/ Morris Goldfarb
	Morris Goldfarb
	Chief Executive Officer

Exhibit 31.2

CERTIFICATION PURSUANT TO

RULE 13a - 14(a) OR RULE 15d - 14(a) OF THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Neal S. Nackman, certify that:

I have reviewed this quarterly report on Form 10-Q of G-III Apparel Group, Ltd.

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 10, 2024


	/s/ Neal S. Nackman
	Neal S. Nackman
	Chief Financial Officer

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of G-III Apparel Group, Ltd. (the “Company”) on Form 10-Q for the quarterly period ended October 31, 2024, as filed with the Securities and Exchange Commission (the “Report”), I, Morris Goldfarb, Chief Executive Officer of the Company, hereby certify that, to my knowledge, (a) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and (b) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.


	/s/ Morris Goldfarb
	Morris Goldfarb
	Chief Executive Officer

Date: December 10, 2024

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of G-III Apparel Group, Ltd. (the “Company”) on Form 10-Q for the quarterly period ended October 31, 2024, as filed with the Securities and Exchange Commission (the “Report”), I, Neal S. Nackman, Chief Financial Officer of the Company, hereby certify that, to my knowledge, (a) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and (b) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.


	/s/ Neal S. Nackman
	Neal S. Nackman
	Chief Financial Officer

Date: December 10, 2024

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Oct. 31, 2024	Dec. 05, 2024
Document And Entity Information Abstract
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Oct. 31, 2024
Document Transition Report	false
Entity File Number	0-18183
Entity Registrant Name	G III APPAREL GROUP LTD /DE/
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	41-1590959
Entity Address, Address Line One	512 Seventh Avenue
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10018
City Area Code	212
Local Phone Number	403-0500
Title of 12(b) Security	Common Stock
Trading Symbol	GIII
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock Shares Outstanding		43,886,707
Entity Central Index Key	0000821002
Current Fiscal Year End Date	--01-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
Current assets
Cash and cash equivalents	$ 104,686	$ 507,829	$ 197,391
Accounts receivable, net of allowance for doubtful accounts of $1,355, $18,412 and $1,471, respectively	879,681	562,363	863,221
Inventories	532,463	520,426	591,530
Prepaid income taxes	9,207	1,356	2,216
Prepaid expenses and other current assets	55,183	68,344	58,779
Total current assets	1,581,220	1,660,318	1,713,137
Investments in unconsolidated affiliates	109,911	22,472	24,354
Property and equipment, net	70,298	55,084	52,032
Operating lease assets	286,232	216,886	221,474
Other assets, net	47,246	45,147	53,852
Other intangibles, net	28,232	31,676	32,565
Deferred income tax assets, net	26,964	19,248	26,389
Trademarks	633,508	630,333	625,530
Total assets	2,783,611	2,681,164	2,749,333
Current liabilities
Current portion of notes payable	10,277	15,026	59,099
Accounts payable	239,882	182,531	179,396
Accrued expenses	160,059	140,535	153,200
Customer refund liabilities	88,323	84,054	108,042
Current operating lease liabilities	55,479	56,587	55,897
Income tax payable	45,730	14,676	46,380
Other current liabilities	571	219	330
Total current liabilities	600,321	493,628	602,344
Notes payable, net of discount and unamortized issuance costs	213,898	402,807	402,846
Deferred income tax liabilities, net	51,442	42,736	44,265
Noncurrent operating lease liabilities	246,834	178,247	183,522
Other noncurrent liabilities	22,390	15,764	14,543
Total liabilities	1,134,885	1,133,182	1,247,520
Redeemable noncontrolling interests		(2,278)	(1,407)
Stockholders' Equity
Preferred stock; 1,000 shares authorized; no shares issued
Common stock - $0.01 par value; 120,000 shares authorized; 49,396, 49,396 and 49,396 shares issued, respectively	264	264	264
Additional paid-in capital	456,839	458,841	453,504
Accumulated other comprehensive (loss)	3,420	(3,207)	(15,995)
Retained earnings	1,304,894	1,160,112	1,131,258
Common stock held in treasury, at cost - 5,511, 3,670 and 3,668 shares, respectively	(116,691)	(65,750)	(65,811)
Total stockholders' equity	1,648,726	1,550,260	1,503,220
Total liabilities, redeemable noncontrolling interests and stockholders' equity	$ 2,783,611	$ 2,681,164	$ 2,749,333

CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
CONDENSED CONSOLIDATED BALANCE SHEETS
Allowance for doubtful accounts	$ 1,355	$ 1,471	$ 18,412
Preferred stock, shares authorized	1,000,000	1,000,000	1,000,000
Preferred stock, shares issued	0	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Common stock, shares authorized	120,000,000	120,000,000	120,000,000
Common stock, shares issued	49,396,000	49,396,000	49,396,000
Treasury stock, shares	5,511,000	3,668,000	3,670,000

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
Net sales	$ 1,086,759	$ 1,067,110	$ 2,341,261	$ 2,333,460
Cost of goods sold	654,628	633,697	1,374,363	1,373,594
Gross profit	432,131	433,413	966,898	959,866
Selling, general and administrative expenses	259,240	236,308	724,891	703,476
Depreciation and amortization	6,556	6,595	20,704	19,130
Asset impairments		222		222
Operating profit	166,335	190,288	221,303	237,038
Other income (loss)	942	(3,129)	(2,233)	(1,964)
Interest and financing charges, net	(6,358)	(11,024)	(16,658)	(32,666)
Income before income taxes	160,919	176,135	202,412	202,408
Income tax expense	46,151	48,755	57,903	55,651
Net income	114,768	127,380	144,509	146,757
Less: Loss attributable to noncontrolling interests		(260)	(273)	(557)
Net income attributable to G-III Apparel Group, Ltd.	$ 114,768	$ 127,640	$ 144,782	$ 147,314
Basic:
Net income per common share	$ 2.62	$ 2.79	$ 3.24	$ 3.21
Weighted average number of shares outstanding (in shares)	43,885	45,723	44,640	45,904
Diluted:
Net income per common share	$ 2.55	$ 2.74	$ 3.17	$ 3.13
Weighted average number of shares outstanding (in shares)	44,954	46,560	45,719	46,992
Net income	$ 114,768	$ 127,380	$ 144,509	$ 146,757
Other comprehensive income (loss):
Foreign currency translation adjustments	15,489	(11,391)	6,589	(4,317)
Other comprehensive income (loss)	15,489	(11,391)	6,589	(4,317)
Comprehensive income	130,257	115,989	151,098	142,440
Comprehensive loss attributable to noncontrolling interests:
Net loss		(260)	(273)	(557)
Foreign currency translation adjustments		(1)	38	(25)
Comprehensive loss attributable to noncontrolling interests		(261)	(235)	(582)
Comprehensive income attributable to G-III Apparel Group, Ltd.	$ 130,257	$ 115,728	$ 150,863	$ 141,858

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Retained Earnings	Common Stock Held In Treasury	Total
Balance at beginning of period at Jan. 31, 2023	$ 264	$ 468,712	$ (11,653)	$ 983,944		$ 1,385,448
Balance at beginning of period, treasury at Jan. 31, 2023					$ (55,819)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity awards vested, net		(16,108)			16,108
Share-based compensation expense		11,728				11,728
Taxes paid for net share settlements		(10,828)				(10,828)
Other comprehensive (loss) income, net			(4,342)			(4,342)
Repurchases of common stock					(26,100)	(26,100)
Net income attributable to G-III Apparel Group, Ltd.				147,314		147,314
Balance at end of period, treasury at Oct. 31, 2023					(65,811)	(65,811)
Balance at end of period at Oct. 31, 2023	264	453,504	(15,995)	1,131,258		1,503,220
Balance at beginning of period at Jul. 31, 2023	264	448,762	(4,603)	1,003,618		1,382,115
Balance at beginning of period, treasury at Jul. 31, 2023					(65,926)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity awards vested, net		(115)			115
Share-based compensation expense		4,890				4,890
Taxes paid for net share settlements		(33)				(33)
Other comprehensive (loss) income, net			(11,392)			(11,392)
Net income attributable to G-III Apparel Group, Ltd.				127,640		127,640
Balance at end of period, treasury at Oct. 31, 2023					(65,811)	(65,811)
Balance at end of period at Oct. 31, 2023	264	453,504	(15,995)	1,131,258		1,503,220
Balance at beginning of period at Jan. 31, 2024	264	458,841	(3,207)	1,160,112		1,550,260
Balance at beginning of period, treasury at Jan. 31, 2024					(65,750)	(65,750)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity awards vested, net		(9,668)			9,668
Share-based compensation expense		17,942				17,942
Taxes paid for net share settlements		(7,534)				(7,534)
Other comprehensive (loss) income, net			6,627			6,627
Repurchases of common stock					(59,973)	(59,973)
Excise tax on stock repurchases					(636)	(636)
Reduction of noncontrolling interest		(2,742)				(2,742)
Net income attributable to G-III Apparel Group, Ltd.				144,782		144,782
Balance at end of period, treasury at Oct. 31, 2024					(116,691)	(116,691)
Balance at end of period at Oct. 31, 2024	264	456,839	3,420	1,304,894		1,648,726
Balance at beginning of period at Jul. 31, 2024	264	451,005	(12,069)	1,190,126		1,512,635
Balance at beginning of period, treasury at Jul. 31, 2024					(116,691)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense		5,834				5,834
Other comprehensive (loss) income, net			15,489			15,489
Net income attributable to G-III Apparel Group, Ltd.				114,768		114,768
Balance at end of period, treasury at Oct. 31, 2024					$ (116,691)	(116,691)
Balance at end of period at Oct. 31, 2024	$ 264	$ 456,839	$ 3,420	$ 1,304,894		$ 1,648,726

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023
Cash flows from operating activities
Net income attributable to G-III Apparel Group, Ltd.	$ 144,782	$ 147,314
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation and amortization	20,704	19,130
Loss on disposal of fixed assets	388	239
Non-cash operating lease costs	44,176	43,467
Asset impairment		222
Extinguishment of deferred financing costs	1,598
Equity gain in unconsolidated affiliates	2,758	3,725
Change in fair value of equity securities		(1,009)
Share-based compensation	17,942	11,728
Deferred financing charges and debt discount amortization	1,951	6,054
Deferred income taxes	990	(519)
Changes in operating assets and liabilities:
Accounts receivable, net	(317,318)	(188,258)
Inventories	(12,037)	117,815
Income taxes, net	23,203	35,175
Prepaid expenses and other current assets	13,949	12,636
Other assets, net	(730)	(3,044)
Customer refund liabilities	4,269	18,282
Operating lease liabilities	(44,270)	(43,750)
Accounts payable, accrued expenses and other liabilities	80,629	47,064
Net cash (used in) provided by operating activities	(17,016)	226,271
Cash flows from investing activities
Operating lease assets initial direct costs	(1,757)	(52)
Proceeds from sale of assets	733
Investment in equity interest of private company	(84,832)	(3,600)
Capital expenditures	(31,757)	(15,653)
Net cash used in investing activities	(117,613)	(19,305)
Cash flows from financing activities
Repayment of borrowings - revolving facility	(228,756)	(112,826)
Proceeds from borrowings - revolving facility	438,811	32,738
Repayment of borrowings - LVMH Note		(75,000)
Repayment of borrowings - foreign facilities	(103,635)	(106,100)
Proceeds from borrowings - foreign facilities	97,338	99,032
Repayment of borrowings - senior secured notes	(400,000)
Payment of financing costs	(3,785)
Purchase of treasury shares	(59,973)	(26,100)
Taxes paid for net share settlements	(7,534)	(10,828)
Net cash used in financing activities	(267,534)	(199,084)
Foreign currency translation adjustments	(980)	(2,143)
Net (decrease) increase in cash and cash equivalents	(403,143)	5,739
Cash and cash equivalents at beginning of period	507,829	191,652
Cash and cash equivalents at end of period	104,686	197,391
Cash payments:
Interest, net	26,036	32,882
Income tax payments, net	29,691	$ 20,195
Excise tax liability related to stock repurchases	$ 636

BASIS OF PRESENTATION

9 Months Ended

Oct. 31, 2024

BASIS OF PRESENTATION

BASIS OF PRESENTATION

NOTE 1 – BASIS OF PRESENTATION

ALLOWANCE FOR DOUBTFUL ACCOUNTS

9 Months Ended

Oct. 31, 2024

ALLOWANCE FOR DOUBTFUL ACCOUNTS

ALLOWANCE FOR DOUBTFUL ACCOUNTS

NOTE 2 – ALLOWANCE FOR DOUBTFUL ACCOUNTS

The Company’s accounts receivable and allowance for doubtful accounts as of October 31, 2024, October 31, 2023 and January 31, 2024 were:


	October 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	879,572	$	1,464	$	881,036
Allowance for doubtful accounts		(1,217)		(138)		(1,355)
Accounts receivable, net	$	878,355	$	1,326	$	879,681

	October 31, 2023
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	880,827	$	806	$	881,633
Allowance for doubtful accounts		(18,349)		(63)		(18,412)
Accounts receivable, net	$	862,478	$	743	$	863,221

	January 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	563,130	$	704	$	563,834
Allowance for doubtful accounts		(1,408)		(63)		(1,471)
Accounts receivable, net	$	561,722	$	641	$	562,363

The Company had the following activity in its allowance for doubtful accounts:


	Wholesale		Retail		Total

	(In thousands)
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)
Provision for credit losses, net		143		(75)		68
Accounts written off as uncollectible		48		—		48
Balance as of October 31, 2024	$	(1,217)	$	(138)	$	(1,355)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		(115)		(3)		(118)
Accounts written off as uncollectible		3		—		3
Balance as of October 31, 2023	$	(18,349)	$	(63)	$	(18,412)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		166		(3)		163
Accounts written off as uncollectible		16,663		—		16,663
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)

INVENTORIES

9 Months Ended

Oct. 31, 2024

INVENTORIES

INVENTORIES

NOTE 3 – INVENTORIES

FAIR VALUE OF FINANCIAL INSTRUMENTS

9 Months Ended

Oct. 31, 2024

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS

NOTE 4 – FAIR VALUE OF FINANCIAL INSTRUMENTS

●

Level 1 — inputs to the valuation methodology based on quoted prices (unadjusted) for identical assets or liabilities in active markets.

●

Level 3 — inputs to the valuation methodology based on unobservable prices or valuation techniques that are significant to the fair value measurement.

The following table summarizes the carrying values and the estimated fair values of the Company’s debt instruments:


		Carrying Value						Fair Value
		October 31,		October 31,		January 31,		October 31,		October 31,		January 31,
Financial Instrument	Level	2024		2023		2024		2024		2023		2024

		(In thousands)
Secured Notes	1	$	—	$	400,000	$	400,000	$	—	$	396,340	$	401,080
Revolving credit facility	2		210,055		—		—		210,055		—		—
Note issued to LVMH	3		—		49,787		—		—		49,350		—
Unsecured loans	2		7,326		9,097		8,791		7,326		9,097		8,791
Overdraft facilities	2		4,608		1,872		2,651		4,608		1,872		2,651
Foreign credit facility	2		2,186		4,161		8,939		2,186		4,161		8,939

The fair value of the LVMH Note was considered a Level 3 valuation in the fair value hierarchy.

Non-Financial Assets and Liabilities

LEASES

9 Months Ended

Oct. 31, 2024

LEASES

LEASES

NOTE 5 – LEASES

Company’s sole discretion. The exercise of lease termination options is generally by mutual agreement between the Company and the lessor.

The Company’s operating lease assets and liabilities as of October 31, 2024, October 31, 2023 and January 31, 2024 consist of the following:



Leases	Classification	October 31, 2024		October 31, 2023		January 31, 2024

		(In thousands)
Assets
Operating	Operating lease assets	$	286,232	$	221,474	$	216,886

Liabilities
Current operating	Current operating lease liabilities	$	55,479	$	55,897	$	56,587
Noncurrent operating	Noncurrent operating lease liabilities		246,834		183,522		178,247
Total lease liabilities		$	302,313	$	239,419	$	234,834

As of October 31, 2024, the Company’s maturity of operating lease liabilities in the years ending up to January 31, 2029 and thereafter are as follows:


Year Ending January 31,	Amount
	(In thousands)
2025	$	18,641
2026		72,868
2027		61,177
2028		51,862
2029		42,716
After 2029		130,897
Total lease payments	$	378,161
Less: Interest		75,848
Present value of lease liabilities	$	302,313

As of October 31, 2024, there are no material leases that are legally binding but have not yet commenced.

As of October 31, 2024, the weighted average remaining lease term related to operating leases is 6.7 years. The weighted average discount rate related to operating leases is 6.8%.

NET INCOME PER COMMON SHARE

9 Months Ended

Oct. 31, 2024

NET INCOME PER COMMON SHARE

NET INCOME PER COMMON SHARE

NOTE 6 – NET INCOME PER COMMON SHARE

The following table reconciles the numerators and denominators used in the calculation of basic and diluted net income per share:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2024		2023		2024		2023

	(In thousands, except share and per share amounts)
Net income attributable to G-III Apparel Group, Ltd.	$	114,768	$	127,640	$	144,782	$	147,314
Basic net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Basic net income per share	$	2.62	$	2.79	$	3.24	$	3.21

Diluted net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Dilutive restricted stock unit awards and stock options		1,069		837		1,079		1,088
Diluted common shares		44,954		46,560		45,719		46,992
Diluted net income per share	$	2.55	$	2.74	$	3.17	$	3.13

NOTES PAYABLE

9 Months Ended

Oct. 31, 2024

NOTES PAYABLE

NOTES PAYABLE

NOTE 7 – NOTES PAYABLE

Long-term debt consists of the following:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Secured Notes	$	—	$	400,000	$	400,000
Revolving credit facility		210,055		—		—
LVMH Note		—		50,000		—
Unsecured loans		7,326		9,097		8,791
Overdraft facilities		4,608		1,872		2,651
Foreign credit facility		2,186		4,161		8,939
Subtotal		224,175		465,130		420,381
Less: Net debt issuance costs ⁽¹⁾		—		(2,972)		(2,548)
Debt discount		—		(213)		—
Current portion of long-term debt		(10,277)		(59,099)		(15,026)
Total	$	213,898	$	402,846	$	402,807

(1)

Senior Secured Notes

The Company had previously completed a private debt offering of $400 million aggregate principal amount of the Notes.

Third Amended and Restated ABL Credit Agreement

LVMH Note

Unsecured Loans

Overdraft Facilities

Foreign Credit Facility

REVENUE RECOGNITION

9 Months Ended

Oct. 31, 2024

REVENUE RECOGNITION

REVENUE RECOGNITION

NOTE 8 – REVENUE RECOGNITION

Disaggregation of Revenue

Contract Liabilities

SEGMENTS

9 Months Ended

Oct. 31, 2024

SEGMENTS

SEGMENTS

NOTE 9 – SEGMENTS

The following segment information is presented for the three and nine month periods indicated below:


	Three Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,066,635	$	42,333	$	(22,209)	$	1,086,759
Cost of goods sold		656,659		20,178		(22,209)		654,628
Gross profit		409,976		22,155		—		432,131
Selling, general and administrative expenses		235,628		23,612		—		259,240
Depreciation and amortization		5,674		882		—		6,556
Operating profit (loss)	$	168,674	$	(2,339)	$	—	$	166,335


	Three Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,054,303	$	32,711	$	(19,904)	$	1,067,110
Cost of goods sold		636,961		16,640		(19,904)		633,697
Gross profit		417,342		16,071		—		433,413
Selling, general and administrative expenses		213,263		23,045		—		236,308
Depreciation and amortization		5,475		1,120		—		6,595
Asset impairments		222		—		—		222
Operating profit (loss)	$	198,382	$	(8,094)	$	—	$	190,288


	Nine Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,284,710	$	110,060	$	(53,509)	$	2,341,261
Cost of goods sold		1,374,544		53,328		(53,509)		1,374,363
Gross profit		910,166		56,732		—		966,898
Selling, general and administrative expenses		658,645		66,246		—		724,891
Depreciation and amortization		17,113		3,591		—		20,704
Operating profit (loss)	$	234,408	$	(13,105)	$	—	$	221,303


	Nine Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,280,391	$	97,268	$	(44,199)	$	2,333,460
Cost of goods sold		1,369,315		48,478		(44,199)		1,373,594
Gross profit		911,076		48,790		—		959,866
Selling, general and administrative expenses		633,841		69,635		—		703,476
Depreciation and amortization		16,247		2,883		—		19,130
Asset impairments		222		—		—		222
Operating profit (loss)	$	260,766	$	(23,728)	$	—	$	237,038

(1)Represents intersegment sales to the Company’s retail operations segment.

The total net sales by licensed and proprietary product sales for each of the Company’s reportable segments are as follows:


	Three Months Ended				Nine Months Ended
	October 31, 2024		October 31, 2023		October 31, 2024		October 31, 2023

	(In thousands)
Licensed brands	$	560,780	$	625,231	$	1,109,630	$	1,261,894
Proprietary brands		505,855		429,072		1,175,080		1,018,497
Wholesale net sales	$	1,066,635	$	1,054,303	$	2,284,710	$	2,280,391

Licensed brands	$	—	$	—	$	—	$	—
Proprietary brands		42,333		32,711		110,060		97,268
Retail net sales	$	42,333	$	32,711	$	110,060	$	97,268

The total assets for each of the Company’s reportable segments, as well as assets not allocated to a segment, are as follows:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Wholesale	$	1,611,042	$	1,700,179	$	1,562,203
Retail		115,505		120,080		104,272
Corporate		1,057,064		929,074		1,014,689
Total assets	$	2,783,611	$	2,749,333	$	2,681,164

STOCKHOLDERS' EQUITY

9 Months Ended

Oct. 31, 2024

STOCKHOLDERS' EQUITY [Abstract]

STOCKHOLDERS' EQUITY

NOTE 10 – STOCKHOLDERS’ EQUITY

FABCO

9 Months Ended

Oct. 31, 2024

FABCO

FABCO

NOTE 11 – FABCO

AWWG INVESTMENT

9 Months Ended

Oct. 31, 2024

AWWG INVESTMENT

AWWG INVESTMENT

NOTE 12 – AWWG INVESTMENT

RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

9 Months Ended

Oct. 31, 2024

RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

NOTE 13 – RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

Recently Adopted Accounting Guidance

There was no accounting guidance adopted during the three months ended October 31, 2024.

Issued Accounting Guidance Being Evaluated for Adoption

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 114,768	$ 127,640	$ 144,782	$ 147,314

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Oct. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS (Policies)

9 Months Ended

Oct. 31, 2024

RECENT ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS

Recently Adopted Accounting Guidance

Recently Adopted Accounting Guidance

There was no accounting guidance adopted during the three months ended October 31, 2024.

Issued Accounting Guidance Being Evaluated for Adoption

ALLOWANCE FOR DOUBTFUL ACCOUNTS (Tables)

9 Months Ended

Oct. 31, 2024

ALLOWANCE FOR DOUBTFUL ACCOUNTS

Accounts Receivable and Allowance for Doubtful Accounts

The Company’s accounts receivable and allowance for doubtful accounts as of October 31, 2024, October 31, 2023 and January 31, 2024 were:


	October 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	879,572	$	1,464	$	881,036
Allowance for doubtful accounts		(1,217)		(138)		(1,355)
Accounts receivable, net	$	878,355	$	1,326	$	879,681

	October 31, 2023
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	880,827	$	806	$	881,633
Allowance for doubtful accounts		(18,349)		(63)		(18,412)
Accounts receivable, net	$	862,478	$	743	$	863,221

	January 31, 2024
	Wholesale		Retail		Total

	(In thousands)
Accounts receivable, gross	$	563,130	$	704	$	563,834
Allowance for doubtful accounts		(1,408)		(63)		(1,471)
Accounts receivable, net	$	561,722	$	641	$	562,363

Activity in Allowance for Credit Losses

The Company had the following activity in its allowance for doubtful accounts:


	Wholesale		Retail		Total

	(In thousands)
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)
Provision for credit losses, net		143		(75)		68
Accounts written off as uncollectible		48		—		48
Balance as of October 31, 2024	$	(1,217)	$	(138)	$	(1,355)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		(115)		(3)		(118)
Accounts written off as uncollectible		3		—		3
Balance as of October 31, 2023	$	(18,349)	$	(63)	$	(18,412)

Balance as of January 31, 2023	$	(18,237)	$	(60)	$	(18,297)
Provision for credit losses, net		166		(3)		163
Accounts written off as uncollectible		16,663		—		16,663
Balance as of January 31, 2024	$	(1,408)	$	(63)	$	(1,471)

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

9 Months Ended

Oct. 31, 2024

FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of carrying values and estimated fair values of debt instruments

The following table summarizes the carrying values and the estimated fair values of the Company’s debt instruments:


		Carrying Value						Fair Value
		October 31,		October 31,		January 31,		October 31,		October 31,		January 31,
Financial Instrument	Level	2024		2023		2024		2024		2023		2024

		(In thousands)
Secured Notes	1	$	—	$	400,000	$	400,000	$	—	$	396,340	$	401,080
Revolving credit facility	2		210,055		—		—		210,055		—		—
Note issued to LVMH	3		—		49,787		—		—		49,350		—
Unsecured loans	2		7,326		9,097		8,791		7,326		9,097		8,791
Overdraft facilities	2		4,608		1,872		2,651		4,608		1,872		2,651
Foreign credit facility	2		2,186		4,161		8,939		2,186		4,161		8,939

LEASES (Tables)

9 Months Ended

Oct. 31, 2024

LEASES

Schedule of lease assets and liabilities

The Company’s operating lease assets and liabilities as of October 31, 2024, October 31, 2023 and January 31, 2024 consist of the following:



Leases	Classification	October 31, 2024		October 31, 2023		January 31, 2024

		(In thousands)
Assets
Operating	Operating lease assets	$	286,232	$	221,474	$	216,886

Liabilities
Current operating	Current operating lease liabilities	$	55,479	$	55,897	$	56,587
Noncurrent operating	Noncurrent operating lease liabilities		246,834		183,522		178,247
Total lease liabilities		$	302,313	$	239,419	$	234,834

Schedule of maturity of operating lease liabilities

As of October 31, 2024, the Company’s maturity of operating lease liabilities in the years ending up to January 31, 2029 and thereafter are as follows:


Year Ending January 31,	Amount
	(In thousands)
2025	$	18,641
2026		72,868
2027		61,177
2028		51,862
2029		42,716
After 2029		130,897
Total lease payments	$	378,161
Less: Interest		75,848
Present value of lease liabilities	$	302,313

NET INCOME PER COMMON SHARE (Tables)

9 Months Ended

Oct. 31, 2024

NET INCOME PER COMMON SHARE

Schedule of reconciliation between basic and diluted net income per share

The following table reconciles the numerators and denominators used in the calculation of basic and diluted net income per share:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2024		2023		2024		2023

	(In thousands, except share and per share amounts)
Net income attributable to G-III Apparel Group, Ltd.	$	114,768	$	127,640	$	144,782	$	147,314
Basic net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Basic net income per share	$	2.62	$	2.79	$	3.24	$	3.21

Diluted net income per share:
Basic common shares		43,885		45,723		44,640		45,904
Dilutive restricted stock unit awards and stock options		1,069		837		1,079		1,088
Diluted common shares		44,954		46,560		45,719		46,992
Diluted net income per share	$	2.55	$	2.74	$	3.17	$	3.13

NOTES PAYABLE (Tables)

9 Months Ended

Oct. 31, 2024

NOTES PAYABLE

Schedule of long-term debt

Long-term debt consists of the following:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Secured Notes	$	—	$	400,000	$	400,000
Revolving credit facility		210,055		—		—
LVMH Note		—		50,000		—
Unsecured loans		7,326		9,097		8,791
Overdraft facilities		4,608		1,872		2,651
Foreign credit facility		2,186		4,161		8,939
Subtotal		224,175		465,130		420,381
Less: Net debt issuance costs ⁽¹⁾		—		(2,972)		(2,548)
Debt discount		—		(213)		—
Current portion of long-term debt		(10,277)		(59,099)		(15,026)
Total	$	213,898	$	402,846	$	402,807

(1)

SEGMENTS (Tables)

9 Months Ended

Oct. 31, 2024

SEGMENTS

Schedule of information regarding reportable segments

The following segment information is presented for the three and nine month periods indicated below:


	Three Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,066,635	$	42,333	$	(22,209)	$	1,086,759
Cost of goods sold		656,659		20,178		(22,209)		654,628
Gross profit		409,976		22,155		—		432,131
Selling, general and administrative expenses		235,628		23,612		—		259,240
Depreciation and amortization		5,674		882		—		6,556
Operating profit (loss)	$	168,674	$	(2,339)	$	—	$	166,335


	Three Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	1,054,303	$	32,711	$	(19,904)	$	1,067,110
Cost of goods sold		636,961		16,640		(19,904)		633,697
Gross profit		417,342		16,071		—		433,413
Selling, general and administrative expenses		213,263		23,045		—		236,308
Depreciation and amortization		5,475		1,120		—		6,595
Asset impairments		222		—		—		222
Operating profit (loss)	$	198,382	$	(8,094)	$	—	$	190,288


	Nine Months Ended October 31, 2024
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,284,710	$	110,060	$	(53,509)	$	2,341,261
Cost of goods sold		1,374,544		53,328		(53,509)		1,374,363
Gross profit		910,166		56,732		—		966,898
Selling, general and administrative expenses		658,645		66,246		—		724,891
Depreciation and amortization		17,113		3,591		—		20,704
Operating profit (loss)	$	234,408	$	(13,105)	$	—	$	221,303


	Nine Months Ended October 31, 2023
	Wholesale		Retail		Elimination ⁽¹⁾		Total

	(In thousands)
Net sales	$	2,280,391	$	97,268	$	(44,199)	$	2,333,460
Cost of goods sold		1,369,315		48,478		(44,199)		1,373,594
Gross profit		911,076		48,790		—		959,866
Selling, general and administrative expenses		633,841		69,635		—		703,476
Depreciation and amortization		16,247		2,883		—		19,130
Asset impairments		222		—		—		222
Operating profit (loss)	$	260,766	$	(23,728)	$	—	$	237,038

(1)Represents intersegment sales to the Company’s retail operations segment.

Schedule of total net sales by licensed and proprietary product sales

The total net sales by licensed and proprietary product sales for each of the Company’s reportable segments are as follows:


	Three Months Ended				Nine Months Ended
	October 31, 2024		October 31, 2023		October 31, 2024		October 31, 2023

	(In thousands)
Licensed brands	$	560,780	$	625,231	$	1,109,630	$	1,261,894
Proprietary brands		505,855		429,072		1,175,080		1,018,497
Wholesale net sales	$	1,066,635	$	1,054,303	$	2,284,710	$	2,280,391

Licensed brands	$	—	$	—	$	—	$	—
Proprietary brands		42,333		32,711		110,060		97,268
Retail net sales	$	42,333	$	32,711	$	110,060	$	97,268

Schedule of total net sales and long-lived assets by geographic region

The total assets for each of the Company’s reportable segments, as well as assets not allocated to a segment, are as follows:


	October 31, 2024		October 31, 2023		January 31, 2024

	(In thousands)
Wholesale	$	1,611,042	$	1,700,179	$	1,562,203
Retail		115,505		120,080		104,272
Corporate		1,057,064		929,074		1,014,689
Total assets	$	2,783,611	$	2,749,333	$	2,681,164

BASIS OF PRESENTATION - Textuals (Details)	Jul. 19, 2024	Jul. 18, 2024	May 31, 2024	Apr. 17, 2024	Oct. 31, 2023
AWWG Investments B.V.
BASIS OF PRESENTATION
Percentage of ownership interest		12.10%	12.10%
Fabco Holding B.V.
BASIS OF PRESENTATION
Ownership percent					75.00%
AWWG Investments B.V.
BASIS OF PRESENTATION
Ownership percent	18.70%
Fabco
BASIS OF PRESENTATION
Remaining percentage of interest				25.00%
Fabco \| Fabco Holding B.V.
BASIS OF PRESENTATION
Remaining percentage of interest				25.00%
AWWG \| AWWG Investments B.V.
BASIS OF PRESENTATION
Remaining percentage of interest	6.60%

ALLOWANCE FOR DOUBTFUL ACCOUNTS (Narrative) (Details)	9 Months Ended
ALLOWANCE FOR DOUBTFUL ACCOUNTS (Narrative) (Details)	Oct. 31, 2024 segment
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Number of reportable segments	2

ALLOWANCE FOR DOUBTFUL ACCOUNTS (Accounts Receivable and Allowance for Doubtful Accounts) (Details) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023	Jan. 31, 2023
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Accounts receivable, gross	$ 881,036	$ 563,834	$ 881,633
Allowance for doubtful accounts	(1,355)	(1,471)	(18,412)	$ (18,297)
Accounts receivable, net	879,681	562,363	863,221
Wholesale
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Accounts receivable, gross	879,572	563,130	880,827
Allowance for doubtful accounts	(1,217)	(1,408)	(18,349)	(18,237)
Accounts receivable, net	878,355	561,722	862,478
Retail
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Accounts receivable, gross	1,464	704	806
Allowance for doubtful accounts	(138)	(63)	(63)	$ (60)
Accounts receivable, net	$ 1,326	$ 641	$ 743

ALLOWANCE FOR DOUBTFUL ACCOUNTS (Activity in Allowance for Doubtful Accounts) (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Jan. 31, 2024
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Beginning balance	$ (1,471)	$ (18,297)	$ (18,297)
Provision for credit losses	68	(118)	163
Accounts written off as uncollectible	48	3	16,663
Ending balance	(1,355)	(18,412)	(1,471)
Wholesale
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Beginning balance	(1,408)	(18,237)	(18,237)
Provision for credit losses	143	(115)	166
Accounts written off as uncollectible	48	3	16,663
Ending balance	(1,217)	(18,349)	(1,408)
Retail
ALLOWANCE FOR DOUBTFUL ACCOUNTS
Beginning balance	(63)	(60)	(60)
Provision for credit losses	(75)	(3)	(3)
Ending balance	$ (138)	$ (63)	$ (63)

INVENTORIES - Textuals (Details) - USD ($) $ in Millions	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
INVENTORIES
Inventory held on consignment	$ 5.6	$ 6.6	$ 7.9
Prepaid Expenses and Other Current Assets
INVENTORIES
Inventory return asset	$ 10.6	$ 16.5	$ 15.6

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
Level 1 \| Secured Notes
Debt Instrument [Line Items]
Debt instruments, carrying value		$ 400,000	$ 400,000
Debt instruments, fair value		401,080	396,340
Level 2 \| Revolving credit facility
Debt Instrument [Line Items]
Debt instruments, carrying value	$ 210,055
Debt instruments, fair value	210,055
Level 2 \| Unsecured loans
Debt Instrument [Line Items]
Debt instruments, carrying value	7,326	8,791	9,097
Debt instruments, fair value	7,326	8,791	9,097
Level 2 \| Overdraft facilities
Debt Instrument [Line Items]
Debt instruments, carrying value	4,608	2,651	1,872
Debt instruments, fair value	4,608	2,651	1,872
Level 2 \| Foreign credit facility
Debt Instrument [Line Items]
Debt instruments, carrying value	2,186	8,939	4,161
Debt instruments, fair value	$ 2,186	$ 8,939	4,161
Level 3 \| Note issued to LVMH
Debt Instrument [Line Items]
Debt instruments, carrying value			49,787
Debt instruments, fair value			$ 49,350

FAIR VALUE OF FINANCIAL INSTRUMENTS- Textuals (Details) - USD ($) $ in Thousands			1 Months Ended	9 Months Ended	12 Months Ended
	Dec. 01, 2023	Jun. 01, 2023	Aug. 31, 2024	Oct. 31, 2024	Jan. 31, 2024
Debt Instrument [Line Items]
Impairment of the operating lease assets, net of tax					$ 1,300
Repayment of debt				$ 400,000
Note issued to LVMH
Debt Instrument [Line Items]
Debt instrument interest rate				2.00%
Debt Instrument, Face Amount				$ 125,000
Debt discount				$ 40,000
Repayment of debt	$ 50,000	$ 75,000
Secured Notes
Debt Instrument [Line Items]
Debt instrument interest rate				7.875%
Debt Instrument, Face Amount			$ 400,000	$ 400,000
Repayment of debt			$ 400,700
Redemption percentage			100.00%

LEASES (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
LEASES (Details) - USD ($) $ in Millions	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
Lessee, Operating Lease, Description [Abstract]
Option to extend			true
Lessee, operating lease, option to terminate			The exercise of lease renewal options is generally at the Company’s sole discretion. The exercise of lease termination options is generally by mutual agreement between the Company and the lessor.
Variable lease costs and short-term lease costs including rent forgiveness	$ 5.0	$ 6.7	$ 16.1	$ 18.1
Minimum
Lessee, Operating Lease, Description [Abstract]
Operating lease, contract term	1 year		1 year
Renewal term	1 year		1 year
Maximum
Lessee, Operating Lease, Description [Abstract]
Operating lease, contract term	10 years		10 years
Renewal term	10 years		10 years

LEASES - Lease assets and liabilities (Details) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
Assets and Liabilities, Lessee [Abstract]
Operating lease assets	$ 286,232	$ 216,886	$ 221,474
Classification of operating lease assets	Operating lease assets
Current operating lease liabilities	$ 55,479	56,587	55,897
Classification current operating lease liabilities	Current operating lease liabilities
Noncurrent operating lease liabilities	$ 246,834	178,247	183,522
Classification of noncurrent operating liabilities	Noncurrent operating lease liabilities
Total lease liabilities	$ 302,313	$ 234,834	$ 239,419

LEASES - Lease cost (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
LEASES - Lease cost (Details) - USD ($) $ in Millions	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
Selling, general and administrative expenses
Lease, Cost [Abstract]
Lease costs	$ 19.0	$ 18.1	$ 55.2	$ 55.1

LEASES - Future minimum payments under our operating lease (Details) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
Lessee, Operating Lease, Liability, Payment, Due [Abstract]
2025	$ 18,641
2026	72,868
2027	61,177
2028	51,862
2029	42,716
After 2029	130,897
Total lease payments	378,161
Less: Interest	75,848
Present value of lease liabilities	$ 302,313	$ 234,834	$ 239,419

LEASES - Other information (Details) - USD ($) $ in Millions	9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023
LEASES
Operating lease, lease not yet commenced, description	As of October 31, 2024, there are no material leases that are legally binding but have not yet commenced.
Weighted average remaining lease term	6 years 8 months 12 days
Weighted average discount rate	6.80%
Cash paid for amounts included in the measurement of operating lease liabilities	$ 58.9	$ 53.2
Right-of-use assets obtained in exchange for lease obligations	$ 108.7	$ 26.8

NET INCOME PER COMMON SHARE - Reconciliation between basic and diluted net income per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
NET INCOME PER COMMON SHARE
Net income attributable to G-III Apparel Group, Ltd.	$ 114,768	$ 127,640	$ 144,782	$ 147,314
Basic net income per share:
Basic common shares	43,885	45,723	44,640	45,904
Basic net income per share (in dollars per share)	$ 2.62	$ 2.79	$ 3.24	$ 3.21
Diluted net income per share:
Basic common shares	43,885	45,723	44,640	45,904
Dilutive restricted stock unit awards and stock options	1,069	837	1,079	1,088
Diluted common shares	44,954	46,560	45,719	46,992
Diluted net income per share (in dollars per share)	$ 2.55	$ 2.74	$ 3.17	$ 3.13

NET INCOME PER COMMON SHARE - Textuals (Details) - shares	3 Months Ended		9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
NET INCOME PER COMMON SHARE
Common stock excluded from the diluted net income per share calculation	0	8,200	0	59,200

NOTES PAYABLE - Long-term debt (Details) $ in Thousands, € in Millions	Oct. 31, 2024 USD ($)	Oct. 31, 2024 EUR (€)	Jan. 31, 2024 USD ($)	Oct. 31, 2023 USD ($)
Debt Instrument [Line Items]
Total	$ 213,898		$ 402,807	$ 402,846
Long-term Debt
Debt Instrument [Line Items]
Subtotal	224,175		420,381	465,130
Less: Net debt issuance costs			(2,548)	(2,972)
Debt discount				(213)
Current portion of long-term debt	(10,277)		(15,026)	(59,099)
Secured Notes \| Long-term Debt
Debt Instrument [Line Items]
Subtotal			400,000	400,000
Revolving credit facility
Debt Instrument [Line Items]
Debt issuance costs	5,200		2,400	2,800
Revolving credit facility \| Long-term Debt
Debt Instrument [Line Items]
Subtotal	210,055
Note issued to LVMH
Debt Instrument [Line Items]
Debt discount	(40,000)
Note issued to LVMH \| Long-term Debt
Debt Instrument [Line Items]
Subtotal				50,000
Unsecured loans
Debt Instrument [Line Items]
Total	7,300	€ 6.0
Unsecured loans \| Long-term Debt
Debt Instrument [Line Items]
Subtotal	7,326		8,791	9,097
Overdraft facilities \| Long-term Debt
Debt Instrument [Line Items]
Subtotal	4,608		2,651	1,872
Foreign credit facility \| Long-term Debt
Debt Instrument [Line Items]
Subtotal	$ 2,186		$ 8,939	$ 4,161

NOTES PAYABLE - Textuals (Details) $ in Thousands, € in Millions, SFr in Millions			1 Months Ended	9 Months Ended
	Dec. 01, 2023 USD ($)	Jun. 01, 2023 USD ($)	Aug. 31, 2024 USD ($)	Oct. 31, 2024 USD ($)	Oct. 31, 2024 EUR (€)	Oct. 31, 2024 EUR (€)	Oct. 31, 2024 CHF (SFr)	Jan. 31, 2024 USD ($)	Oct. 31, 2023 USD ($)	Aug. 06, 2020 USD ($)
Debt Instrument [Line Items]
Repayment of principle amount				$ 400,000
Outstanding amount				$ 213,898				$ 402,807	$ 402,846
Unamortized debt issuance costs										$ 1,900
Long-term Debt
Debt Instrument [Line Items]
Debt discount									213
Secured Notes
Debt Instrument [Line Items]
Repayment of principle amount			$ 400,700
Redemption percentage			100.00%
Debt instrument interest rate				7.875%		7.875%	7.875%
Principal amount of debt			$ 400,000	$ 400,000
Unamortized debt issuance costs			$ 1,600
Redemption percentage of principal amount redeemed			100.00%
Revolving credit facility
Debt Instrument [Line Items]
Debt issuance costs				$ 5,200				$ 2,400	$ 2,800
Note issued to LVMH
Debt Instrument [Line Items]
Repayment of principle amount	$ 50,000	$ 75,000
Debt instrument interest rate				2.00%		2.00%	2.00%
Principal amount of debt				$ 125,000
Debt discount				$ 40,000
Note issued to LVMH \| Notes Payable Due On June 1 2023
Debt Instrument [Line Items]
Repayment of principle amount		$ 75,000
Maturity date				Jun. 01, 2023	Jun. 01, 2023
Note issued to LVMH \| Notes Payable due on December 1, 2023
Debt Instrument [Line Items]
Repayment of principle amount	$ 50,000
Maturity date				Dec. 01, 2023	Dec. 01, 2023
Unsecured loans
Debt Instrument [Line Items]
Outstanding amount				$ 7,300		€ 6.0
Installment payments \| €					€ 0.6
Overdraft facility
Debt Instrument [Line Items]
Borrowings outstanding				4,600		4.1
Standby Letters of Credit
Debt Instrument [Line Items]
Borrowings outstanding				2,900
Foreign credit facility
Debt Instrument [Line Items]
Maximum borrowing amount \| €						15.0
Borrowings outstanding				$ 2,200		2.0
Foreign credit facility \| Euro Interbank Offered Rate [Member]
Debt Instrument [Line Items]
Variable rate spread				1.70%	1.70%
Trade
Debt Instrument [Line Items]
Borrowings outstanding				$ 6,200
HSBC Bank [Member] \| Overdraft facility
Debt Instrument [Line Items]
Maximum borrowing amount \| €						€ 10.0
HSBC Bank [Member] \| Overdraft facility \| Euro Interbank Offered Rate [Member]
Debt Instrument [Line Items]
Variable rate spread				1.75%	1.75%
UBS Bank [Member] \| Overdraft facility
Debt Instrument [Line Items]
Borrowings outstanding \| SFr							SFr 4.7
Minimum \| Unsecured loans
Debt Instrument [Line Items]
Fixed rate				0.00%		0.00%	0.00%
Minimum \| UBS Bank [Member] \| Overdraft facility
Debt Instrument [Line Items]
Debt instrument interest rate				0.00%		0.00%	0.00%
Maximum \| Unsecured loans
Debt Instrument [Line Items]
Fixed rate				5.00%		5.00%	5.00%
Maximum \| UBS Bank [Member] \| Overdraft facility
Debt Instrument [Line Items]
Debt instrument interest rate				0.50%		0.50%	0.50%

NOTES PAYABLE - Third Amended and Restated ABL Credit Agreement (Details) - USD ($) $ in Thousands		9 Months Ended
	Jun. 04, 2024	Oct. 31, 2024	Jun. 03, 2024	Jan. 31, 2024	Oct. 31, 2023	Aug. 07, 2020	Aug. 06, 2020
Debt Instrument [Line Items]
Outstanding amount		$ 213,898		$ 402,807	$ 402,846
Unamortized debt issuance costs							$ 1,900
Third amended and restated credit agreement
Debt Instrument [Line Items]
Amortization of debt issuance cost	$ 0
Third amended and restated credit agreement \| Maximum
Debt Instrument [Line Items]
Debt instrument commitment fee percentage		0.375%
Third amended and restated credit agreement \| Minimum
Debt Instrument [Line Items]
Debt instrument commitment fee percentage		0.25%
Senior secured credit facility
Debt Instrument [Line Items]
Debt issuance costs						$ 5,600
Senior secured credit facility \| Second amended and restated credit agreement
Debt Instrument [Line Items]
Senior secured credit facility			$ 650,000
Maturity date	Aug. 07, 2025
Senior secured credit facility \| Third amended and restated credit agreement
Debt Instrument [Line Items]
Term of credit agreement	5 years
Senior secured credit facility	$ 700,000
Weighted average interest rate		6.57%
Fixed charge coverage ratio		1.00%
Credit covenant compliance		As of October 31, 2024, the Company was in compliance with these covenants.
Debt issuance costs						$ 3,800
Senior secured credit facility \| Third amended and restated credit agreement \| Base rate \| Maximum
Debt Instrument [Line Items]
Spread interest rate	1.00%
Senior secured credit facility \| Third amended and restated credit agreement \| Base rate \| Minimum
Debt Instrument [Line Items]
Spread interest rate	0.50%
Senior secured credit facility \| Third amended and restated credit agreement \| Federal funds rate
Debt Instrument [Line Items]
Spread interest rate	0.50%
Senior secured credit facility \| Third amended and restated credit agreement \| Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate
Debt Instrument [Line Items]
Spread interest rate	1.00%
Senior secured credit facility \| Third amended and restated credit agreement \| Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate \| Maximum
Debt Instrument [Line Items]
Spread interest rate	2.00%
Senior secured credit facility \| Third amended and restated credit agreement \| Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate \| Minimum
Debt Instrument [Line Items]
Spread interest rate	1.50%
Trade
Debt Instrument [Line Items]
Borrowings outstanding		$ 6,200
Standby Letters of Credit
Debt Instrument [Line Items]
Borrowings outstanding		2,900
Revolving credit facility
Debt Instrument [Line Items]
Debt issuance costs		5,200		$ 2,400	$ 2,800
Revolving credit facility \| Senior secured credit facility \| Third amended and restated credit agreement
Debt Instrument [Line Items]
Outstanding amount		$ 210,100

REVENUE RECOGNITION - Textuals (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Oct. 31, 2024	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
REVENUE RECOGNITION
Customer refund liabilities	$ 88,323	$ 88,323	$ 84,054	$ 108,042
Contract liability	4,600	4,600	5,200	3,300
Revenue recognized related to contract liabilities	3,600	4,500
Contract assets	$ 0	$ 0	$ 0	$ 0

SEGMENTS - Information Regarding Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
Segment Reporting Information [Line Items]
Net sales	$ 1,086,759	$ 1,067,110	$ 2,341,261	$ 2,333,460
Cost of goods sold	654,628	633,697	1,374,363	1,373,594
Gross profit	432,131	433,413	966,898	959,866
Selling, general and administrative expenses	259,240	236,308	724,891	703,476
Depreciation and amortization	6,556	6,595	20,704	19,130
Asset impairments		222		222
Operating profit	166,335	190,288	221,303	237,038
Operating Segments \| Wholesale
Segment Reporting Information [Line Items]
Net sales	1,066,635	1,054,303	2,284,710	2,280,391
Cost of goods sold	656,659	636,961	1,374,544	1,369,315
Gross profit	409,976	417,342	910,166	911,076
Selling, general and administrative expenses	235,628	213,263	658,645	633,841
Depreciation and amortization	5,674	5,475	17,113	16,247
Asset impairments		222		222
Operating profit	168,674	198,382	234,408	260,766
Operating Segments \| Retail
Segment Reporting Information [Line Items]
Net sales	42,333	32,711	110,060	97,268
Cost of goods sold	20,178	16,640	53,328	48,478
Gross profit	22,155	16,071	56,732	48,790
Selling, general and administrative expenses	23,612	23,045	66,246	69,635
Depreciation and amortization	882	1,120	3,591	2,883
Operating profit	(2,339)	(8,094)	(13,105)	(23,728)
Elimination
Segment Reporting Information [Line Items]
Net sales	(22,209)	(19,904)	(53,509)	(44,199)
Cost of goods sold	$ (22,209)	$ (19,904)	$ (53,509)	$ (44,199)

SEGMENTS - Schedule of Total Net Sales by Licensed and Proprietary Product Sales (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
Segment Reporting Information [Line Items]
Net sales	$ 1,086,759	$ 1,067,110	$ 2,341,261	$ 2,333,460
Elimination
Segment Reporting Information [Line Items]
Net sales	(22,209)	(19,904)	(53,509)	(44,199)
Wholesale \| Operating Segments
Segment Reporting Information [Line Items]
Net sales	1,066,635	1,054,303	2,284,710	2,280,391
Wholesale \| Operating Segments \| Licensed Brands
Segment Reporting Information [Line Items]
Net sales	560,780	625,231	1,109,630	1,261,894
Wholesale \| Operating Segments \| Proprietary Brands
Segment Reporting Information [Line Items]
Net sales	505,855	429,072	1,175,080	1,018,497
Retail \| Operating Segments
Segment Reporting Information [Line Items]
Net sales	42,333	32,711	110,060	97,268
Retail \| Operating Segments \| Proprietary Brands
Segment Reporting Information [Line Items]
Net sales	$ 42,333	$ 32,711	$ 110,060	$ 97,268

Segments - Information of total assets for company's reportable segments (Details) - USD ($) $ in Thousands	Oct. 31, 2024	Jan. 31, 2024	Oct. 31, 2023
Segment Reporting Information [Line Items]
Total assets	$ 2,783,611	$ 2,681,164	$ 2,749,333
Operating Segments
Segment Reporting Information [Line Items]
Total assets	2,783,611	2,681,164	2,749,333
Operating Segments \| Wholesale operations
Segment Reporting Information [Line Items]
Total assets	1,611,042	1,562,203	1,700,179
Operating Segments \| Retail
Segment Reporting Information [Line Items]
Total assets	115,505	104,272	120,080
Operating Segments \| Corporate Segment
Segment Reporting Information [Line Items]
Total assets	$ 1,057,064	$ 1,014,689	$ 929,074

SEGMENTS - Textuals (Details)	9 Months Ended
SEGMENTS - Textuals (Details)	Oct. 31, 2024 segment
SEGMENTS
Number of reportable segments	2

STOCKHOLDERS' EQUITY - Textuals (Details) - shares	3 Months Ended		9 Months Ended
STOCKHOLDERS' EQUITY - Textuals (Details) - shares	Oct. 31, 2024	Oct. 31, 2023	Oct. 31, 2024	Oct. 31, 2023
STOCKHOLDERS' EQUITY [Abstract]
Common stock, shares issued	0	0	0	0
Treasury stock, shares utilized of equity awards	0	4,354	366,714	608,325

FABCO (Details) - USD ($) $ in Thousands		9 Months Ended
FABCO (Details) - USD ($) $ in Thousands	Apr. 17, 2024	Oct. 31, 2024
Business Acquisition [Line Items]
Extinguishment of deferred financing costs		$ (1,598)
Fabco
Business Acquisition [Line Items]
Remaining percentage of interest	25.00%
Total consideration	$ 200
Business combination recognized identifiable assets acquired and liabilities	1,200
Adjustment to liabilities in acquisition		600
Extinguishment of deferred financing costs		600
Business Combination equity Interest in acquiree		$ 0
Fabco \| non interest bearing promissory notes
Business Acquisition [Line Items]
Face amount	600
Fabco \| Non interest bearing promissory notes due and payable on April 17, 2025.
Business Acquisition [Line Items]
Face amount	400
Fabco \| Non interest bearing promissory notes due and payable on April 17, 2026.
Business Acquisition [Line Items]
Face amount	$ 200

AWWG INVESTMENT (Details) $ in Thousands, € in Millions	1 Months Ended				9 Months Ended
AWWG INVESTMENT (Details) $ in Thousands, € in Millions	Jul. 31, 2024 USD ($)	Jul. 31, 2024 EUR (€)	May 31, 2024 USD ($)	May 31, 2024 EUR (€)	Oct. 31, 2024 USD ($)	Oct. 31, 2023 USD ($)	Jul. 19, 2024	Jul. 18, 2024
Schedule of Equity Method Investments [Line Items]
Payments to acquire investments					$ 84,832	$ 3,600
Percentage of additional interest acquired	6.60%	6.60%
AWWG Investments B.V.
Schedule of Equity Method Investments [Line Items]
Percentage of equity method investment	18.70%	18.70%
Payments to acquire investments			$ 53,600	€ 50.0
AWWG Investments B.V. \| AWWG
Schedule of Equity Method Investments [Line Items]
Percentage acquired							6.60%
AWWG Investments B.V.
Schedule of Equity Method Investments [Line Items]
Percentage of ownership interest			12.10%	12.10%				12.10%
Payments to acquire investments \| €		€ 27.1
AWWG Investments B.V. \| AWWG Investments B.V.
Schedule of Equity Method Investments [Line Items]
Payments to acquire investments	$ 29,100

G III Apparel (NASDAQ:GIII)
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