G-III Apparel Group (GIII) stock surged over 5% in Tuesday's pre-market trading after the apparel maker reported stronger than expected fiscal third quarter earnings and raised its full-year profit forecast.

For the quarter ended October 31, G-III posted adjusted earnings per share of $2.59, beating consensus estimates of $2.27. Though revenues of $1.09 billion narrowly missed expectations of $1.1 billion, the company saw over 30% organic growth in key owned brands like DKNY, Karl Lagerfeld, and Donna Karan despite a challenging retail environment.

Buoyed by the Q3 outperformance, G-III raised its fiscal 2025 adjusted EPS guidance to $4.10-$4.20 from $3.95-$4.05 previously. However, it trimmed its full-year revenue forecast to $3.15 billion from $3.2 billion earlier, citing unseasonable weather and supply chain disruptions.

CEO Morris Goldfarb cited strengthening sell-through trends across brands in the current quarter and leaner inventories positioned to support demand for the remaining holiday and spring seasons. Inventories declined 10% year-over-year to $532.5 million.