In the European market, revenues rose by 10% while revenues for the Americas Wholesale segment rose by 28% in Q3 FY26.
However, Guess?’s Americas retail division experienced a 2% decline in revenue in both reported and constant currency measures, while retail comparable sales (including ecommerce) decreased 3%.
The company’s revenues in Asia decreased by 8% over the quarter.
Guess? CEO Carlos Alberini said: “We are pleased with our third quarter performance, with revenue growth of 7% in US dollars and 5% in constant currency, driven by a strong performance of our Americas Wholesale and Europe businesses. In our Americas Retail business, despite continued softness, we were encouraged by the continued improvement in same-store sales versus the prior quarter.”
Guess? posted net earnings of $25.6m in the third quarter, an improvement from a GAAP net loss of $23.4m during the equivalent period last year.
The company’s GAAP earnings from operations stood at $23.2m in Q3, down by 45.2% from $42.3m previously.
The operating margin under GAAP was reported at 2.9%, down from 5.7% during the prior-year quarter. According to Guess?, this decrease was primarily due to higher expenses, which included proposed transaction costs related to its pending take-private deal, store operating costs and restructuring charges.
Guess? had entered into a definitive agreement for certain shareholders, including Maurice Marciano, Paul Marciano, Carlos Alberini, and Nicolai Marcian, along with affiliates, to form a strategic partnership with Authentic Brands Group on 20 August 2025.
Under this arrangement, Authentic would acquire a controlling stake of 51% while these shareholders would hold the remaining 49% of substantially all intellectual property assets.
The transaction is subject to standard regulatory approvals and is expected to close in the fourth quarter of FY26.
Guess? has suspended its financial guidance for fiscal 2026 due to the proposed transaction with Authentic.
In its first quarter fiscal 2026 results, the company projected full-year revenue growth of 5.5% to 7.4% and expected GAAP operating earnings in the range of $124m to $148m.
Diluted EPS for the full year is expected to range from $0.87 to $1.11.
“Guess? Q3 revenue up 7% as guidance paused amid Authentic deal” was originally created and published by Just Style, a GlobalData owned brand.
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