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Guess? Q1 Earnings Coming Up: What Investors Need to Understand
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Key Takeaways
GES expects Q1 sales to rise 5.8-7.5%, signaling wholesale gains in Europe and the Americas.
Q1 loss is expected for GES despite revenue growth, as cost pressures and price sensitivity weigh.
GES maintains a projected net currency headwind for FY26, with Q1 expected to be the most impacted.
Guess?, Inc. (GES - Free Report) is likely to register top-line growth when it reports first-quarter fiscal 2026 earnings on June 5. The Zacks Consensus Estimate for revenues is pegged at $631 million, implying a 6.6% increase from the prior-year quarter’s reported figure.
However, Guess? is likely to register a bottom-line decline in the fiscal first quarter. The consensus mark for the bottom line has remained unchanged in the past 30 days at a loss of 70 cents per share, projecting a deterioration from the loss of 27 cents reported in the year-ago quarter. GES has a trailing four-quarter earnings surprise of 2.6%, on average.
Guess? is operating in an increasingly complex consumer environment, shaped by ongoing economic pressures and shifting purchasing behaviors. A major challenge for the company is the growing price sensitivity among its customer base. Macroeconomic factors — such as persistent inflation and broader economic uncertainty — are leading consumers to prioritize value-driven purchases over premium offerings. This change in behavior is placing pressure on GES’ premium pricing strategy and contributing to weaker performance, particularly in key markets like North America and Asia.
Adding to these challenges, Guess? is facing elevated freight costs, especially in its European operations. During its fourth-quarter fiscal 2025 earnings call, the company mentioned that it is facing elevated shipping expenses, especially in its operations in Europe, which is increasing operating expenses. The company is also experiencing a rise in selling, general & administrative (SG&A) expenses, largely due to increased marketing investments and infrastructure spending. These higher costs are further pressuring margins.
On an adjusted basis, Guess? expects to post a loss of 74-65 cents per share in the to-be-reported quarter. On a GAAP basis, management expects a loss in the range of 75-66 cents per share in the fiscal first quarter. Moreover, the company has projected a net currency headwind for fiscal 2026, with the most pronounced impact expected in the fiscal first quarter.
With an expanding product portfolio, growing direct-to-consumer channels and effective cost management, Guess? is strategically positioned to navigate challenges. The company continues to see positive results from its wholesale operations, particularly in the European and Americas markets. For the first quarter of fiscal 2026, management expects revenue growth of 5.8-7.5%.
Earnings Whispers for GES Stock
Our proven model does not conclusively predict an earnings beat for Guess? this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Guess? currently has a Zacks Rank #5 (Strong Sell) and an Earnings ESP of 0.00%.
Some Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Dollar Tree (DLTR - Free Report) has an Earnings ESP of +5.49% and currently carries a Zacks Rank of 3. DLTR’s top line is anticipated to decline year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $4.54 billion, which suggests a 40.5% plunge from the figure reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dollar Tree is expected to register a decrease in the bottom line. The consensus estimate for Dollar Tree’s first-quarter earnings is pegged at $1.19 per share, down 16.8% from the year-ago quarter.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.38% and a Zacks Rank of 3. KR’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $45.38 billion, which indicates a 0.3% rise from the figure reported in the year-ago quarter.
Kroger is expected to register an increase in the bottom line. The consensus estimate for KR’s first-quarter earnings is pegged at $1.44 per share, up 1% from the year-ago quarter. Kroger delivered a trailing four-quarter earnings surprise of 2.6%, on average.
Victoria's Secret & Co. (VSCO - Free Report) currently has an Earnings ESP of +54.55% and a Zacks Rank #3. The Zacks Consensus Estimate for current-quarter earnings per share is pegged at 4 cents, down from 12 cents registered in the year-ago period.
Victoria's Secret's quarterly revenues are pegged at $1.33 billion, which indicates a decline of 2.1% from the prior-year quarter. VSCO delivered a trailing four-quarter earnings surprise of 12.3%, on average.
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Guess? Q1 Earnings Coming Up: What Investors Need to Understand
Key Takeaways
Guess?, Inc. (GES - Free Report) is likely to register top-line growth when it reports first-quarter fiscal 2026 earnings on June 5. The Zacks Consensus Estimate for revenues is pegged at $631 million, implying a 6.6% increase from the prior-year quarter’s reported figure.
However, Guess? is likely to register a bottom-line decline in the fiscal first quarter. The consensus mark for the bottom line has remained unchanged in the past 30 days at a loss of 70 cents per share, projecting a deterioration from the loss of 27 cents reported in the year-ago quarter. GES has a trailing four-quarter earnings surprise of 2.6%, on average.
Guess?, Inc. Price and EPS Surprise
Guess?, Inc. price-eps-surprise | Guess?, Inc. Quote
Things to Know Ahead of GES’ Q1 Earnings
Guess? is operating in an increasingly complex consumer environment, shaped by ongoing economic pressures and shifting purchasing behaviors. A major challenge for the company is the growing price sensitivity among its customer base. Macroeconomic factors — such as persistent inflation and broader economic uncertainty — are leading consumers to prioritize value-driven purchases over premium offerings. This change in behavior is placing pressure on GES’ premium pricing strategy and contributing to weaker performance, particularly in key markets like North America and Asia.
Adding to these challenges, Guess? is facing elevated freight costs, especially in its European operations. During its fourth-quarter fiscal 2025 earnings call, the company mentioned that it is facing elevated shipping expenses, especially in its operations in Europe, which is increasing operating expenses. The company is also experiencing a rise in selling, general & administrative (SG&A) expenses, largely due to increased marketing investments and infrastructure spending. These higher costs are further pressuring margins.
On an adjusted basis, Guess? expects to post a loss of 74-65 cents per share in the to-be-reported quarter. On a GAAP basis, management expects a loss in the range of 75-66 cents per share in the fiscal first quarter. Moreover, the company has projected a net currency headwind for fiscal 2026, with the most pronounced impact expected in the fiscal first quarter.
With an expanding product portfolio, growing direct-to-consumer channels and effective cost management, Guess? is strategically positioned to navigate challenges. The company continues to see positive results from its wholesale operations, particularly in the European and Americas markets. For the first quarter of fiscal 2026, management expects revenue growth of 5.8-7.5%.
Earnings Whispers for GES Stock
Our proven model does not conclusively predict an earnings beat for Guess? this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Guess? currently has a Zacks Rank #5 (Strong Sell) and an Earnings ESP of 0.00%.
Some Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.
Dollar Tree (DLTR - Free Report) has an Earnings ESP of +5.49% and currently carries a Zacks Rank of 3. DLTR’s top line is anticipated to decline year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $4.54 billion, which suggests a 40.5% plunge from the figure reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dollar Tree is expected to register a decrease in the bottom line. The consensus estimate for Dollar Tree’s first-quarter earnings is pegged at $1.19 per share, down 16.8% from the year-ago quarter.
The Kroger Co. (KR - Free Report) currently has an Earnings ESP of +0.38% and a Zacks Rank of 3. KR’s top line is anticipated to advance year over year when it reports first-quarter fiscal 2025 results. The Zacks Consensus Estimate for its quarterly revenues is pegged at $45.38 billion, which indicates a 0.3% rise from the figure reported in the year-ago quarter.
Kroger is expected to register an increase in the bottom line. The consensus estimate for KR’s first-quarter earnings is pegged at $1.44 per share, up 1% from the year-ago quarter. Kroger delivered a trailing four-quarter earnings surprise of 2.6%, on average.
Victoria's Secret & Co. (VSCO - Free Report) currently has an Earnings ESP of +54.55% and a Zacks Rank #3. The Zacks Consensus Estimate for current-quarter earnings per share is pegged at 4 cents, down from 12 cents registered in the year-ago period.
Victoria's Secret's quarterly revenues are pegged at $1.33 billion, which indicates a decline of 2.1% from the prior-year quarter. VSCO delivered a trailing four-quarter earnings surprise of 12.3%, on average.