Oxford Industries Stock Jumps After Strong Earnings and Positive Outlook

Oxford Industries Stock Surges After Q2 Beat, Promising Q3 Sales

Shares of Oxford Industries (OXM) soared more than 20% Thursday following a second-quarter earnings report that exceeded analyst expectations and an optimistic outlook for current-quarter sales, despite ongoing tariff challenges. The parent company of apparel brands Tommy Bahama,Lilly Pulitzer,and Johnny Was has demonstrated resilience in a turbulent trade environment,successfully implementing strategies to mitigate the impact of new U.S. tariffs.

Oxford Industries reported second-quarter adjusted earnings per share of $1.26, surpassing the $1.18 forecast by Visible Alpha analysts. While overall sales dipped 4% year-over-year to $403.1 million,falling short of estimates,the company’s profitability was bolstered by strong performance from its emerging Brands and proactive measures to offset rising costs.

CEO tom Chubb attributed the strong profit to swift action taken by Oxford to “quickly diversify our sourcing and also to pull some inventory receipts forward and calibrate pricing with care to help partially offset the impact on product costs from the incremental tariffs and evolving trade environment that has emerged this year.” The company estimates it would face $80 million in tariff costs this year “absent proactive mitigation efforts.”

The company’s emerging Brands segment experienced a significant 17% sales increase,reaching $38.5 million. However,sales declined at its core brands: Tommy Bahama (-6.6%), Lilly Pulitzer (-1.5%), and Johnny Was (-9.7%).

Looking ahead, Oxford expressed optimism regarding third-quarter performance, with Chubb noting “encouraged” results from comparable store sales, which are “modestly positive in the low single-digit range” to date. Despite Thursday’s gains, Oxford industries shares have still lost over a third of their value year-to-date. The company affirmed its existing sales and adjusted EPS guidance.