Loading...
•
Sep 28, 2024
Tapestry Q1 2025 Earnings Report
Tapestry's Q1 2025 results exceeded expectations, driven by growth in Coach and strong cash flow generation.
Key Takeaways
Tapestry, Inc. reported fiscal 2025 first quarter results with revenue approximately in-line with prior year and earnings ahead of the company's outlook, led by growth at Coach. The company achieved diluted EPS of $0.79 and record non-GAAP diluted EPS of $1.02. Tapestry is raising its Fiscal 2025 outlook.
Revenue and earnings were above expectations, driven by Coach's growth.
Diluted EPS reached $0.79, with a record non-GAAP diluted EPS of $1.02.
Gross margin expanded by 280 basis points, with strong operating and free cash flow.
The company is raising its Fiscal 2025 outlook.
Tapestry
Tapestry
Tapestry Revenue by Segment
Tapestry Revenue by Geographic Location
Revenue by Segment
Coach Revenue
CapyFin.comKate Spade Revenue
CapyFin.comStuart Weitzman Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comGreater China Revenue
CapyFin.comJapan Revenue
CapyFin.comOther Asia Revenue
CapyFin.comEurope Revenue
CapyFin.comOther Revenue
CapyFin.com Forward Guidance
Tapestry is raising its Fiscal 2025 outlook, which is provided on a non-GAAP basis. The Company now expects revenue of over $6.75 billion and Earnings per diluted share of $4.50 to $4.55.
Positive Outlook
- Revenue of over $6.75 billion, representing growth of approximately 1% to 2% versus prior year on a reported and constant currency basis
- Operating margin expansion over 50 basis points compared to prior year
- Net interest income of approximately $20 million
- Tax rate of approximately 19%
- Earnings per diluted share of $4.50 to $4.55, representing mid-single digit growth compared to the prior year
Challenges Ahead
- No revenue, net interest, or earnings impact related to the proposed acquisition of Capri Holdings Limited
- No impact from any potential future share repurchase activity in the Fiscal Year
- No further appreciation of the U.S. Dollar; information provided based on spot rates at the time of forecast
- No material worsening of inflationary pressures or consumer confidence
- No benefit from the potential reinstatement of the Generalized System of Preferences (“GSP”)
Revenue & Expenses
Visualization of income flow from segment revenue to net income