The company’s gross profit increased to $ 1.21 billion, resulting in a gross margin of 76.1 percent, about 140 bps from 74.7 percent of the previous year.
Tapestry, Inc., with strong benefits in coaches and DTC channels, reported $ 1.58 billion of YOY $ 1.58 billion net sales. Pure income reached $ 203 million. More than 1.2 million new North American customers were added, mainly Jean Z and Millennials. The company raised its FY25 revenue approach to $ 6.95 billion and expected income per share reflecting high-ending growth.
The business gave a compelling omni-channel experience, including a continuous increase in currency with a direct-to-consumer (DTC), which includes mid-cushion percentage increase in digital and a middle-map and a middle—-six digits increase in global brick-and-mortar sales, supported by increasing profitability in all channels, Tapestry said in a press release.
Innovation remained an important focus, in which a mid-ending increase in the average unit retail (AUR) in a strong handbag sales and the average unit in the coach highlights the product excellence and consumer appeal. The company continued to take advantage of its agile, global supply chain to run innovation, ensure price distribution and effectively manage inventory, supporting its quick growth and margin expansion.
The net income was $ 203 million, with GAAP income per thin shared $ 0.95 and non-GAP income with $ 220 million or $ 1.03 per share.
In Q3 FY25, the company strengthened its customer base by receiving more than 1.2 million new customers in North America, with General Z and Millennial Consumers, for about two-thirds of this development, said the release.
The company increased by 9 percent in North America, 35 percent in Europe and 4 percent in total Asia Pacific.
Brand-wise, coach achieved 13 percent revenue growth or 15 percent based on continuous currency, which is carried by consumer demand and product innovation. In contrast, Kate Kudal experienced a 13 percent decline in revenue (12 percent in continuous currency), which reflects the ongoing brand repairing efforts. Meanwhile, Stuart Witzman saw a decrease in revenue at the age of 18 percent, or 17 percent in currency.
“Our third quarter reinforces outperformance status of our strength. We intensified the growth of the top and bottom and increased our approach to the financial year, the power of the brand building and our connections with consumers around the world. Importantly, while the external background is complex, our vision is clear,” Joan Cravecereat, Tapestry, Chief Executive Officer (CEO).
“We maintain a bias for action and will exploit our competitive benefits, including our global level, compelling value, and strong basic things to adapt and win in any environment. We are convinced in a meaningful opportunity to give our future and durable development and shareholder value,” Crevoisrat said.
For a full FY25, the tapestry estimates a revenue of approximately $ 6.95 billion, indicating a 4 percent YOY increase, including a currency headwind of about 50 BPS – which increases its earlier forecast of an increase of about 3 percent.
The operating margin is still expected to expand by about 100 bps from the previous year. Pure interest expenses are estimated to be around $ 25 million, which has improved with an estimate of earlier $ 35 million. Per slim share income is estimated to reach $ 5, marking the high-endured percentage increase than the previous year and more than the first guidance of $ 4.85 to $ 4.90, the release was added.
Fibre2fashion news desk (sg)
