Michael Kors-Owner Capri Posts Quarterly Revenue Above Estimates
Capri has narrowed down its focus on Michael Kors fashion brand following a failed attempt to merge with rival and Coach-parent Tapestry last year. In April, the company sold its underperforming Versace label to Italian rival Prada in a $1.38 billion deal.
"We are confident in our ability to grow Michael Kors to $4 billion in revenue and Jimmy Choo to $800 million over time, while restoring operating margin to the double-digit range," Capri CEO John Idol said.
Consumers in North America have scaled back spending on high-end goods amid concerns over looming price hikes on everyday essentials and discretionary items in the coming months due to higher supply chain costs fueled by new tariffs.
The company now expects total annual revenue in the range of $3.3 billion to $3.4 billion, accounting for Versace now as part of discontinued operations.
The forecast excludes changes in global macroeconomic conditions, tariff rates, higher inflation or weakening consumer confidence, Capri said.
It posted a 15.4% drop in revenue to $1.04 billion for the quarter ended March 29, compared with analysts' average estimate of a 19.3% decline to $986.57 million, according to data compiled by LSEG.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Asharq Al-Awsat
8 hours ago
- Asharq Al-Awsat
Trump Suggests Fed May Be Ready to Lower Interest Rates
President Donald Trump said on Friday he had a good meeting with Federal Reserve Chair Jerome Powell and got the impression that the head of the US central bank might be ready to lower interest rates. The two men met on Thursday when Trump made a rare visit to the US central bank to tour the ongoing renovation of two buildings at its headquarters in Washington. The White House has criticized the cost of the project, and the president and Powell sparred over the issue during the visit. Trump also took the opportunity to again publicly call on Powell to slash rates immediately. "We had a very good meeting ... I think we had a very good meeting on interest rates," the president told reporters on Friday. "He (Powell) said, 'Congratulations, the country is doing really well,' and I got that to mean that I think he's going to start recommending lower rates because of that conversation," Trump said. The Fed is widely expected to leave its benchmark interest rate in the 4.25%-4.50% range at the conclusion of a two-day policy meeting next week. Powell has said the Fed should wait for more data before adjusting rates. The visibly tense exchange between Trump and Powell at the Fed's massive construction site on Thursday marked an escalation of White House pressure on the central bank as well as Trump's efforts to get Powell to lower rates. The US central bank said on Friday it was "grateful" for Trump's encouragement to complete the renovation of its buildings in Washington and that it "looked forward" to seeing the project through to completion. Trump, who called Powell a "numbskull" earlier this week for failing to heed the White House's demand for a large reduction in borrowing costs, also said on Thursday he did not intend to fire the Fed chief, as he has frequently suggested he would.
Al Arabiya
9 hours ago
- Al Arabiya
Beer and food workers on strike at Fenway for homestand between dodgers and red sox
Hundreds of Aramark workers at Fenway Park are on strike and planning to stay out for all of a homestand between the Boston Red Sox and the Los Angeles Dodgers starting Friday night. Concession workers had set a deadline of noon Friday for Aramark and Fenway Park to reach an agreement with the Local 26 chapter of the Massachusetts and Rhode Island hotel casino airport and food services workers union. The union went on strike at noon asking for living wages, guardrails on technology, and R-E-S-P-E-C-T! With the Red Sox and Dodgers scheduled to start at 7:10 p.m. EDT, union officials had a request for fans attending this homestand with food and beer workers on strike: 'We're asking you to NOT buy concessions inside the ballpark,' Local 26 wrote on social media. 'Tailgate before the games!' Union workers walked the picket line wearing green T-shirts declaring 'FENWAY WORKERS ON STRIKE.' They carried signs in the shape of a baseball proclaiming 'Local 26.' The Red Sox go out of town Monday with a game that night at Minnesota.
Al Arabiya
9 hours ago
- Al Arabiya
Mlb trade deadline: Eugenio Suárez, Mitch Keller, Seth Lugo among prized players who could move
The Arizona Diamondbacks got the trade deadline party started on Thursday night when they dealt 2024 All-Star Josh Naylor to the Seattle Mariners for two pitching prospects. That probably won't be the last time the D-backs make news before the July 31 deadline. Arizona has had a disappointing season with a 50-53 record and now appears to be one of the most active sellers on the MLB market dangling third baseman Eugenio Suárez and starting pitchers Zac Gallen and Merrill Kelly. The potential buyers include teams like the New York Yankees, New York Mets, Detroit Tigers, Philadelphia Phillies, Chicago Cubs, and Los Angeles Dodgers, who are all trying to beef up their rosters in hopes of a deep playoff run. The market is heating up quickly: The Yankees acquired third baseman Ryan McMahon from the Rockies on Friday, while the Mets added left-handed reliever Gregory Soto from the Orioles. The D-backs have been one of the most intriguing teams in baseball over the past few weeks because management has had to make a tough decision whether to buy or sell. Arizona had a 50-50 record after sweeping the St. Louis Cardinals following the All-Star break but were then swept by the Houston Astros. Those three losses appeared to seal their fate as sellers – though Arizona general manager Mike Hazen said he's still open to changing course. 'I want to see this team to continue to go out there and play,' Hazen said. 'I haven't decided what it's going to look like honestly. I'm open-minded to a number of different things. … Quite frankly, we're listening to what people have to say and what people have to offer, and we're going to do what's best for the long term for this organization.' Naylor's already gone, and he'll help a Seattle lineup that could use a little more punch. Suárez is having one of the best seasons of his career, slugging 36 homers over 101 games, and is arguably the best bat on the market. Here's a look at some of the top players who could be available as teams try to upgrade for the stretch run: Eugenio Suárez, 3B, Arizona Diamondbacks: Suárez is just an average defensive third baseman these days, but that's not why teams want to acquire him. He's got the kind of bat that can carry a team for weeks at a time – major pop from the right side of the plate. He has 312 career homers, is well-liked in the locker room, and has been productive in limited postseason at-bats with a .300 average. Mitch Keller, SP, Pittsburgh Pirates: The 29-year-old Keller has been overshadowed in the Pirates rotation thanks to the emergence of young star Paul Skenes, but the right-hander has been a reliable starter for the past four seasons and was an All-Star in 2023. The one catch is it'll take a sizable haul for the Pirates to make a deal: He's under contract through 2028 as part of a relatively reasonable 77 million five-year deal. Seth Lugo, SP, Kansas City Royals: Lugo has thrived in Kanas City over the past three seasons, moving to the starting rotation from the bullpen and providing consistent results. The 2024 All-Star has a 7-5 record with a 2.95 ERA over 19 starts this year. Zac Gallen, SP, Arizona Diamondbacks: Gallen is having the worst full season of his career with a 7-11 record and 5.58 ERA but could still be an attractive add for a team that needs a starter. The 29-year-old right-hander has been one of the top pitchers in the National League over the past five years, finishing in the top 10 of the Cy Young voting in 2020, 2022, and 2023. His stuff is still good, and he's had a handful of dominant starts this season. Merrill Kelly, SP, Arizona Diamondbacks: The 36-year-old righty has quietly been one of the most consistent pitchers in baseball with a 9-5 record and 3.32 ERA. He was also excellent during the D-backs postseason run in 2023 with a 3-1 record, 2.25 ERA, and 28 strikeouts over 24 innings. Kelly doesn't have an overpowering fastball but has a five-pitch mix that has consistently delivered results. Sandy Alcantara, SP, Miami Marlins: The 29-year-old Alcantara isn't the same pitcher he was when he won the 2022 NL Cy Young Award, but the right-hander still has quite a bit of upside. He gave up just one unearned run over seven innings in a win against the Padres on Wednesday, which might help his value. His rotation partner Edward Cabrera – another right-hander – could also garner attention with a 3.48 ERA over 17 starts. Ryan O'Hearn, 1B/DH, Baltimore Orioles: The 31-year-old is having a career year with a .281 average, .375 on-base percentage, and 14 homers, helping him earn All-Star honors for the first time in his career. His left-handed bat would be useful in a contender's lineup.
