Coach owner Tapestry posts positive third quarter
Tapestry, the owner of Coach, Kate Spade and Stuart Weitzman, has seen its third quarter revenue increase by 13% year-on-year after it benefited from strong digital sales.
The company said its global sales came in ahead of expectations despite a challenging trading environment. Revenue growth of 22% in its North America region fully offset a mid-teens decline in mainland China where trade was impacted by the resurgence of Covid-19.
Meanwhile, online sales rose by over 20% on the prior year.
Joanne Crevoiserat, chief executive of Tapestry, said: “Our third quarter results significantly exceeded expectations led by continued strong growth in North America. We drove increased customer demand at Coach, Kate Spade and Stuart Weitzman, reflecting the vibrancy of each of our brands, the power of our platform and our team’s successful execution of our strategic initiatives.”
However, the company has lowered its full year profit projection to $3.45 per share from a previous guidance of $3.60 to $3.65 per share due to Covid related pressures in China.
Crevoiserat added: “We remain confident in our long-term growth opportunities and steadfast in our commitment to enhance value for our customers and shareholders.”
