Capri Holdings beats Q1 revenue, profit estimates

Michael Kors owner Capri Holdings made revenue of 1.36 billion dollars in the first quarter ended July 2, up 8.5 percent compared to last year, or up 15.2 percent on a constant currency basis.

Breaking it down by brand, Michael Kors - the group’s biggest label - reported revenue of 913 million dollars, up 4.8 percent on last year.

Meanwhile, revenue at Versace increased 14.6 percent to 275 million dollars, and revenue at Jimmy Choo was up 21.1 percent to 172 million dollars.

Profit beats expectation

Net income came in at 201 million dollars, or 1.40 dollars per diluted share, down from 219 million dollars, or 1.41 dollars per diluted share, the previous year.

Capri chair and CEO John D. Idol told investors: “We are pleased with our first quarter performance with revenue, gross margin, operating margin and earnings per share all exceeding our expectations.”

He said the better than expected results were driven by “strong momentum” across all three luxury houses.

Looking ahead, the group now expects FY23 revenue of approximately 5.85 billion dollars, diluted earnings per share of approximately 6.85 dollars, and gross margin to be approximately flat on FY22.