Sales rise 12% at Coach
Luxury leathergoods company Coach has posted sales of $831 million for its third fiscal quarter ended March 27 compared with $740 million during the same period the previous year, an increase of 12%. Net income rose 37% to $158 million from $115 million the prior year.
Lew Frankfort, chairman and chief executive officer, said: "Our excellent third-quarter results showed further strengthening of our full-priced businesses across all geographies and channels. These trends reflect the traction of the strategies we put into place entering 2010, positioning Coach well for the future."
He added: “Importantly, we are also making significant strides in the globalisation of the Coach brand. In China, we're continuing to experience rapid growth and our business is trending about a year ahead of our originally articulated plan. We're now targeting to achieve about $250 million in sales during FY12. In addition, we're opening our first mainland China flagship, in Shanghai, this week."
The company has signed a new agreement with French department store Printemps and plans to open at least 14 locations in Printemps stores throughout France over the next three years. It has also reached an agreement in principle to establish a joint venture with UK retailer Hackett Limited, through which it will open Coach stores in the UK, Spain, Portugal and Ireland.
“We're confident that the Coach proposition of New York fashion and accessible luxury will resonate with the stylish European consumer, as it has throughout North America, Asia, and the Middle East," Mr Frankfort concluded.
