Capri remains confident in long-term growth prospects
Luxury group Capri, owner of Michael Kors and Jimmy Choo, is “pleased” with its second-quarter results, which show trends are improving, despite revenue falling 3% to $856 million.
The group’s sale of Versace is expected to close in the third quarter, when it will use the proceeds to repay most of its debt, strengthening the balance sheet and provide flexibility to invest in growth or return capital to shareholders.
Capri CEO John Idol said: “Trends continued to improve sequentially, which resulted in revenue, gross margin and operating income exceeding our expectations. This performance demonstrates the progress we are making as we execute against our strategic initiatives to energise our fashion luxury houses.”
Michael Kors’ second quarter revenue of $725 million decreased 1.8% compared with the same period last year, while Jimmy Choo revenue of $131 million decreased 6.4%.
Mr Idol added: “We expect retail trends to improve in the back half of fiscal 2026, positioning us to return to growth in fiscal 2027. Longer term we remain optimistic about the sustainable growth potential of both Michael Kors and Jimmy Choo.”
