Q3 2025 Earnings Summary
Metric | YoY Change | Reason |
---|---|---|
Total Revenue | +7% ( ) | Total revenue increased 7% YoY to $1,584.6M, largely driven by robust performance from Coach and growth in both domestic and international markets, building on the strong brand executions seen in prior periods. |
Coach | +13% ( ) | Coach revenue climbed 13% YoY to $1,293.5M as a result of continued product innovation, effective brand positioning, and superior store and e-commerce performance, echoing previously observed trends of strategic brand-building and customer engagement. |
Kate Spade | -13% ( ) | Kate Spade revenue fell by 13% YoY to $244.9M, reflecting persistent challenges including declining DTC sales and a strategic reset, consistent with prior period difficulties in stabilizing the brand’s performance. |
Stuart Weitzman | -18% ( ) | Stuart Weitzman revenue dropped almost 18% YoY to $46.2M, continuing the trend of softness driven by shipment timing issues and lower sales—challenges that were evident in earlier periods and remain unresolved. |
North America | +9% ( ) | North America posted a 9% increase YoY to $951.7M fueled by strong Coach growth and stable regional strategies, aligning with previous trends of robust domestic performance. |
Other Region | +19% ( ) | The Other Asia region experienced a 19% boost YoY to $121.9M, driven by impressive sales in Australia, New Zealand, South Korea, and Malaysia, signifying a marked recovery and expansion from trends noted in earlier periods. |
Net Income | +46% ( ) | Net income surged by 46% YoY to $203.3M, a significant improvement attributed to better cost and tax management, margin expansion, and efficient operations, building on the margin improvements reported in prior periods. |
Operating Income | +24% ( ) | Operating income increased by 24% YoY to $253.7M, driven by enhanced gross margins—most notably from Coach—and improved operational efficiencies, even as higher SG&A expenses partially offset gains seen in previous periods. |
Metric | Period | Guidance | Actual | Performance |
---|---|---|---|---|
EPS | Q3 2025 | "$0.85" | Approximately "$0.91", calculated from Net Income of 203.3÷ ~223M shares | Beat |
Revenue Growth (YoY) | Q3 2025 | "3% on a reported basis in the second half" | 6.9% YoY increase (1,584.6Vs. 1,482.4) | Beat |
Inventory Level | Q3 2025 | "Expected to remain above the prior year" | 873.5Vs. 824.1In Q3 2024 (i.e., higher than prior year) | Met |
Research analysts covering TAPESTRY.