Welcome to our dedicated page for Capri Holdings news (Ticker: CPRI), a resource for investors and traders seeking the latest updates and insights on Capri Holdings stock.
Overview of Capri Holdings Limited
Capri Holdings Limited (NYSE: CPRI) is a globally recognized luxury fashion group that designs, markets, distributes, and retails premium apparel, footwear, and accessories. Headquartered in London, the company operates through a diversified portfolio of three iconic brands: Michael Kors, Versace, and Jimmy Choo. Each brand caters to distinct segments of the luxury market, ranging from accessible luxury to ultra-high-end fashion, enabling Capri to serve a broad spectrum of affluent consumers worldwide. The company leverages its extensive global retail network, e-commerce platforms, and strategic wholesale partnerships to deliver its products across North America, Europe, Asia, and other key markets.
Core Brands and Product Offerings
- Michael Kors: The largest brand under Capri Holdings, Michael Kors specializes in accessible luxury products, including handbags, footwear, and ready-to-wear apparel. It operates through hundreds of company-owned stores, a robust e-commerce platform, and wholesale distribution channels, making it a cornerstone of Capri’s revenue generation.
- Versace: Acquired in 2018, Versace is synonymous with ultra-luxury and haute couture. Its offerings include ready-to-wear fashion, accessories, footwear, and home furnishings. Versace also licenses its brand name for products such as fragrances, eyewear, and watches, extending its reach into complementary markets while maintaining its exclusive image.
- Jimmy Choo: Acquired in 2017, Jimmy Choo is renowned for its luxury footwear, handbags, and small leather goods. The brand operates through directly owned stores, e-commerce platforms, and licensing agreements, catering to consumers who value high-end craftsmanship and design.
Business Model and Revenue Streams
Capri Holdings employs a multi-channel business model that combines direct-to-consumer sales, wholesale distribution, and licensing agreements. This approach enables the company to maximize revenue while maintaining control over brand identity. Direct sales occur through an extensive network of retail stores and e-commerce platforms, providing a seamless shopping experience. Wholesale partnerships with department stores and specialty retailers further expand the brands’ reach, particularly in regions where Capri does not operate directly. Licensing agreements, particularly for Versace and Jimmy Choo, generate additional revenue by allowing third parties to manufacture and sell products under these brands, such as fragrances and eyewear.
Market Position and Competitive Landscape
Capri Holdings operates in the highly competitive luxury fashion industry, competing with major conglomerates such as LVMH, Kering, and Richemont. The company differentiates itself through its multi-brand strategy, which allows it to cater to various segments of the luxury market. By combining the accessible luxury appeal of Michael Kors with the ultra-luxury offerings of Versace and Jimmy Choo, Capri has established a diverse portfolio that mitigates risks associated with market volatility. The company’s global presence and ability to adapt to regional preferences further strengthen its competitive position.
Challenges and Strategic Considerations
While Capri Holdings benefits from its diversified brand portfolio and global reach, it faces challenges such as maintaining brand exclusivity, navigating economic fluctuations, and competing in a crowded luxury market. Effective brand management and innovation are critical to sustaining its market position. Additionally, the company must balance its expansion efforts with the need to preserve the heritage and identity of each brand.
Conclusion
Capri Holdings Limited is a prominent player in the luxury fashion industry, offering a compelling mix of accessible and ultra-luxury products through its three iconic brands. Its diversified business model, global footprint, and strategic focus on brand differentiation position it as a significant entity in the competitive luxury market.
Capri Holdings (NYSE:CPRI) announced that Thomas J. Edwards, Jr., Executive Vice President, Chief Financial Officer and Chief Operating Officer, will depart the company on June 20, 2025. Rajal Mehta, current CFO of Michael Kors, will serve as Interim CFO, while Patricia Gabriel, Senior VP and Chief Supply Chain Officer, will continue leading global supply chain and operations.
Both Mehta and Gabriel will report to Chairman and CEO John D. Idol. Mehta brings 16 years of company experience, having joined Michael Kors in 2008, and previously held finance roles at Toys'R'Us and Ralph Lauren. The company has initiated a search for Edwards' permanent replacement and maintains confidence in its growth strategies outlined at their recent Investor Day.
Capri Holdings (NYSE:CPRI) announced significant leadership changes at Versace. Donatella Versace will transition from Chief Creative Officer to Chief Brand Ambassador effective April 1, 2025. In her new role, she will focus on supporting Versace's philanthropic initiatives while continuing as a global brand advocate.
Dario Vitale, former Design and Image Director at Miu Miu, has been appointed as Versace's new Chief Creative Officer, also effective April 1, 2025. The transition is part of a planned succession strategy for the luxury fashion house.
Donatella Versace, who has led the brand's creative vision since 1997, expressed enthusiasm for Vitale's appointment and gratitude to her team. She will remain closely connected to the brand, emphasizing that 'Versace is in my DNA.' Emmanuel Gintzburger, Versace's CEO, praised Donatella's nearly thirty-year contribution and expressed confidence in Vitale's ability to bring a fresh perspective while respecting the brand's essence.
Capri Holdings (NYSE:CPRI), a global fashion luxury group, announced its long-term financial targets during its 2025 Investor Day in New York City. CEO John D. Idol expressed optimism about the growth potential of the company's brands - Versace, Jimmy Choo, and Michael Kors - citing their enduring value and proven resilience in delivering revenue and earnings growth.
The company provided guidance on an adjusted, non-GAAP basis, noting that financial results could be materially affected by external factors including global macroeconomic conditions, inflationary pressures, consumer confidence changes, and foreign currency exchange rate fluctuations.
Capri Holdings (NYSE:CPRI) has announced the promotion of Philippa Newman to Chief Brand and Product Officer, effective immediately. In this expanded role, Newman will oversee all product and marketing functions, reporting to John D. Idol, Chairman and CEO of Capri Holdings and Michael Kors.
Newman, who has been with Michael Kors for over 16 years, previously served as Chief Product Officer. In her new position, she will focus on delivering a unified brand experience aligned with the company's heritage, ensuring product innovation and consumer engagement across all touchpoints.
The strategic leadership restructuring aims to create greater synergy by bringing product and marketing under one cohesive leadership structure, reinforcing Michael Kors' commitment to brand evolution and product innovation.
Capri Holdings (NYSE: CPRI) has announced plans to host an Investor Day on Wednesday, February 19, 2025 in New York City. The event will run from 1:00 p.m. ET to 3:30 p.m. ET, featuring presentations and a Q&A session with key leadership.
The program will include presentations from Chairman and CEO John Idol, CFO and COO Tom Edwards, along with executives from Versace, Jimmy Choo, and Michael Kors. While in-person attendance is invitation-only with required advance registration due to capacity, a live video broadcast will be available on the company's Investor Relations website at www.capriholdings.com, with a replay option available after the event.
Capri Holdings (NYSE:CPRI) reported disappointing third quarter fiscal 2025 results, with revenue declining 11.6% to $1.26 billion. The company experienced challenges across all brands, with Versace revenue down 15.0%, Jimmy Choo down 4.2%, and Michael Kors down 12.1%.
The quarter saw a significant loss from operations of $590 million, primarily due to a non-cash impairment charge of $675 million. Adjusted earnings per share were $0.45, down from $1.20 in the prior year. The company's gross margin declined to 64.4%, while inventory levels decreased by 13% compared to the previous year.
Looking ahead, Capri Holdings expects fiscal 2025 total revenue of approximately $4.4 billion and projects fiscal 2026 revenue to decline further to $4.1 billion. Management is reevaluating strategic initiatives to improve sales trends, anticipating performance improvement throughout fiscal 2026 and a return to growth in fiscal 2027.
Capri Holdings (NYSE: CPRI) has announced it will release its third quarter fiscal 2025 financial results on Wednesday, February 5, 2025, at approximately 6:45 a.m. ET. The company will host a conference call to discuss these results at 8:30 a.m. ET on the same day.
Interested parties can participate by dialing (877) 704-4453 or (201) 389-0920 for international callers, using conference ID 13750496. A live webcast will be available on the company's website. A replay of the call will be accessible until February 12, 2025, via phone and webcast.
Capri Holdings announced a leadership reorganization at Michael Kors. John D. Idol, Chairman and CEO of Capri Holdings, will assume the role of Michael Kors CEO. Philippa Newman, who has been with the company for over 14 years, will be promoted to Chief Product Officer effective December 2, 2024. In her new role, Newman will oversee merchandising, production, licensing, and design across all product categories. The reorganization includes expense reduction initiatives, leading to the departure of Cedric Wilmotte. The company aims to stabilize revenues, improve store productivity, and return the wholesale business to growth.
Capri Holdings (NYSE:CPRI) announced the mutual termination of its merger agreement with Tapestry, Inc., as required U.S. regulatory approvals were unlikely to be met by February 10, 2025. The company unveiled strategic initiatives focused on returning to growth across its three luxury houses: Versace, Jimmy Choo, and Michael Kors. The strategy includes enhancing brand desirability, product development, and omni-channel experience. Michael Kors plans to reduce its store fleet to approximately 650 locations, while Versace and Jimmy Choo will maintain their current store counts at around 230 and 220 stores respectively. The company will host an Investor Day in late February 2025 to provide detailed financial prospects.
Tapestry (NYSE: TPR) and Capri Holdings have mutually agreed to terminate their merger agreement, citing uncertainty in the legal process and unlikely resolution by February 2025. In response, Tapestry announced a new $2 billion share repurchase authorization, including a planned Accelerated Share Repurchase program. The company will maintain its annual dividend rate of $1.40 per share in Fiscal 2025 and redeem $6.1 billion in acquisition-related senior notes. Tapestry agreed to reimburse Capri's transaction expenses of approximately $45 million. The company reaffirmed its Fiscal 2025 outlook and emphasized its commitment to organic growth and shareholder value creation.
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