Tapestry, the parent company of Coach, Kate Spade, and Stuart Weitzman, reported a 1% increase in revenue for the fiscal year ending June 29, 2024, reaching $6.67 billion. This growth was primarily driven by strong sales performances from Coach, despite declines in other brand segments.
- Coach’s sales surged by 3% for the year, compensating for downturns in other brands.
- Kate Spade experienced a notable 6% drop in revenue, while Stuart Weitzman faced a sharper decline of 14%.
- Overall gross profit increased by 3.8%, attributed to improved operational efficiencies and favorable foreign exchange rates.
- Tapestry projects continued revenue growth with an estimated rise to $6.7 billion for the next fiscal year.
Tapestry Inc. reported a modest 1% increase in its annual revenue, amounting to $6.67 billion for the fiscal year ending June 29, 2024. This growth was largely fueled by record sales at Coach, which saw a 3% increase over the year. This boost in Coach’s performance effectively offset the declines recorded by Tapestry’s other brands.
Specifically, Kate Spade experienced a 6% decline in revenue, while Stuart Weitzman saw a more significant drop of 14%. Despite these setbacks, Tapestry’s gross profit rose by 3.8%, reaching $4.89 billion, attributed to operational improvements and a favorable shift in foreign exchange rates. The gross margin improved to 73.3%, reflecting a benefit of 130 basis points mainly due to reduced freight expenses.
International sales also contributed to Tapestry’s overall growth, increasing by 6% at constant currency. Noteworthy gains were observed in various regions, including Europe with a 14% rise, Other Asia with 9%, Japan with 5%, and Greater China with 3%. These figures highlight Tapestry’s successful global expansion efforts.
Looking forward, Tapestry anticipates maintaining its growth trajectory with projected revenues of approximately $6.7 billion for the upcoming fiscal year, representing another 1% increase on a constant currency basis. Joanne Crevoiserat, CEO of Tapestry, expressed confidence in the company’s strategic direction, citing strong fiscal results and a robust vision for future growth. She remarked on the company’s commitment to generating shareholder value amid dynamic market conditions, stating, “From this position of strength, we have a bold vision for the future and a steadfast commitment to drive growth and shareholder value for years to come.”
Tapestry’s strategic advancements and operational improvements underpin its steady revenue growth and future ambitions.
