Tapestry (Coach) closes the year increasing revenues and profits
The North American fashion multinational Tapestry, a company specializing in the luxury sector with a marked American flavor from its position as the parent company of the firm’s Coach, Kate Spade, and Stuart Weitzman, offered a final update on its accounts on August 18, presenting its annual results relative to its last complete fiscal year of 2021. Annuity ended on July 2, 2022, which Tapestry has managed to complete with a considerable increase in both its billing and its profits, despite a last fourth quarter of the year during which, as a reflection of this current inflationary period, and in line with the trends that the bulk of the companies linked to the fashion industry have been offering on their balance sheets, the multinational closed with a slight increase in its billing volumes, in which it was not accompanied, but rather the opposite, by an increase in its profits.
Contrasting this sum of estimates, Tapestry has reported the last full year of 2021 during which it generated total sales worth 6,684.5 million dollars, exactly 6,684.5 million euros at current exchange rates. , at a time when the dollar has reached parity with the euro. A figure +16.33 percent higher than the 5,746.3 million that it collected during its full year of 2020, which ended on July 3, 2021, as well as +34.73 percent more than concerning the 4,961, 4 million dollars from its 2019 financial year, ending June 27, 2020, and therefore already being affected by the effects of the coronavirus pandemic.
Continuing with the trend observed in its billing volumes, Tapestry has closed its last fiscal year collecting a net profit of 856.3 million dollars, the same 856.3 million euros at current exchange rates. A value in his case +2.65 percent to the 834.2 million dollars of profits he reaped during his previous year; and a figure are already very distant from the losses of up to -652.1 million dollars that it incurred at the end of its last year of 2019.
“We delivered outstanding results this fiscal year and achieved accelerated revenue and earnings growth across our portfolio, a direct reflection of the dynamism of our brands and the successful execution of our Accelerator Program by our teams,” it entered. to highlight Joanne Crevoiserat, currently executive director of Tapestry throughout some statements released by the American fashion multinational itself. Who, following this same economic line, does not hesitate to highlight how “through our unwavering focus on the consumer, backed by our updated and diversified business model, we increased our AUR, reached 2 billion dollars in sales global digital companies and we acquired 7,
Perspectives for the new financial year 2022/2023
After having managed to successfully close this last fiscal year, Tapestry is now opening up to the new year of 2022/2023, for which the North American multinational has already offered the first roadmap, in financial terms. A sum of estimates for which they already warn that they could differ from the final results obtained by the company, given the dynamic nature and the sum of other external factors that have been influencing the global macroeconomic scene.
In this regard, and assuming that there are no further appreciations of the dollar against foreign currencies, that demand in China can gradually recover and that there are no major blockades or significant pressures on value chains due to Covid -19, as well as neither a greater deterioration in consumer confidence nor an increase in inflationary pressures; From Tapestry they trust for now to end the year with total revenues of around 6.9 billion dollars. A figure that would be presented as an increase of between +3 to +4 percent year-on-year, in an increase that would be accompanied by double-digit growth in diluted earnings per share, up to 3.80 and 3.90 dollars per share. title, versus diluted earnings per share of 3,
“Looking ahead, we see a significant path for long-term growth opening up for us as we build on our strong mix of iconic brands, amplified by a data-rich platform that enables us to enhance our ability to build lasting relationships with customers”, Crevoiserat began to assess. “Although the environment is challenging, we are well positioned given the resistance” of the category in which its articles move, “the strength of our brands and the ability demonstrated by our teams to respond effectively to this change”. “These competitive advantages and established capabilities”, adds the top executive of Tapestry, “will allow us to boost our profits sustainably,
Comments are closed.