Latest news with #Idol
Yahoo
5 days ago
- Entertainment
- Yahoo
American Idol alum Alex Miller to play at funeral for drummer, studio founder Mark Laws
Services will be held Saturday for drummer Mark Laws, who was shot to death on May 25. Laws, 62, of Harrogate, Tennessee, will be honored in a ceremony at the Cawood Funeral Home Chapel in Middlesboro, Kentucky, from 1 to 3 p.m. A procession will follow the chapel service, and Laws will be buried at the Kibert Cemetery in Arthur, Tennessee, where graveside services will also be held. Laws was shot twice with a 9mm handgun at a home on Old Pearman Lane in Cumberland Gap, Tennessee, according to a Claiborne County homicide affidavit. Claiborne County Sheriffs deputies arrested Laws' stepson, Maxwell Alan Madon, 25, and charged him with criminal homicide. Laws founded The Curve Recording Studio and worked with some of the biggest names in country music. He played drums for Little Jimmy Dickens, Bill Carlilse, Larry Cordle and Pam Perry. For the past five years, Laws had been working with American Idol alum Alex Miller (who was on the television show's 19th season) as a drummer and band leader. Miller, a recording artist for Billy Jam Records, will play at the funeral. Laws is survived by his wife, Kristi; son Blake (Christy) Laws; grandchildren Brady and Caleigh Beth Laws; mother Patsy Laws; brothers Donnie (Anna) Laws and Randy (Barb) Laws; sister Robin (Greg) Daniels; and father-in-law Don Gulley, as well as many nieces and nephews, a funeral announcement said. Laws made a name for himself drumming for the Renfro Valley Barn Dance band. This article originally appeared on Nashville Tennessean: Laws played drums at Renfro Valley Barn Dance and with 'Idol' alum
5 days ago
- Entertainment
Yoasobi's 'Idol' Japan's Top Song for Second Consecutive Year
Japan Data 'Idol' by Yoasobi was the Japanese song that generated most royalties in fiscal 2024, topping the ranking for the second year running. 'Idol' by Yoasobi generated the highest royalties through distribution in fiscal 2024(April 2024–March 2025), according to data from JASRAC, the Japanese Society for Rights of Authors, Composers, and Publishers. The hit song, which was released in April 2023 as the opening theme for the TV animation Oshi no Ko, topped the ranking for the second consecutive year. It has racked up a total of 900 million streams in Japan since its release, as well as performing strongly worldwide. Ayase of Yoasobi, who wrote the song, commented, 'I'm just so happy that it was listened to so many people after it was released, and deeply grateful that it continued to be loved for so long, going over into a second year.' 'Bling-Bang-Bang-Born' by Creepy Nuts was second in the ranking, followed by Ado's 'Show' in third. Top 10 Japanese Musical Works by Royalty Distribution (FY 2024) Song Artist 1 'Idol' Yoasobi 2 'Bling-Bang-Bang-Born' Creepy Nuts 3 'Show' Ado 4 'Kawa no nagare no yō ni' (Like the Flow of the River) Misora Hibari 5 'Tensai bakabon' (Genius Bakabon) Idol Four 6 'Toshishita no otoko no ko' (Younger Boy) Candies 7 M. League Official Anthem Kawase Mikihiko and Satō Yōko 8 One Piece instrumental soundtrack Tanaka Kōhei 9 'Genki o dashite' (Cheer Up) Takeuchi Mariya 10 'Specialz' King Gnu From left, 'Bling-Bang-Bang-Born' by Creepy Nuts (© Sony Music Labels Inc.) and 'Show' by Ado. (© Universal Music). In fiscal 2024, music royalties rose by 5.4% from the previous year to ¥144.5 billion, marking a new record high. Interactive streaming, such as via music subscription services and YouTube, was the driving force behind the rise, increasing by 15.7% year-on-year to ¥56.4 billion. This area has been growing since around 2015, but the embrace of online activities across society during the COVID-19 pandemic boosted use of subscription services and video streaming. Revenue from performances, including live concerts, also made headway, rising by 9.7% to ¥26.0 billion, mainly because of the higher number of events that were held. (Translated from Japanese. Banner photo: From left, the 'Idol' single cover [© Akasaka Aka, Yokoyari Mengo/Shūeisha, Oshi no Ko Production Committee] and Ayase of Yoasobi [courtesy JASRAC].)
Fibre2Fashion
6 days ago
- Business
- Fibre2Fashion
US' Capri expects $3.4 bn revenue for FY26, clocks in $4.44 bn in FY25
American fashion conglomerate Capri Holdings has released its fiscal 2026 (FY26) guidance, projecting revenue between $3.3 billion and $3.4 billion. The operating income is expected to be around $100 million, inclusive of anticipated tariff effects. The diluted earnings per share for FY26 are forecast between $1.20 and $1.40, based on an estimated 119 million weighted average diluted shares outstanding. Inventory levels are projected to decline in the mid-single-digit range, while capital expenditures are expected to total around $110 million. Capri Holdings has forecast revenue of $3.3â€'$3.4 billion in FY26, with operating income of $100 million and EPS of $1.20â€'$1.40. Its Q1 revenue is expected at $765â€'$780 million. FY25 revenue fell to $4.44 billion, with a net loss of $1.18 billion. The company entered an agreement to sell Versace to Prada for $1.38 billion. Michael Kors and Jimmy Choo posted Q4 revenue declines and lower margins. For its Michael Kors brand, Capri forecasts total revenue between $2.75 billion and $2.85 billion in FY26, with an operating margin in the high-single-digit range. Jimmy Choo is expected to generate revenue of $540 million to $550 million, with an operating margin in the negative mid-single-digit range, Capri Holdings said in a press release. For the first quarter (Q1) of FY26, the company expects total revenue to range between $765 million and $780 million, with an operating margin projected to be approximately break-even. The net interest income is forecast at around $15 million, with an effective tax rate of about 15 per cent. The company anticipates diluted earnings per share between $0.10 and $0.15, based on roughly 119 million weighted average diluted shares outstanding. Brand-wise, Michael Kors is expected to generate revenue between $615 million and $625 million in Q1 FY26, with an operating margin in the mid-single-digit range. Jimmy Choo is projected to contribute $150 million to $155 million in revenue, also with an operating margin around break-even. 'Fiscal 2025 was a challenging year for Capri Holdings, but we are optimistic about our path forward as we enter fiscal 2026. While there is uncertainty around the impact of tariffs on the global economic environment, we remain focused on executing against our new strategic initiatives that are designed to return Capri Holdings to future growth. The company is still in the early stages of its turnaround, and we are seeing positive indicators that our strategies are beginning to work,' said John D Idol, chairman and chief executive officer (CEO) at Capri Holdings. 'Looking ahead, we continue to expect trends to improve throughout fiscal year 2026 positioning us to return to growth in fiscal 2027 and beyond. We are confident in our ability to grow Michael Kors to $4 billion in revenue and Jimmy Choo to $800 million over time, while restoring operating margin to the double-digit range,' added Idol. Meanwhile, Capri Holdings reported total revenue of $4.44 billion in fiscal 2025 (FY25) ended March 29, down from $5.17 billion in FY24. The gross profit declined to $2.83 billion, while total operating expenses remained flat at $3.58 billion. The company reported a net loss of $1.18 billion for FY25, compared to a net loss of $229 million in FY24. Basic and diluted net loss per share stood at $10, sharply up from $1.96 year-over-year (YoY). Capri Holdings recently entered into a definitive agreement to sell Versace to Prada for $1.38 billion in cash, subject to certain adjustments. The transaction is anticipated to close in the second half of calendar 2025. From fiscal 2026 onwards, Versace will be reported as a discontinued operation, added the release. In its fourth quarter (Q4), Capri Holdings reported a 15.4 per cent YoY decline in total revenue to $1 billion, a 14.1 per cent decline on a constant currency basis. The gross profit stood at $631 million with a gross margin of 61 per cent, down 62.7 per cent YoY. The company recorded a loss from operations of $116 million with an operating margin falling 11.2 per cent. Adjusted loss from operations was $33 million. The net loss widened to $645 million or negative $5.44 per diluted share. The adjusted net loss was $581 million or negative $4.90 per diluted share. The net inventory rose 1 per cent YoY to $869 million, due to $60 million in early receipts. Brand-wise, Michael Kors has posted Q4 FY25 revenue of $694 million, down 15.6 per cent on a reported basis. Gross profit was $407 million with a margin of 58.6 per cent. The operating income fell to $32 million, with a 4.6 per cent margin compared to 14.1 per cent a Q4 FY24. Similarly, Jimmy Choo's revenue slipped 2.9 per cent to $133 million, with gross profit of $88 million and a margin of 66.2 per cent. The brand posted an operating loss of $10 million. Versace saw revenue decline of 21.2 per cent to $208 million, gross profit of $136 million with a margin of 65.4 per cent, and an operating loss of $13 million versus a modest operating income last fiscal. Fibre2Fashion News Desk (SG)
Business Wire
6 days ago
- Business
- Business Wire
Capri Holdings Limited Announces Fourth Quarter and Full Year Fiscal 2025 Results
LONDON--(BUSINESS WIRE)--Capri Holdings Limited (NYSE:CPRI), a global fashion luxury group, today announced its financial results for the fourth quarter and full year fiscal 2025 ended March 29, 2025. Fourth Quarter Fiscal 2025 Highlights John D. Idol, the Company's Chairman and Chief Executive Officer said, "Fiscal 2025 was a challenging year for Capri Holdings, but we are optimistic about our path forward as we enter fiscal 2026. While there is uncertainty around the impact of tariffs on the global economic environment, we remain focused on executing against our new strategic initiatives that are designed to return Capri Holdings to future growth. The Company is still in the early stages of its turnaround and we are seeing positive indicators that our strategies are beginning to work." Mr. Idol continued, "As previously announced, we entered into a definitive agreement to sell Versace to Prada Group. This transaction positions us to invest in our future growth, substantially reduce our debt levels and reinstate a share repurchase program in the future. With our new strategies in place, a focused senior leadership team, and a strong balance sheet we are well positioned to improve performance of both Michael Kors and Jimmy Choo." Mr. Idol concluded, "Looking ahead, we continue to expect trends to improve throughout fiscal year 2026 positioning us to return to growth in fiscal 2027 and beyond. We are confident in our ability to grow Michael Kors to $4 billion in revenue and Jimmy Choo to $800 million over time, while restoring operating margin to the double-digit range." Fourth Quarter Fiscal 2025 Results Financial Results and non-GAAP Reconciliation The Company's results are reported in this press release in accordance with accounting principles generally accepted in the United States ('U.S. GAAP') and on an adjusted, non-GAAP basis. A reconciliation of GAAP to non-GAAP financial information is provided at the end of this press release. Overview of Capri Holdings Fourth Quarter Fiscal 2025 Results Total revenue of $1.0 billion decreased 15.4% compared to last year. On a constant currency basis, total revenue decreased 14.1%. Gross profit was $631 million and gross margin was 61.0%, compared to $767 million and 62.7% in the prior year. Loss from operations was $116 million and operating margin was (11.2)% compared to an operating loss of $543 million and operating margin of (44.4)% in the prior year. Adjusted loss from operations was $33 million and adjusted operating margin was (3.2)%, compared to adjusted operating income of $78 million and adjusted operating margin of 6.4% in the prior year. Net loss was $645 million, or $(5.44) per diluted share, compared to a net loss of $472 million, or $(4.03) per diluted share, in the prior year. Adjusted net loss was $581 million, or $(4.90) per diluted share, compared to adjusted net income of $50 million, or $0.42 per diluted share, in the prior year. Results include a non-cash tax valuation allowance of $545 million taken against the Company's deferred tax assets, of which $119 million was related to Versace. Net inventory as of March 29, 2025 was $869 million, a 1% increase compared to the prior year, primarily reflecting $60 million of earlier than anticipated receipts. Cash flow from operating activities for fiscal year 2025 was $281 million, while capital expenditures were $128 million, resulting in free cash flow of $153 million. Cash and cash equivalents totaled $166 million, and total borrowings outstanding were $1.5 billion, resulting in net debt of $1.3 billion as of March 29, 2025 versus $1.5 billion last year. Michael Kors Fourth Quarter Fiscal 2025 Results Michael Kors revenue of $694 million decreased 15.6% on a reported basis and 14.4% on a constant currency basis. Michael Kors gross profit was $407 million and gross margin was 58.6%, compared to $500 million and 60.8% in the prior year. Michael Kors operating income was $32 million and operating margin was 4.6%, compared to $116 million and 14.1% in the prior year. Jimmy Choo Fourth Quarter Fiscal 2025 Results Jimmy Choo revenue of $133 million decreased 2.9% on a reported basis and 1.5% on a constant currency basis. Jimmy Choo gross profit was $88 million and gross margin was 66.2%, compared to $96 million and 70.1% in the prior year. Jimmy Choo operating loss was $10 million and operating margin was (7.5)%, compared to an operating loss of $8 million and operating margin of (5.8)% in the prior year. Versace Fourth Quarter Fiscal 2025 Results Versace revenue of $208 million decreased 21.2% on a reported basis and 19.7% on a constant currency basis. Versace gross profit was $136 million and gross margin was 65.4%, compared to $171 million and 64.8% in the prior year. Versace operating loss was $13 million and operating margin was (6.3)% compared to an operating income of $1 million and operating margin of 0.4% in the prior year. Versace Update As previously announced, on April 10, 2025, Capri Holdings announced that it entered into a definitive agreement to sell Versace to Prada S.p.A. for $1.375 billion in cash subject to certain adjustments. The transaction is expected to close in the second half of calendar 2025, subject to customary closing conditions including regulatory approvals. Beginning in fiscal 2026 Versace will be classified as a discontinued operation. Outlook The following guidance is provided on an adjusted, non-GAAP basis. Financial results could differ materially from the current outlook due to a number of external events which are not reflected in our guidance, including changes in global macroeconomic conditions, changes in tariff rates, greater than anticipated inflationary pressures or weakening consumer confidence, and further considerable fluctuations in foreign currency exchange rates. The Company's fiscal 2026 outlook is based on continuing operations, reflecting the Versace business being classified as a discontinued operation. Fiscal Year 2026 Outlook Due to the uncertainty around tariffs, including the potential impact on consumer spending, as well as fluctuating foreign currency exchange rates, we are providing guidance assuming a range of outcomes. For Capri Holdings, the Company expects the following: Total revenue of approximately $3.3 to $3.4 billion Operating income in a range around $100 million, including the estimated tariff impact Net interest income of approximately $85 to $90 million Effective tax rate of approximately 15% Weighted average diluted shares outstanding of approximately 119 million Diluted earnings per share of approximately $1.20 to $1.40 Ending inventory to decline in the mid-single-digit range Capital expenditures of approximately $110 million For Michael Kors, the Company expects the following: Total revenue of approximately $2.75 to $2.85 billion Operating margin in the high-single-digit range For Jimmy Choo, the Company expects the following: Total revenue of approximately $540 to $550 million Operating margin in the negative mid-single-digit range First Quarter Fiscal 2026 Outlook For Capri Holdings, the Company expects the following: Total revenue of approximately $765 to $780 million Operating margin of approximately break-even Net interest income of approximately $15 million Effective tax rate of approximately 15% Weighted average diluted shares outstanding of approximately 119 million Diluted earnings per share of approximately $0.10 to $0.15 For Michael Kors, the Company expects the following: Total revenue of approximately $615 to $625 million Operating margin in the mid-single-digit range For Jimmy Choo, the Company expects the following: Total revenue of approximately $150 to $155 million Operating margin of approximately break-even Conference Call Information A conference call to discuss fourth quarter and full year fiscal 2025 results is scheduled for today, May 28, 2025 at 8:30 a.m. ET. A live webcast of the conference call will be available on the Company's website, In addition, a replay will be available shortly after the conclusion of the call and remain available until June 4, 2025. To access the telephone replay, listeners should dial 1-844-512-2921 or 1-412-317-6671 for international callers. The access code for the replay is 13751838. A replay of the webcast will also be available within two hours of the conclusion of the call. Additionally, a fourth quarter fiscal 2025 earnings highlights presentation is posted on the company's website. Use of Non-GAAP Financial Measures Constant currency effects are non-GAAP financial measures, which are provided to supplement our reported operating results to facilitate comparisons of our operating results and trends in our business, excluding the effects of foreign currency rate fluctuations. Because we are a global company, foreign currency exchange rates may have a significant effect on our reported results. The Company believes presenting metrics on a constant currency basis will help investors to understand the effect of significant year-over-year foreign currency exchange rate fluctuations and provide a framework to assess how business is performing and expected to perform excluding these effects. We calculate constant currency measures and the related foreign currency impacts by translating the current year's reported amounts into comparable amounts using prior year's foreign exchange rates for each currency. All constant currency performance measures discussed in this press release should be considered a supplement to and not in lieu of our operating performance measures calculated in accordance with U.S. GAAP. The Company also presents free cash flow, which is a non-GAAP measure and is calculated by taking net cash provided by operating activities less capital expenditures for the period. The Company believes that free cash flow is an important liquidity measure of cash that is available after giving effect to our capital and strategic plans, and that it is a useful to investors because it measures the Company's ability to generate or use cash. Additionally, this earnings release includes certain non-GAAP financial measures that exclude certain costs associated with impairment charges, restructuring and other charges, ERP implementation costs, Capri transformation costs and transaction related expenses. The Company uses non-GAAP financial measures, among other things, to evaluate its operating performance and in order to represent the manner in which the Company conducts and views its business. The Company believes that excluding these items helps its management and investors compare operating performance based on its ongoing operations. While the Company considers the non-GAAP measures to be useful supplemental measures in analyzing its results, they are not intended to replace, nor act as a substitute for, any amounts presented in its consolidated financial statements prepared in conformity with U.S. GAAP and may be different from non-GAAP measures reported by other companies. About Capri Holdings Limited Capri Holdings is a global fashion luxury group consisting of iconic brands Michael Kors, Jimmy Choo and Versace. Our commitment to glamorous style and craftsmanship is at the heart of each of our luxury brands. We have built our reputation on designing exceptional, innovative products that cover the full spectrum of fashion luxury categories. Our strength lies in the unique DNA and heritage of each of our brands, the diversity and passion of our people and our dedication to the clients and communities we serve. Capri Holdings Limited is publicly listed on the New York Stock Exchange under the ticker CPRI. Forward Looking Statements This press release contains statements which are, or may be deemed to be, "forward-looking statements." Forward-looking statements are prospective in nature and are not based on historical facts, but rather on current expectations and projections of the management of Capri about future events and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. All statements other than statements of historical facts included herein, may be forward-looking statements. Without limitation, any statements preceded or followed by or that include the words "plans", "believes", "expects", "intends", "will", "should", "could", "would", "may", "anticipates", "might" or similar words or phrases, are forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties that could significantly affect expected results and are based on certain key assumptions, which could cause actual results to differ materially from those projected or implied in any forward-looking statements. These risks, uncertainties and other factors include but are not limited to, macroeconomic pressures and general uncertainty regarding the overall future economic environment, the imposition or threat of imposition of new or additional duties, tariffs or trade restrictions on the importation of our products; changes in fashion, consumer traffic and retail trends; fluctuations in demand for our products; loss of market share and increased competition; risks associated with operating in international markets and global sourcing activities, including currency fluctuations, disruptions or delays in manufacturing or shipments; departure of key employees or failure to attract and retain highly qualified personnel; levels of cash flow and future availability of credit, Capri's ability to successfully execute its growth strategies or cost reduction measures; the risk of cybersecurity threats and privacy or data security breaches; reductions in our wholesale channel; high consumer debt levels, recession and inflationary pressures and general economic, political, business or market conditions; the impact of epidemics, pandemics, disasters or catastrophes; our ability to successfully execute the proposed sale of Versace to the Prada Group and other risks related to the transaction; extreme weather conditions and natural disasters; acts of war and other geopolitical conflicts; the risk of any litigation relating to the Company's previously proposed merger with Tapestry, Inc., the termination of the merger agreement and/or public disclosures related thereto; as well as the risk factors identified in the Company's Annual Report on Form 10-K, Form 10-Q and Form 8-K reports filed with the Securities and Exchange Commission. Please consult these documents for a more complete understanding of these risks and uncertainties. Any forward-looking statement in this press release speaks only as of the date made and Capri disclaims any obligation to update or revise any forward-looking or other statements contained herein other than in accordance with legal and regulatory obligations. SCHEDULE 2 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES (In millions, except share data) (Unaudited) March 30, 2024 Assets Current assets Cash and cash equivalents $ 166 $ 199 Receivables, net 277 332 Inventories, net 869 862 Prepaid expenses and other current assets 209 215 Total current assets 1,521 1,608 Property and equipment, net 513 579 Operating lease right-of-use assets 1,213 1,438 Intangible assets, net 1,116 1,394 Goodwill 688 1,106 Deferred tax assets — 352 Other assets 162 212 Total assets $ 5,213 $ 6,689 Liabilities and Shareholders' Equity Current liabilities Accounts payable $ 485 $ 352 Accrued payroll and payroll related expenses 109 107 Accrued income taxes 68 64 Short-term operating lease liabilities 350 400 Short-term debt 24 462 Accrued expenses and other current liabilities 300 310 Total current liabilities 1,336 1,695 Long-term operating lease liabilities 1,253 1,452 Deferred tax liabilities 339 362 Long-term debt 1,476 1,261 Other long-term liabilities 437 319 Total liabilities 4,841 5,089 Commitments and contingencies Shareholders' equity Ordinary shares, no par value; 650,000,000 shares authorized; 227,672,351 shares issued and 117,913,201 outstanding at March 29, 2025; 226,271,074 shares issued and 116,629,634 outstanding at March 30, 2024 — — Treasury shares, at cost (109,759,150 shares at March 29, 2025 and 109,641,440 shares at March 30, 2024) (5,462 ) (5,458 ) Additional paid-in capital 1,476 1,417 Accumulated other comprehensive income 57 161 Retained earnings 4,297 5,479 Total shareholders' equity of Capri 368 1,599 Noncontrolling interest 4 1 Total shareholders' equity 372 1,600 Total liabilities and shareholders' equity $ 5,213 $ 6,689 Expand SCHEDULE 4 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONSOLIDATED SEGMENT DATA ($ in millions) (Unaudited) Three Months Ended Fiscal Years Ended March 29, 2025 March 30, 2024 March 29, 2025 March 30, 2024 Total revenue: Versace $ 208 $ 264 $ 821 $ 1,030 Jimmy Choo 133 137 605 618 Michael Kors 694 822 3,016 3,522 Total revenue 1,035 1,223 4,442 5,170 Gross profit: Versace $ 136 $ 171 $ 575 $ 724 Jimmy Choo 88 96 405 426 Michael Kors 407 500 1,846 2,189 Total gross profit 631 767 2,826 3,339 Selling, general and administrative expenses: Versace $ 136 $ 154 $ 571 $ 644 Jimmy Choo 91 96 393 394 Michael Kors 355 364 1,426 1,473 Corporate 31 68 191 273 Total selling, general and administrative expenses 613 682 2,581 2,784 Depreciation and amortization: Versace $ 14 $ 15 $ 58 $ 55 Jimmy Choo 7 7 29 29 Michael Kors 20 21 79 82 Corporate 7 6 27 22 Total depreciation and amortization 48 49 193 188 Loss from operations: Versace $ (13 ) $ 1 $ (54 ) $ 25 Jimmy Choo (10 ) (8 ) (17 ) 3 Michael Kors 32 116 341 634 9 109 270 662 Less: Corporate expenses (55 ) (65 ) (233 ) (275 ) Restructuring and other charges (7 ) (30 ) (7 ) (33 ) Impairment of assets (79 ) (549 ) (797 ) (575 ) Transaction related income (costs) 16 (8 ) 15 (20 ) Total loss from operations $ (116 ) $ (543 ) $ (752 ) $ (241 ) Operating margin: Versace (6.3 )% 0.4 % (6.6 )% 2.4 % Jimmy Choo (7.5 )% (5.8 )% (2.8 )% 0.5 % Michael Kors 4.6 % 14.1 % 11.3 % 18.0 % Capri (11.2 )% (44.4 )% (16.9 )% (4.7 )% Expand SCHEDULE 5 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES (Unaudited) As of Retail Store Information: March 29, 2025 March 30, 2024 Versace 228 236 Jimmy Choo 219 234 Michael Kors 711 769 Total number of retail stores 1,158 1,239 Expand SCHEDULE 6 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES (In millions) (Unaudited) Three Months Ended % Change March 29, 2025 March 30, 2024 As Reported Constant Currency Total revenue: Versace $ 208 $ 264 (21.2 )% (19.7 )% Jimmy Choo 133 137 (2.9 )% (1.5 )% Michael Kors 694 822 (15.6 )% (14.4 )% Total revenue $ 1,035 $ 1,223 (15.4 )% (14.1 )% Expand Fiscal Years Ended % Change March 29, 2025 March 30, 2024 As Reported Constant Currency Total revenue: Versace $ 821 $ 1,030 (20.3 )% (19.6 )% Jimmy Choo 605 618 (2.1 )% (1.5 )% Michael Kors 3,016 3,522 (14.4 )% (13.8 )% Total revenue $ 4,442 $ 5,170 (14.1 )% (13.5 )% Expand ______________________ (1) Amounts impacting operating expenses primarily relate to Global Optimization Plan severance, lease termination gains and other store closure costs. (2) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (3) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. During Fiscal 2024, the majority of our operational and IT projects were paused and we will continue to reassess these projects, along with related timing, in Fiscal 2026. (4) Relates to costs incurred by the Company in connection with the previously terminated merger agreement with Tapestry, Inc as well as the previously announced sale of Versace to Prada. Expand ______________________ (1) Amounts impacting operating expenses primarily relate to Global Optimization Plan severance, lease termination gains and other store closure costs. (2) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (3) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. During Fiscal 2024, the majority of our operational and IT projects were paused and we will continue to reassess these projects, along with related timing, in Fiscal 2026. (4) Relates to costs incurred by the Company in connection with the previously terminated merger agreement with Tapestry, Inc as well as the previously announced sale of Versace to Prada. In November 2024, the Company received approximately $45 million from Tapestry, Inc. as reimbursement for merger related costs. Expand ______________________ (1) Asset impairment charges primarily relate to the impairment of the Jimmy Choo Retail and Wholesale reporting units goodwill and Versace and Jimmy Choo brand intangible assets, as well as the impairment of certain operating lease right-of-use assets. (2) Amounts impacting operating expenses primarily relate to Global Optimization Plan costs, equity awards associated with Capri's acquisition of Gianni Versace S.r.l and severance expenses incurred during the fourth quarter. (3) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (4) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. Expand ______________________ (1) Asset impairment charges primarily relate to the impairment of the Jimmy Choo Retail and Wholesale reporting units goodwill and Versace and Jimmy Choo brand intangible assets, as well as the impairment of certain operating lease right-of-use assets. (2) Amounts impacting operating expenses primarily relate to Global Optimization Plan costs, equity awards associated with Capri's acquisition of Gianni Versace S.r.l and severance expense. (3) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (4) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. Expand
Yahoo
6 days ago
- Business
- Yahoo
Capri Holdings Limited Announces Fourth Quarter and Full Year Fiscal 2025 Results
LONDON, May 28, 2025--(BUSINESS WIRE)--Capri Holdings Limited (NYSE:CPRI), a global fashion luxury group, today announced its financial results for the fourth quarter and full year fiscal 2025 ended March 29, 2025. Fourth Quarter Fiscal 2025 Highlights Revenue decreased 15.4% on a reported basis and 14.1% in constant currency Operating margin of (11.2)%; adjusted operating margin of (3.2)% Loss per share of $(5.44); adjusted loss per share of $(4.90) primarily due to a non-cash tax valuation allowance charge John D. Idol, the Company's Chairman and Chief Executive Officer said, "Fiscal 2025 was a challenging year for Capri Holdings, but we are optimistic about our path forward as we enter fiscal 2026. While there is uncertainty around the impact of tariffs on the global economic environment, we remain focused on executing against our new strategic initiatives that are designed to return Capri Holdings to future growth. The Company is still in the early stages of its turnaround and we are seeing positive indicators that our strategies are beginning to work." Mr. Idol continued, "As previously announced, we entered into a definitive agreement to sell Versace to Prada Group. This transaction positions us to invest in our future growth, substantially reduce our debt levels and reinstate a share repurchase program in the future. With our new strategies in place, a focused senior leadership team, and a strong balance sheet we are well positioned to improve performance of both Michael Kors and Jimmy Choo." Mr. Idol concluded, "Looking ahead, we continue to expect trends to improve throughout fiscal year 2026 positioning us to return to growth in fiscal 2027 and beyond. We are confident in our ability to grow Michael Kors to $4 billion in revenue and Jimmy Choo to $800 million over time, while restoring operating margin to the double-digit range." Fourth Quarter Fiscal 2025 Results Financial Results and non-GAAP Reconciliation The Company's results are reported in this press release in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") and on an adjusted, non-GAAP basis. A reconciliation of GAAP to non-GAAP financial information is provided at the end of this press release. Overview of Capri Holdings Fourth Quarter Fiscal 2025 Results Total revenue of $1.0 billion decreased 15.4% compared to last year. On a constant currency basis, total revenue decreased 14.1%. Gross profit was $631 million and gross margin was 61.0%, compared to $767 million and 62.7% in the prior year. Loss from operations was $116 million and operating margin was (11.2)% compared to an operating loss of $543 million and operating margin of (44.4)% in the prior year. Adjusted loss from operations was $33 million and adjusted operating margin was (3.2)%, compared to adjusted operating income of $78 million and adjusted operating margin of 6.4% in the prior year. Net loss was $645 million, or $(5.44) per diluted share, compared to a net loss of $472 million, or $(4.03) per diluted share, in the prior year. Adjusted net loss was $581 million, or $(4.90) per diluted share, compared to adjusted net income of $50 million, or $0.42 per diluted share, in the prior year. Results include a non-cash tax valuation allowance of $545 million taken against the Company's deferred tax assets, of which $119 million was related to Versace. Net inventory as of March 29, 2025 was $869 million, a 1% increase compared to the prior year, primarily reflecting $60 million of earlier than anticipated receipts. Cash flow from operating activities for fiscal year 2025 was $281 million, while capital expenditures were $128 million, resulting in free cash flow of $153 million. Cash and cash equivalents totaled $166 million, and total borrowings outstanding were $1.5 billion, resulting in net debt of $1.3 billion as of March 29, 2025 versus $1.5 billion last year. Michael Kors Fourth Quarter Fiscal 2025 Results Michael Kors revenue of $694 million decreased 15.6% on a reported basis and 14.4% on a constant currency basis. Michael Kors gross profit was $407 million and gross margin was 58.6%, compared to $500 million and 60.8% in the prior year. Michael Kors operating income was $32 million and operating margin was 4.6%, compared to $116 million and 14.1% in the prior year. Jimmy Choo Fourth Quarter Fiscal 2025 Results Jimmy Choo revenue of $133 million decreased 2.9% on a reported basis and 1.5% on a constant currency basis. Jimmy Choo gross profit was $88 million and gross margin was 66.2%, compared to $96 million and 70.1% in the prior year. Jimmy Choo operating loss was $10 million and operating margin was (7.5)%, compared to an operating loss of $8 million and operating margin of (5.8)% in the prior year. Versace Fourth Quarter Fiscal 2025 Results Versace revenue of $208 million decreased 21.2% on a reported basis and 19.7% on a constant currency basis. Versace gross profit was $136 million and gross margin was 65.4%, compared to $171 million and 64.8% in the prior year. Versace operating loss was $13 million and operating margin was (6.3)% compared to an operating income of $1 million and operating margin of 0.4% in the prior year. Versace Update As previously announced, on April 10, 2025, Capri Holdings announced that it entered into a definitive agreement to sell Versace to Prada S.p.A. for $1.375 billion in cash subject to certain adjustments. The transaction is expected to close in the second half of calendar 2025, subject to customary closing conditions including regulatory approvals. Beginning in fiscal 2026 Versace will be classified as a discontinued operation. Outlook The following guidance is provided on an adjusted, non-GAAP basis. Financial results could differ materially from the current outlook due to a number of external events which are not reflected in our guidance, including changes in global macroeconomic conditions, changes in tariff rates, greater than anticipated inflationary pressures or weakening consumer confidence, and further considerable fluctuations in foreign currency exchange rates. The Company's fiscal 2026 outlook is based on continuing operations, reflecting the Versace business being classified as a discontinued operation. Fiscal Year 2026 Outlook Due to the uncertainty around tariffs, including the potential impact on consumer spending, as well as fluctuating foreign currency exchange rates, we are providing guidance assuming a range of outcomes. For Capri Holdings, the Company expects the following: Total revenue of approximately $3.3 to $3.4 billion Operating income in a range around $100 million, including the estimated tariff impact Net interest income of approximately $85 to $90 million Effective tax rate of approximately 15% Weighted average diluted shares outstanding of approximately 119 million Diluted earnings per share of approximately $1.20 to $1.40 Ending inventory to decline in the mid-single-digit range Capital expenditures of approximately $110 million For Michael Kors, the Company expects the following: Total revenue of approximately $2.75 to $2.85 billion Operating margin in the high-single-digit range For Jimmy Choo, the Company expects the following: Total revenue of approximately $540 to $550 million Operating margin in the negative mid-single-digit range First Quarter Fiscal 2026 Outlook For Capri Holdings, the Company expects the following: Total revenue of approximately $765 to $780 million Operating margin of approximately break-even Net interest income of approximately $15 million Effective tax rate of approximately 15% Weighted average diluted shares outstanding of approximately 119 million Diluted earnings per share of approximately $0.10 to $0.15 For Michael Kors, the Company expects the following: Total revenue of approximately $615 to $625 million Operating margin in the mid-single-digit range For Jimmy Choo, the Company expects the following: Total revenue of approximately $150 to $155 million Operating margin of approximately break-even Conference Call Information A conference call to discuss fourth quarter and full year fiscal 2025 results is scheduled for today, May 28, 2025 at 8:30 a.m. ET. A live webcast of the conference call will be available on the Company's website, In addition, a replay will be available shortly after the conclusion of the call and remain available until June 4, 2025. To access the telephone replay, listeners should dial 1-844-512-2921 or 1-412-317-6671 for international callers. The access code for the replay is 13751838. A replay of the webcast will also be available within two hours of the conclusion of the call. Additionally, a fourth quarter fiscal 2025 earnings highlights presentation is posted on the company's website. Use of Non-GAAP Financial Measures Constant currency effects are non-GAAP financial measures, which are provided to supplement our reported operating results to facilitate comparisons of our operating results and trends in our business, excluding the effects of foreign currency rate fluctuations. Because we are a global company, foreign currency exchange rates may have a significant effect on our reported results. The Company believes presenting metrics on a constant currency basis will help investors to understand the effect of significant year-over-year foreign currency exchange rate fluctuations and provide a framework to assess how business is performing and expected to perform excluding these effects. We calculate constant currency measures and the related foreign currency impacts by translating the current year's reported amounts into comparable amounts using prior year's foreign exchange rates for each currency. All constant currency performance measures discussed in this press release should be considered a supplement to and not in lieu of our operating performance measures calculated in accordance with U.S. GAAP. The Company also presents free cash flow, which is a non-GAAP measure and is calculated by taking net cash provided by operating activities less capital expenditures for the period. The Company believes that free cash flow is an important liquidity measure of cash that is available after giving effect to our capital and strategic plans, and that it is a useful to investors because it measures the Company's ability to generate or use cash. Additionally, this earnings release includes certain non-GAAP financial measures that exclude certain costs associated with impairment charges, restructuring and other charges, ERP implementation costs, Capri transformation costs and transaction related expenses. The Company uses non-GAAP financial measures, among other things, to evaluate its operating performance and in order to represent the manner in which the Company conducts and views its business. The Company believes that excluding these items helps its management and investors compare operating performance based on its ongoing operations. While the Company considers the non-GAAP measures to be useful supplemental measures in analyzing its results, they are not intended to replace, nor act as a substitute for, any amounts presented in its consolidated financial statements prepared in conformity with U.S. GAAP and may be different from non-GAAP measures reported by other companies. About Capri Holdings Limited Capri Holdings is a global fashion luxury group consisting of iconic brands Michael Kors, Jimmy Choo and Versace. Our commitment to glamorous style and craftsmanship is at the heart of each of our luxury brands. We have built our reputation on designing exceptional, innovative products that cover the full spectrum of fashion luxury categories. Our strength lies in the unique DNA and heritage of each of our brands, the diversity and passion of our people and our dedication to the clients and communities we serve. Capri Holdings Limited is publicly listed on the New York Stock Exchange under the ticker CPRI. Forward Looking Statements This press release contains statements which are, or may be deemed to be, "forward-looking statements." Forward-looking statements are prospective in nature and are not based on historical facts, but rather on current expectations and projections of the management of Capri about future events and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. All statements other than statements of historical facts included herein, may be forward-looking statements. Without limitation, any statements preceded or followed by or that include the words "plans", "believes", "expects", "intends", "will", "should", "could", "would", "may", "anticipates", "might" or similar words or phrases, are forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties that could significantly affect expected results and are based on certain key assumptions, which could cause actual results to differ materially from those projected or implied in any forward-looking statements. These risks, uncertainties and other factors include but are not limited to, macroeconomic pressures and general uncertainty regarding the overall future economic environment, the imposition or threat of imposition of new or additional duties, tariffs or trade restrictions on the importation of our products; changes in fashion, consumer traffic and retail trends; fluctuations in demand for our products; loss of market share and increased competition; risks associated with operating in international markets and global sourcing activities, including currency fluctuations, disruptions or delays in manufacturing or shipments; departure of key employees or failure to attract and retain highly qualified personnel; levels of cash flow and future availability of credit, Capri's ability to successfully execute its growth strategies or cost reduction measures; the risk of cybersecurity threats and privacy or data security breaches; reductions in our wholesale channel; high consumer debt levels, recession and inflationary pressures and general economic, political, business or market conditions; the impact of epidemics, pandemics, disasters or catastrophes; our ability to successfully execute the proposed sale of Versace to the Prada Group and other risks related to the transaction; extreme weather conditions and natural disasters; acts of war and other geopolitical conflicts; the risk of any litigation relating to the Company's previously proposed merger with Tapestry, Inc., the termination of the merger agreement and/or public disclosures related thereto; as well as the risk factors identified in the Company's Annual Report on Form 10-K, Form 10-Q and Form 8-K reports filed with the Securities and Exchange Commission. Please consult these documents for a more complete understanding of these risks and uncertainties. Any forward-looking statement in this press release speaks only as of the date made and Capri disclaims any obligation to update or revise any forward-looking or other statements contained herein other than in accordance with legal and regulatory obligations. SCHEDULE 1 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except share and per share data) (Unaudited) Three Months Ended Fiscal Years Ended March 29,2025 March 30,2024 March 29,2025 March 30,2024 Total revenue $ 1,035 $ 1,223 $ 4,442 $ 5,170 Cost of goods sold 404 456 1,616 1,831 Gross profit 631 767 2,826 3,339 Total operating expenses 747 1,310 3,578 3,580 Loss from operations (116 ) (543 ) (752 ) (241 ) Other expense (income), net 8 (1 ) 8 (1 ) Interest (income) expense, net (15 ) (6 ) (37 ) 6 Foreign currency (gain) loss (7 ) 21 4 37 Loss before provision (benefit) for income taxes (102 ) (557 ) (727 ) (283 ) Provision (benefit) for income taxes 542 (85 ) 452 (54 ) Net loss (644 ) (472 ) (1,179 ) (229 ) Less: Net income attributable to noncontrolling interest 1 — 3 — Net loss attributable to Capri $ (645 ) $ (472 ) $ (1,182 ) $ (229 ) Weighted average ordinary shares outstanding: Basic 118,573,945 117,156,327 118,256,350 117,014,420 Diluted 118,573,945 117,156,327 118,256,350 117,014,420 Net loss per ordinary share: Basic $ (5.44 ) $ (4.03 ) $ (10.00 ) $ (1.96 ) Diluted $ (5.44 ) $ (4.03 ) $ (10.00 ) $ (1.96 ) SCHEDULE 2 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In millions, except share data) (Unaudited) March 29,2025 March 30,2024 Assets Current assets Cash and cash equivalents $ 166 $ 199 Receivables, net 277 332 Inventories, net 869 862 Prepaid expenses and other current assets 209 215 Total current assets 1,521 1,608 Property and equipment, net 513 579 Operating lease right-of-use assets 1,213 1,438 Intangible assets, net 1,116 1,394 Goodwill 688 1,106 Deferred tax assets — 352 Other assets 162 212 Total assets $ 5,213 $ 6,689 Liabilities and Shareholders' Equity Current liabilities Accounts payable $ 485 $ 352 Accrued payroll and payroll related expenses 109 107 Accrued income taxes 68 64 Short-term operating lease liabilities 350 400 Short-term debt 24 462 Accrued expenses and other current liabilities 300 310 Total current liabilities 1,336 1,695 Long-term operating lease liabilities 1,253 1,452 Deferred tax liabilities 339 362 Long-term debt 1,476 1,261 Other long-term liabilities 437 319 Total liabilities 4,841 5,089 Commitments and contingencies Shareholders' equity Ordinary shares, no par value; 650,000,000 shares authorized; 227,672,351 shares issued and 117,913,201 outstanding at March 29, 2025; 226,271,074 shares issued and 116,629,634 outstanding at March 30, 2024 — — Treasury shares, at cost (109,759,150 shares at March 29, 2025 and 109,641,440 shares at March 30, 2024) (5,462 ) (5,458 ) Additional paid-in capital 1,476 1,417 Accumulated other comprehensive income 57 161 Retained earnings 4,297 5,479 Total shareholders' equity of Capri 368 1,599 Noncontrolling interest 4 1 Total shareholders' equity 372 1,600 Total liabilities and shareholders' equity $ 5,213 $ 6,689 SCHEDULE 3 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONSOLIDATED REVENUE DATA ($ in millions) (Unaudited) Three Months Ended Fiscal Years Ended March 29,2025 March 30,2024 March 29,2025 March 30,2024 Revenue by Segment and Region: Versace The Americas $ 68 $ 87 $ 260 $ 338 EMEA 79 105 344 444 Asia 61 72 217 248 Versace Revenue 208 264 821 1,030 Jimmy Choo The Americas 38 41 168 176 EMEA 63 58 287 266 Asia 32 38 150 176 Jimmy Choo Revenue 133 137 605 618 Michael Kors The Americas 455 519 2,051 2,298 EMEA 160 189 665 791 Asia 79 114 300 433 Michael Kors Revenue 694 822 3,016 3,522 Capri The Americas 561 647 2,479 2,812 EMEA 302 352 1,296 1,501 Asia 172 224 667 857 Total Capri Revenue $ 1,035 $ 1,223 $ 4,442 $ 5,170 SCHEDULE 4 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONSOLIDATED SEGMENT DATA ($ in millions) (Unaudited) Three Months Ended Fiscal Years Ended March 29,2025 March 30,2024 March 29,2025 March 30,2024 Total revenue: Versace $ 208 $ 264 $ 821 $ 1,030 Jimmy Choo 133 137 605 618 Michael Kors 694 822 3,016 3,522 Total revenue 1,035 1,223 4,442 5,170 Gross profit: Versace $ 136 $ 171 $ 575 $ 724 Jimmy Choo 88 96 405 426 Michael Kors 407 500 1,846 2,189 Total gross profit 631 767 2,826 3,339 Selling, general and administrative expenses: Versace $ 136 $ 154 $ 571 $ 644 Jimmy Choo 91 96 393 394 Michael Kors 355 364 1,426 1,473 Corporate 31 68 191 273 Total selling, general and administrative expenses 613 682 2,581 2,784 Depreciation and amortization: Versace $ 14 $ 15 $ 58 $ 55 Jimmy Choo 7 7 29 29 Michael Kors 20 21 79 82 Corporate 7 6 27 22 Total depreciation and amortization 48 49 193 188 Loss from operations: Versace $ (13 ) $ 1 $ (54 ) $ 25 Jimmy Choo (10 ) (8 ) (17 ) 3 Michael Kors 32 116 341 634 9 109 270 662 Less: Corporate expenses (55 ) (65 ) (233 ) (275 ) Restructuring and other charges (7 ) (30 ) (7 ) (33 ) Impairment of assets (79 ) (549 ) (797 ) (575 ) Transaction related income (costs) 16 (8 ) 15 (20 ) Total loss from operations $ (116 ) $ (543 ) $ (752 ) $ (241 ) Operating margin: Versace (6.3 )% 0.4 % (6.6 )% 2.4 % Jimmy Choo (7.5 )% (5.8 )% (2.8 )% 0.5 % Michael Kors 4.6 % 14.1 % 11.3 % 18.0 % Capri (11.2 )% (44.4 )% (16.9 )% (4.7 )% SCHEDULE 5 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES SUPPLEMENTAL RETAIL STORE INFORMATION (Unaudited) As of Retail Store Information: March 29, 2025 March 30, 2024 Versace 228 236 Jimmy Choo 219 234 Michael Kors 711 769 Total number of retail stores 1,158 1,239 SCHEDULE 6 CAPRI HOLDINGS LIMITED AND SUBSIDIARIES CONSTANT CURRENCY DATA (In millions) (Unaudited) Three Months Ended % Change March 29,2025 March 30,2024 AsReported ConstantCurrency Total revenue: Versace $ 208 $ 264 (21.2 )% (19.7 )% Jimmy Choo 133 137 (2.9 )% (1.5 )% Michael Kors 694 822 (15.6 )% (14.4 )% Total revenue $ 1,035 $ 1,223 (15.4 )% (14.1 )% Fiscal Years Ended % Change March 29,2025 March 30,2024 AsReported ConstantCurrency Total revenue: Versace $ 821 $ 1,030 (20.3 )% (19.6 )% Jimmy Choo 605 618 (2.1 )% (1.5 )% Michael Kors 3,016 3,522 (14.4 )% (13.8 )% Total revenue $ 4,442 $ 5,170 (14.1 )% (13.5 )% SCHEDULE 7 RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except share and per share data) (Unaudited) Three Months Ended March 29, 2025 AsReported Impairmentof Assets Restructuringand OtherCharges(1) ERPImplementation(2) CapriTransformation(3) TransactionRelatedExpenses(4) AsAdjusted Gross profit $ 631 $ — $ — $ — $ — $ — $ 631 Operating expenses $ 747 $ (79 ) $ (7 ) $ (1 ) $ (12 ) $ 16 $ 664 Total loss from operations $ (116 ) $ 79 $ 7 $ 1 $ 12 $ (16 ) $ (33 ) Operating Margin (11.2 )% 7.5 % 0.7 % 0.1 % 1.2 % (1.5 )% (3.2 )% Loss before provision for income taxes $ (102 ) $ 79 $ 7 $ 1 $ 12 $ (16 ) $ (19 ) Provision for income taxes $ 542 $ 18 $ 1 $ — $ 2 $ (2 ) $ 561 Net loss attributable to Capri $ (645 ) $ 61 $ 6 $ 1 $ 10 $ (14 ) $ (581 ) Weighted average diluted ordinary shares outstanding 118,573,945 118,573,945 Diluted net loss per ordinary share - Capri $ (5.44 ) $ 0.51 $ 0.05 $ 0.01 $ 0.08 $ (0.11 ) $ (4.90 ) ______________________ (1) Amounts impacting operating expenses primarily relate to Global Optimization Plan severance, lease termination gains and other store closure costs. (2) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (3) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. During Fiscal 2024, the majority of our operational and IT projects were paused and we will continue to reassess these projects, along with related timing, in Fiscal 2026. (4) Relates to costs incurred by the Company in connection with the previously terminated merger agreement with Tapestry, Inc as well as the previously announced sale of Versace to Prada. SCHEDULE 8 RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except share and per share data) (Unaudited) Fiscal Year Ended March 29, 2025 AsReported Impairmentof Assets Restructuringand OtherCharges(1) ERPImplementation(2) CapriTransformation(3) TransactionRelatedExpenses(4) AsAdjusted Gross profit $ 2,826 $ — $ — $ — $ — $ — $ 2,826 Operating expenses $ 3,578 $ (797 ) $ (7 ) $ (10 ) $ (44 ) $ 15 $ 2,735 Total (loss) income from operations $ (752 ) $ 797 $ 7 $ 10 $ 44 $ (15 ) $ 91 Operating Margin (16.9 )% 17.8 % 0.2 % 0.2 % 1.0 % (0.3 )% 2.0 % (Loss) income before provision for income taxes $ (727 ) $ 797 $ 7 $ 10 $ 44 $ (15 ) $ 116 Provision for income taxes $ 452 $ 101 $ 1 $ 1 $ 6 $ (2 ) $ 559 Net loss attributable to Capri $ (1,182 ) $ 696 $ 6 $ 9 $ 38 $ (13 ) $ (446 ) Weighted average diluted ordinary shares outstanding 118,256,350 118,256,350 Diluted net loss per ordinary share - Capri $ (10.00 ) $ 5.89 $ 0.05 $ 0.08 $ 0.32 $ (0.11 ) $ (3.77 ) ______________________ (1) Amounts impacting operating expenses primarily relate to Global Optimization Plan severance, lease termination gains and other store closure costs. (2) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (3) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. During Fiscal 2024, the majority of our operational and IT projects were paused and we will continue to reassess these projects, along with related timing, in Fiscal 2026. (4) Relates to costs incurred by the Company in connection with the previously terminated merger agreement with Tapestry, Inc as well as the previously announced sale of Versace to Prada. In November 2024, the Company received approximately $45 million from Tapestry, Inc. as reimbursement for merger related costs. SCHEDULE 9 RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except share and per share data) (Unaudited) Three Months Ended March 30, 2024 AsReported Impairmentof Assets(1) Restructuringand OtherCharges(2) ERPImplementation(3) CapriTransformation(4) TransactionRelatedExpenses AsAdjusted Gross profit $ 767 $ — $ — $ — $ — $ — $ 767 Operating expenses $ 1,310 $ (549 ) $ (30 ) $ (5 ) $ (29 ) $ (8 ) $ 689 Total (loss) income from operations $ (543 ) $ 549 $ 30 $ 5 $ 29 $ 8 $ 78 Operating Margin (44.4 )% 44.8 % 2.5 % 0.4 % 2.4 % 0.7 % 6.4 % Foreign currency loss $ 21 $ — $ — $ — $ — $ — $ 21 (Loss) income before (benefit) provision for income taxes $ (557 ) $ 549 $ 30 $ 5 $ 29 $ 8 $ 64 (Benefit) provision for income taxes $ (85 ) $ 86 $ 7 $ 1 $ 4 $ 1 $ 14 Net (loss) income attributable to Capri $ (472 ) $ 463 $ 23 $ 4 $ 25 $ 7 $ 50 Weighted average diluted ordinary shares outstanding 117,156,327 118,221,490 Diluted net (loss) income per ordinary share - Capri $ (4.03 ) $ 3.93 $ 0.20 $ 0.04 $ 0.22 $ 0.06 $ 0.42 ______________________ (1) Asset impairment charges primarily relate to the impairment of the Jimmy Choo Retail and Wholesale reporting units goodwill and Versace and Jimmy Choo brand intangible assets, as well as the impairment of certain operating lease right-of-use assets. (2) Amounts impacting operating expenses primarily relate to Global Optimization Plan costs, equity awards associated with Capri's acquisition of Gianni Versace S.r.l and severance expenses incurred during the fourth quarter. (3) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (4) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. SCHEDULE 10 RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (In millions, except share and per share data) (Unaudited) Fiscal Year Ended March 30, 2024 AsReported Impairmentof Assets(1) Restructuringand OtherCharges(2) ERPImplementation(3) CapriTransformation(4) TransactionRelatedExpenses AsAdjusted Gross profit $ 3,339 $ — $ — $ — $ — $ — $ 3,339 Operating expenses $ 3,580 $ (575 ) $ (33 ) $ (18 ) $ (113 ) $ (20 ) $ 2,821 Total (loss) income from operations ` $ (241 ) $ 575 $ 33 $ 18 $ 113 $ 20 $ 518 Operating Margin (4.7 )% 11.2 % 0.6 % 0.3 % 2.2 % 0.4 % 10.0 % Foreign currency loss $ 37 $ — $ (17 ) $ — $ — $ — $ 20 (Loss) Income before provision for income taxes $ (283 ) $ 575 $ 50 $ 18 $ 113 $ 20 $ 493 (Benefit) Provision for income taxes $ (54 ) $ 92 $ 11 $ 4 $ 23 $ 4 $ 80 Net (loss) income attributable to Capri $ (229 ) $ 483 $ 39 $ 14 $ 90 $ 16 $ 413 Weighted average diluted ordinary shares outstanding 117,014,420 118,057,806 Diluted net (loss) income per ordinary share - Capri $ (1.96 ) $ 4.10 $ 0.33 $ 0.12 $ 0.77 $ 0.14 $ 3.50 ______________________ (1) Asset impairment charges primarily relate to the impairment of the Jimmy Choo Retail and Wholesale reporting units goodwill and Versace and Jimmy Choo brand intangible assets, as well as the impairment of certain operating lease right-of-use assets. (2) Amounts impacting operating expenses primarily relate to Global Optimization Plan costs, equity awards associated with Capri's acquisition of Gianni Versace S.r.l and severance expense. (3) Represents a multi-year ERP implementation which includes accounting, finance and wholesale and retail inventory solutions in order to create standardized finance IT applications across our organization. (4) The Capri transformation program represents a multi-year, multi-project initiative intended to improve the operating effectiveness and efficiency of our organization by creating best in class shared platforms across our brands and by expanding our digital capabilities. These initiatives cover multiple aspects of our operations including supply chain, marketing, omni-channel customer experience, e-commerce, data analytics and IT infrastructure. View source version on Contacts Investor Relations:Jennifer Media:Press@ Sign in to access your portfolio
