Latest news with #JohnIdol
Daily Mail
28-05-2025
- Business
- Daily Mail
Versace owner Capri is the latest victim of Trump tariffs as it posts dismal sales figures
Versace owner Capri yesterday became the latest luxury fashion giant to warn over Donald Trump's trade war as it posted dismal sales. The fashion conglomerate, which also owns handbag maker Michael Kors and high-heel brand Jimmy Choo, said US tariffs will dent its profits this year. Sales plunged 15.4 per cent to £770million for the three months to March 29 as demand for all three flagship brands dwindled. Versace is being sold to Italy's Prada for just over £1billion. Capri boss John Idol said there was 'uncertainty around the impact of tariffs on the economic environment'. Trump's tariffs have badly hit a luxury sector already suffering from declining demand. Britain's Burberry and French conglomerate LVMH have also warned of the impact they could have. China, which is a major target of duties, is a big growth market for high-end clothes and accessories. Trading had been 'challenging', Idol admitted, as Capri clocked up an £890million loss for the 2025 financial year to March. But he said that he expects luxury demand to 'improve throughout' this financial year, putting it in position to return to profit the year after.
Fashion United
28-05-2025
- Business
- Fashion United
Capri holdings slides deeper into loss zone in fourth quarter
The US fashion group Capri Holdings Limited also suffered significant sales losses in the fourth quarter of the 2024/25 financial year. In addition, the group reported a significantly higher loss. However, the figures, which the company published on Wednesday, were not quite as bad as analysts had expected in the run-up. The current quarterly report still includes the results of the Versace brand, the acquisition of which by the Italian fashion group Prada SpA is to be completed in the second half of the year. In mid-April, both companies agreed that the Prada Group would acquire the fashion house for around 1.37 billion dollars. Group sales fall by around 15 percent In the fourth quarter, which ended on March 29, Capri's group sales amounted to around 1.03 billion dollars. This corresponded to a decrease of 15.4 percent compared to the same period last year. Adjusted for exchange rate changes, revenues shrank by 14.1 percent. The significant decrease was due to losses at all group brands. Michael Kors' sales fell by 15.6 percent (currency-adjusted -14.4 percent) to 694 million dollars, while Jimmy Choo's revenues fell by 2.9 percent (currency-adjusted 1.5 percent) to 133 million dollars. Versace suffered a minus of 21.2 percent (currency-adjusted -19.7 percent) to 208 million dollars. Due to significantly lower costs, the group was able to reduce its operating loss, which had been 543 million dollars in the same quarter last year, to 116 million dollars. However, the net loss attributable to shareholders grew by 37 percent to 645 million dollars due to higher tax charges. Adjusted for special effects, the corresponding deficit was 581 million dollars, after an adjusted net profit of 50 million dollars had been recorded in the same quarter last year. Net loss for the full financial year amounts to more than one billion dollars Group sales for the full financial year were 4.44 billion dollars, a decrease of 14.1 percent compared to the previous year. The reported net loss of around 1.18 billion dollars was more than five times as high as in the previous year, when it was 229 million dollars. The group also published an initial outlook for the current 2025/26 financial year, which no longer includes Versace's results. According to this, management expects annual sales in the range of 3.3 to 3.4 billion dollars, an operating profit of approximately 100 million dollars and diluted earnings per share of between 1.20 and 1.40 dollars. Chief executive officer John Idol looks to future with 'optimism' Chairman and chief executive officer John Idol was confident about the future: 'The 2024/25 financial year was a difficult year for Capri Holdings, but as we start the 2025/26 financial year, we are optimistic about our future path,' he said in a statement. Despite the uncertainties arising from the development of global tariffs, the group will focus on its new strategic measures, which should lead to future growth. The company is still in an 'early phase' of its turnaround, but can already see 'positive signs' of the effectiveness of the strategy, Idol emphasised. This article was translated to English using an AI tool. FashionUnited uses AI language tools to speed up translating (news) articles and proofread the translations to improve the end result. This saves our human journalists time they can spend doing research and writing original articles. Articles translated with the help of AI are checked and edited by a human desk editor prior to going online. If you have questions or comments about this process email us at info@
Asharq Al-Awsat
28-05-2025
- Business
- Asharq Al-Awsat
Michael Kors-Owner Capri Posts Quarterly Revenue Above Estimates
Capri Holdings on Wednesday beat estimates for fourth-quarter revenue as its focus on reviving sales at its Michael Kors brand with new designs helped bring back shoppers. Capri has narrowed down its focus on Michael Kors fashion brand following a failed attempt to merge with rival and Coach-parent Tapestry last year. In April, the company sold its underperforming Versace label to Italian rival Prada in a $1.38 billion deal. "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," Capri CEO John Idol said. Consumers in North America have scaled back spending on high-end goods amid concerns over looming price hikes on everyday essentials and discretionary items in the coming months due to higher supply chain costs fueled by new tariffs. The company now expects total annual revenue in the range of $3.3 billion to $3.4 billion, accounting for Versace now as part of discontinued operations. The forecast excludes changes in global macroeconomic conditions, tariff rates, higher inflation or weakening consumer confidence, Capri said. It posted a 15.4% drop in revenue to $1.04 billion for the quarter ended March 29, compared with analysts' average estimate of a 19.3% decline to $986.57 million, according to data compiled by LSEG.
Fashion Network
28-05-2025
- Business
- Fashion Network
Michael Kors-owner Capri posts quarterly revenue above estimates
On Wednesday, Capri Holdings beat estimates for fourth-quarter revenue as its focus on reviving sales at its Michael Kors brand with new designs helped bring back shoppers. Capri has narrowed down its focus on the Michael Kors fashion brand following a failed attempt to merge with rival and Coach -parent Tapestry last year. In April, the company sold its underperforming Versace label to Italian rival Prada in a $1.38 billion deal. "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," Capri CEO John Idol said. Consumers in North America have scaled back spending on high-end goods amid concerns over looming price hikes on everyday essentials and discretionary items in the coming months due to higher supply chain costs fueled by new tariffs. The company now expects total annual revenue in the range of $3.3 billion to $3.4 billion, accounting for Versace now as part of discontinued operations. The forecast excludes changes in global macroeconomic conditions, tariff rates, higher inflation or weakening consumer confidence, Capri said. It posted a 15.4% drop in revenue to $1.04 billion for the quarter ended March 29, compared with analysts' average estimate of a 19.3% decline to $986.57 million, according to data compiled by LSEG.
Fashion Network
28-05-2025
- Business
- Fashion Network
Michael Kors-owner Capri posts quarterly revenue above estimates
On Wednesday, Capri Holdings beat estimates for fourth-quarter revenue as its focus on reviving sales at its Michael Kors brand with new designs helped bring back shoppers. Capri has narrowed down its focus on the Michael Kors fashion brand following a failed attempt to merge with rival and Coach -parent Tapestry last year. In April, the company sold its underperforming Versace label to Italian rival Prada in a $1.38 billion deal. "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," Capri CEO John Idol said. Consumers in North America have scaled back spending on high-end goods amid concerns over looming price hikes on everyday essentials and discretionary items in the coming months due to higher supply chain costs fueled by new tariffs. The company now expects total annual revenue in the range of $3.3 billion to $3.4 billion, accounting for Versace now as part of discontinued operations. The forecast excludes changes in global macroeconomic conditions, tariff rates, higher inflation or weakening consumer confidence, Capri said. It posted a 15.4% drop in revenue to $1.04 billion for the quarter ended March 29, compared with analysts' average estimate of a 19.3% decline to $986.57 million, according to data compiled by LSEG.
