- EPS: 50 cents versus 49 cents expected, according to Thomson Reuters.
- Revenue: $1.13 billion versus $1.51 billion expected, according to Thomson Reuters.
- North American comparable store sales: up 4 percent versus 3.6 percent expected, according to StreetAccount.
Net income rose to $152 million, or 53 cents per share, from $82 million, or 29 cents per share, in the comparable quarter last year. Excluding items, Coach earned 50 cents per share, outpacing analysts’ expectations of 49 cents per share, according to Thomson Reuters.
While revenue rose 6 percent to $1.13 billion, it was shy of the $1.51 billion analysts were expecting.
As it streamlines its business, Coach is also acquiring valuable brands to stay ahead of competitors. On May 8, Coach announced it would acquire Kate Spade for $2.4 billion in an all-cash deal.
The fashion company was rumored to be pursuing Jimmy Choo before rival Michael Kors signed a deal to buy the high-end shoemaker for $1.2 billion.
In May, retail analyst Simeon Siegel of Nomura Instinet called Coach’s “shrinking to grow” plan one of the few success stories in the industry. He said the company’s better-than-expected third-quarter earnings were fueled by Coach’s efforts to cut back on discount and promotions in U.S. stores.
This story is developing. Please check back for updates.