Capri stock soars after Michael Kors parent reports earnings beat and gives guidance ahead of expectations

31468 capri stock soars after michael kors parent reports earnings beat and gives guidance ahead of expectations

Capri Holdings Ltd. CPRI, +7.82% shares jumped 5.7% in Wednesday premarket trading after fiscal third-quarter earnings sailed ahead of Street expectations. Net income totaled $322 million, or $2.11 per share, up from $179 million, or $1.18 per share, last year. Adjusted EPS of $2.22 blew past the FactSet consensus of $1.69. Revenue of $1.609 billion was up from $1.302 billion and also ahead of the FactSet consensus for $1.470 billion. “Results were driven by strong momentum across all three luxury houses reflecting the power of Versace, Jimmy Choo and Michael Kors,” said Chief Executive John Idol in a statement. Michael Kors revenue reached $1.18 billion, Versace revenue was $251 million, and Jimmy Choo revenue totaled $178 million. “Looking to fiscal 2023, we expect to generate double-digit revenue and earnings growth,” Idol said. Capri is guiding for fourth-quarter revenue of about $1.4 billion and EPS of about 80 cents. The FactSet consensus is for revenue of $1.391 billion and EPS of 73 cents. For the year, Capri’s outlook is for revenue of about $5.56 billion and EPS of $6.00. The FactSet consensus is for revenue of $5.413 billion and EPS of $5.34. Capri stock has run up 52.3% for the past year while the S&P 500 index SPX, +0.94% has gained 19.2%.

Source: Marketwatch

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