Capri Holdings begins 2023 fiscal year with growth

Worldwide
Published:  10 August, 2022
Credit: Michael Kors

Fashion group Capri Holdings has reported its financial results for the first quarter of the 2023 financial year.

The company achieved revenue of US$1.36 billion for the period, a year-on-year increase of 8.5%, with a gross profit of US$901 million and a gross margin of 66.3%. Income from operations was US$231 million and operating margin was 17%, compared to US$258 million and 20.6% in the prior year.

For Versace, first quarter results were US$275 million of revenue, an increase of 14.6%, while operating income was US$52 million and operating margin was 18.9%, compared to US$48 million and 20% in the prior year.

Revenue increased by 21.1% for Jimmy Choo in Q1 2023 to US$172 million, while operating income was US$19 million and operating margin was 11%, compared with US$11 million and 7.7% in the prior year.

Meanwhile, Michael Kors achieved revenue growth of 4.8% to US$913 million, with operating income of US$222 million and an operating margin of 24.3%, compared with US$240 million and 27.6% in the prior year.

Looking forward to the full 2023 fiscal year, Capri Holdings expects total revenue of around US$5.85 billion, and a gross margin approximately flat with 2022. The group has forecast an operating margin of around 18%.

John D. Idol, Chairman and CEO, said: "We are pleased with our first quarter performance with revenue, gross margin, operating margin and earnings per share all exceeding our expectations. Better than anticipated results were driven by strong momentum across all three luxury houses reflecting the power of our brands as they continue to deepen consumer desire and engagement.”