Shoes (especially for Versace) drive Capri Holdings’ quarter

The shoes division (especially for the Versace brand) is the main character of a solid 3^rd (fiscal) quarter for Capri Holdings. The group closed the quarter on December 25^th and recorded revenue up by 24% (1.6 billion USD). This results were better than forecasts for all 3 brands: Versace, Jimmy Choo, and Michael Kors. Great performances and double-digit increments for the shoes division is also shared by all 3 brands.

Capri Holdings’ quarter

Capri Holdings faced supply chain difficulties brilliantly, even though they did impact Michael Kors’s upward trend. The recorded revenue of 1.6 billion USD during the October-December period was by far superior to the 1.47 billion estimated by analysts, according to IBES’ data cited by Footwear News. Net profits also reached 322 million USD, compared to the 179 million from the 3^rd quarter of 2020, which caused the stock price to soar. Capri Holdings also changed its estimates for the year following the quarter: from 5.4 billion to 5.56 billion for the fiscal year currently developing.

Especially Versace

Versace’s revenue increased by 29% (251 million USD), mainly thanks to women’s footwear, recording double-digit growth. Sneakers Trigreca and La Greca were a success, along with men’s Greca labyrinth and Greca chunky. “Versace’s results have strengthened our idea that we are capable of making the brand grow enough to reach 2 billion USD in revenue”, pointed out Capri Holdings’ CEO John D. Idol.

Jimmy Choo and Michael Kors

Meanwhile, Jimmy Choo’s revenue went up 47% (to 178 million USD during the quarter). Footwear sales by the brand recorded double-digit growth, pushed by the recovery of more formal models, as well as sneakers, particularly the Memphis model. Capri Holdings’ objective is to bring the brand’s revenue to reach 1 billion USD in a single fiscal year, said Mr. Idol. Michael Kors’ revenue increased by 20% to 1.18 billion USD, but it was slowed by a lack of products in retail points. The brand experienced solid performances in the footwear segment as well, specifically boots.

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