Boosted by impressive growth from luxury brands Jimmy Choo and Versace, Capri Holdings, an American fashion group, reported an 8.5% increase in sales during the first quarter of its 2023 fiscal year. The company is optimistic about its annual revenue projections, anticipating reaching $5.85 billion. Opening the fiscal year with $1.36 billion in sales from April to June, Capri Holdings exceeded expectations with its reported data growth of 8.5%. However, gross profit only reached $901 million, resulting in a gross margin of 66.3%, and the company reported a net income of $201 million.
Capri Holdings Chairman and CEO, John D. Idol, attributed the growth to the strong momentum of all three luxury brands, emphasizing their ability to enhance consumer desire and engagement. Despite the negative impact of COVID-19 restrictions in China, the American and EMEA regions displayed notable growth, with a 15.8% increase in EMEA sales for Michael Kors, a 23% increase for Versace, and an outstanding 42.1% surge in American sales for Jimmy Choo.
Particularly noteworthy was Jimmy Choo’s remarkable performance in the first quarter, achieving a 21.1% increase in sales amounting to $172 million. As a result of this success, the brand ventured into the gastronomic realm with the opening of Choo Café at Harrods. Versace reported a 14.6% revenue increase, reaching $275 million, while displaying an operating profit of $52 million. This financial accomplishment aligns with Versace’s prominent media influence, ranking first in the Influence 100 Index, which assesses the most influential brands across influencers, celebrities, press, and their respective communities on a global scale.
In contrast, Michael Kors experienced a more moderate growth rate of 4.8% compared to the same period last year. Nevertheless, the brand remained a crucial financial driving force for Capri Holdings, having generated $913 million in sales.
Alongside the positive results, Capri Holdings provided its financial outlook, anticipating a revenue of $5.85 billion for the entirety of its 2023 fiscal year.
Relevant links:
1. Capri Holdings Official Website
2. Jimmy Choo Official Website
