Capri Holdings Limited (NYSE:CPRI) — the global luxury fashion house behind Michael Kors, Jimmy Choo, and Versace — reported second-quarter fiscal 2026 results that surpassed Wall Street’s revenue expectations, signaling early signs of business stabilization.
The company’s shares rose nearly 5% in premarket trading Tuesday following the announcement.
Capri posted revenue of $856 million, topping analyst estimates of $824.59 million, though still marking a 2.5% year-over-year decline. On a constant currency basis, sales were down 4.2%. The group reported an adjusted loss per share of -$0.03, missing the consensus forecast of $0.13, primarily due to a higher-than-expected tax rate.
“We are encouraged by our second quarter results. Trends continued to improve sequentially, which resulted in revenue, gross margin and operating income exceeding our expectations,” said John D. Idol, Chairman and Chief Executive Officer of Capri Holdings.
For the fiscal year 2026, Capri expects revenue between $3.375 billion and $3.45 billion, in line with the $3.43 billion analyst consensus. The company projects earnings per share between $1.20 and $1.40, compared with expectations of $1.35.
Capri also unveiled a new $1 billion share repurchase program, which it plans to implement in fiscal 2027, following the expected completion of its $1.375 billion sale of Versace to Prada in the third quarter. The company said proceeds from the deal will be used primarily to repay outstanding debt.
“Looking ahead, we continue to expect retail trends to improve in the back half of fiscal 2026, positioning us to return to growth in fiscal 2027,” Idol added.