NYSE$TPR

Tapestry, Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Results significantly outpaced expectations, with operating income exceeding pre-pandemic levels.

Tapestry, Inc. reported fiscal third quarter results significantly ahead of expectations, driven by the Acceleration Program and brand enthusiasm. The company saw robust sales growth led by Digital and China, achieved operating income gains for the third consecutive quarter, and expanded gross margin across brands.

  • Achieved sequential improvement in year-over-year revenue trends compared to both FY20 and FY19.
  • Realized continued momentum in Digital, driving triple-digit growth versus prior year, while improving revenue trends in-stores on both a one and two-year basis.
  • Posted a revenue increase of approximately 175% in Mainland China versus FY20 and 40% growth compared to FY19.
  • Drove a mid-teens sales increase versus prior year in North America, representing a return to pre-pandemic levels.

Headline financials

Total Revenue

$1.27B

Previous: $1.07B+18.7%
EPS (adj)

$0.51

Previous: -$0.27+288.9%
Total Coach Stores

944

Previous: 972-2.9%
Total Kate Spade Stores

413

Previous: 424-2.6%
Capital Expenditures

-$68.9M

Previous: -$173M+60.2%
Free Cash Flow

$22.8M

Previous: -$850M+102.7%
Net Income

$91.7M

Previous: -$677M+113.5%
Operating Income

$117M

Previous: -$686M+117.0%
Gross Profit

$912M

Previous: $616M+48.0%
Cash & Equivalents

$1.65B

Previous: $743M+122.4%
Total Assets

$7.97B

Previous: $7.74B+2.9%
Stock-Based Comp

$17.8M

Previous: $13.2M+34.8%

Revenue & EPS history

Tapestry · Revenue · Quarterly

$1.27B

Q3 2021+18.7%vs Q3 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Tapestry · $1.27B total across 3 segments · Q3 2021

  • Total Coach
    $964M+24.7%
  • Total Kate Spade
    $252M+1.2%
  • Stuart Weitzman
    $57.4M+13.2%

Forward guidance

Tapestry expects revenue for the fiscal year to increase at a mid-teens rate compared to the prior year. The company anticipates fiscal year 2021 operating income and earnings per diluted share to increase versus fiscal year 2019.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+0.2%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+2.7%

Avg return

30 days after

56%

40 / 71 earnings

Positive

+18.8%

Q3 2022

Best reaction

-20.2%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+1.7%-12.0%-6.0%
Q2 2026+10.2%+17.9%+11.0%
Q1 2026-9.5%-6.7%+6.4%
Q3 2025+3.6%+11.8%+5.6%
Q2 2025+12.0%+10.9%+2.1%
Q1 2025+4.9%+2.8%+25.1%
Q4 2024+6.4%+6.4%+12.6%
Q3 2024+2.8%+8.0%+11.3%
Q2 2024+4.1%+5.8%+16.7%
Q1 2024+2.4%+11.1%+22.1%
Q4 2023+0.8%-14.2%-22.7%
Q3 2023+10.9%+12.8%+14.9%
Q2 2023+2.8%+4.4%-4.3%
Q1 2023+13.3%+12.0%+16.6%
Q4 2022-0.8%-1.6%+2.1%
Q3 2022+18.8%+24.5%+23.3%
Q2 2022-3.8%+0.0%-15.6%
Q1 2022+6.9%+7.0%+1.5%
Q4 2021-2.1%+4.5%-2.6%
Q3 2021+1.5%-3.9%-11.7%
Q2 2021+8.5%+10.8%+21.1%
Q1 2021+4.3%+12.9%+36.1%
Q4 2020+2.1%-1.7%+3.5%
Q3 2020-11.1%-13.4%-20.2%
Q2 2020-1.5%+0.7%-23.6%
Q1 2020-2.2%+2.7%-4.0%
Q4 2019-20.2%-15.8%+0.7%
Q3 2019+4.9%+0.1%-1.6%
Q2 2019-13.9%-10.1%-14.7%
Q1 2019+3.7%+4.9%-6.8%
Q4 2018+9.7%+8.3%+5.3%
Q3 2018-13.8%-14.2%-18.7%
Q2 2018+11.4%+9.1%+15.5%
Q1 2018-3.4%-1.6%+1.2%
Q4 2017-15.0%-15.7%-13.1%
Q3 2017+10.1%+10.1%+19.2%
Q2 2017+5.1%+2.2%+6.8%
Q1 2017-1.2%-1.5%+1.1%
Q4 2016-4.5%-5.1%-9.7%
Q3 2016+4.5%
Q2 2016+12.7%
Q1 2016+2.2%
Q4 2015+4.3%
Q3 2015-9.0%
Q2 2015+2.0%
Q1 2015-6.5%
Q4 2014+2.3%
Q3 2014-11.4%
Q2 2014-6.1%
Q1 2014-10.4%
Q4 2013-8.2%
Q3 2013+11.2%
Q2 2013-16.1%
Q1 2013+6.0%
Q4 2012-17.7%
Q3 2012-4.0%
Q2 2012+7.9%
Q1 2012-0.4%
Q4 2011+1.2%
Q3 2011+0.9%
Q2 2011+0.7%
Q1 2011-0.5%
Q4 2008-1.7%
Q4 2010-1.7%
Q3 2010-6.5%
Q3 2009-6.5%
Q2 2010-3.5%
Q2 2009-3.5%
Q1 2009+3.5%
Q4 2009+3.5%
Q1 2010+3.5%

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