Tapestry, Inc. Reports Fiscal 2025 Fourth Quarter and Full Year Results

Tapestry, Inc., a global house of iconic accessories and lifestyle brands, has released its financial results for the fiscal fourth quarter and full year ended June 28, 2025. The company, known for its brands such as Coach and Kate Spade, has shown significant growth and strategic advancements over the past year.

Financial Highlights

For the fourth quarter of fiscal 2025, Tapestry achieved record revenue of $1.7 billion, marking an 8% increase compared to the prior year. The company also reported a record annual revenue of $7.0 billion for the full fiscal year, a 5% increase from the previous year. Gross margin expanded by 210 basis points, and the company returned $2.3 billion to shareholders, driven by a strong balance sheet and robust cash flow generation. The Board of Directors approved a 14% increase in dividends.

Business and Operational Highlights

Tapestry's strategic initiatives have led to the acquisition of approximately 1.5 million new customers in North America during the quarter and over 6.8 million for the year. The company saw significant revenue growth in various regions, including North America, Europe, and Greater China. Direct-to-consumer revenue increased by 6% for the quarter and 5% for the year, with digital revenue showing mid-teens growth.

Strategic Initiatives and Corporate Developments

In fiscal 2025, Tapestry executed a $2 billion Accelerated Share Repurchase program and returned $300 million to shareholders through dividends. Looking ahead, the company plans to continue its strong capital return programs, including an $800 million share repurchase authorization for fiscal 2026.

Management's Perspective

Joanne Crevoiserat, Chief Executive Officer of Tapestry, Inc., commented, "Fiscal 2025 was a breakout year for Tapestry as our systemic approach to brand-building is capturing a new generation of consumers around the world. Our strong growth, capped by our fourth quarter outperformance, reinforces that our strategies are working. Importantly, we achieved bold targets we set three years ago in a dynamic landscape, delivering over $5 in adjusted earnings per share and returning more than $3 billion cumulatively to shareholders."

Future Outlook

For fiscal 2026, Tapestry projects revenue approaching $7.2 billion, representing low-single-digit growth. The company expects operating margin to be above the prior year, despite a negative tariff and duty impact. Earnings per diluted share are forecasted to be between $5.30 and $5.45, representing 4% to 7% growth compared to the prior year. Adjusted free cash flow is expected to approach $1.3 billion.

SEC Filing: TAPESTRY, INC. [ TPR ] - 8-K - Aug. 14, 2025