Companies

Tapestry closes fiscal 2026 with double-digit growth

Aug 19, 2026 United States

The US-based group ended the 2026 financial year with double-digit revenue growth and improved profitability, supported by a strong performance from Coach and positive momentum in the fourth quarter

In the 2026 financial year, which ended on the 27^thof June, Tapestry reported net sales of 8.0 billion US dollars, a 14% increase (or 13% on a constant currency basis) compared to the previous financial year. Excluding Stuart Weitzman, which was sold in August 2025, pro forma net sales increased by 18% (or 17% on a constant currency basis).

In the fourth quarter alone, net sales reached 1.88 billion US dollars, a 9% increase (or 8% on a constant currency basis) compared to the same period the previous year. Excluding Stuart Weitzman, pro forma net sales increased by 12% (or 11% on a constant currency basis).

Profitability also improved during the year. On a non-GAAP basis, gross margin expanded by 120 basis points year-on-year to reach 76.6%, and operating margin increased by around 340 basis points year-on-year to reach 23.4%.

In the twelve months up to the 27^th of June, the company’s diluted earnings per share totalled 7.27 US dollars, compared to 0.82 US dollars in fiscal year 2025. On a non-GAAP basis, diluted earnings per share reached 7.05 US dollars, representing a 38% increase on the previous year.

In the fourth quarter alone, earnings per diluted share were 1.68 US dollars on a GAAP basis, compared to a loss of 2.49 US dollars per share in the same period of the prior year. Non-GAAP EPS totalled 1.32 US dollars, representing a 28% year-on-year increase.

“Our fourth quarter outperformance capped a year of strong growth, as we meaningfully exceeded expectations and achieved key financial commitments we established at our Investor Day two years ahead of plan”, emphasised Joanne Crevoiserat, Chief Executive Officer of Tapestry.

Brands Performance

Coach remained Tapestry’s main growth driver during the year. The brand generated a full-year revenue of 6.91 billion US dollars, which is an increase of 24% (or 23% on a constant currency basis) compared to fiscal year 2025. In the fourth quarter, Coach’s revenue increased by 15% (or 14% on a constant currency basis) to reach 1.64 billion US dollars.

In contrast, Kate Spade recorded a full-year revenue of 1.07 billion US dollars, a 10% decrease (or an 11% decrease on a constant currency basis). Fourth-quarter revenue fell by 7% year-on-year to 235.1 million US dollars.

Fiscal 2027 Outlook

Looking ahead, Tapestry expects revenue of between 8.4 billion and 8.5 billion US dollars in fiscal 2027, representing mid-single-digit growth on a nominal and constant currency basis compared to the previous year.

The company is also forecasting an increase in operating margin of around 50 basis points, as well as diluted earnings per share of between 7.80 and 7.90 US dollars. This would correspond to low-double-digit growth compared to fiscal 2026.

Image Credits: ellecanada.com

United States Coach Companies Kate Spade Quarter Results Results Tapestry Year Results