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Tapestry, Inc. is a prominent global fashion house specializing in premium accessories and distinct lifestyle brands. It operates internationally, serving customers across ...
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Operator: Good day, and welcome to this Tapestry conference call. Today's call is being recorded. [Operator Instructions] At this time, for opening remarks and introductions, I would like to turn the call over to the Global Head of Investor Relations, Christina Colone. Christina Colone: Good morning. Thank you for joining us. With me today to discuss our fourth quarter and full year results, our strategies and our outlook are Joanne Crevoiserat, Tapestry's Chief Executive Officer; and Scott Roe, Tapestry's Chief Financial Officer and Chief Operating Officer. Before we begin, we must point out that this conference call will involve certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act. This includes projections for our business in the current or future quarters or fiscal years. Forward-looking statements are not guarantees, and our actual results may differ materially from those expressed or implied in the forward-looking statements. Please refer to our annual report on Form 10-K, the press release we issued this morning and our other filings with the Securities and Exchange Commission for a complete list of risks and other important factors that could impact our future results and performance. Non-GAAP financial measures are included in our comments today and in our presentation slides. For a full reconciliation to corresponding GAAP financial information, please visit our website, www.tapestry.com/investors, and then view the earnings release and the presentation posted today. Now let me outline the speakers and topics for this conference call. Joanne will begin with highlights for Tapestry and our brands. Scott will continue with our financial results, capital allocation priorities and our outlook going forward. Following that, we will hold a question-and-answer session where we will be joined by Todd Kahn, CEO and Brand President of Coach. After Q&A, Joanne will conclude with brief closing remarks. I'd now like to turn it over to Joanne Crevoiserat, Tapestry's CEO. Joanne Crevoiserat: Good morning. Thank you, Christina, and welcome, everyone. Fiscal 2026 was a defining year for Tapestry. We meaningfully exceeded expectations, achieving the 3-year revenue, operating margin and earnings per share commitments we established at our Investor Day 2 years ahead of plan. We delivered strong growth and record results while continuing to invest in our brands, our people and the capabilities that will shape our future. More important than what we accomplished is what we've built. Through intentional choices, disciplined execution and a deep understanding of the consumer, we have built a stronger, more focused organization who every day bring our Amplify strategy to life, delivering creativity, value and relevance at scale, strengthening our connections with consumers. These efforts continue to compound, extending our competitive advantage while driving durable growth and long-term shareholder value. In a …
| Metric | Latest | YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength. | QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes. |
|---|---|---|---|
| The total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three). |
| Name | Title | Compensation | Gender | Year Born | Status |
|---|---|---|---|---|---|
Joanne C. Crevoiserat | President, Chief Executive Officer & Director | USD 6,766,671 | Female | 1964 | Active |
Todd Kahn | Chief Executive Officer & Brand President of Coach |
| USD 4,022,611 |
| Male |
| 1964 |
| Active |
Scott A. Roe | Chief Financial Officer & Chief Operating Officer | USD 3,344,624 | Male | 1965 | Active |
David E. Howard | General Counsel & Secretary | USD 1,436,216 | Male | 1975 | Active |
Denise Kulikowsky | Chief People Officer | USD 1,410,391 | Female | 1969 | Active |
Yann Bozec | President of Tapestry Asia Pacific and President & Chief Executive Officer of Coach Asia Pacific | — | Male | — | Active |
Christina Colone | Global Head of Investor Relations | — | Female | — | Active |
Manesh Dadlani | Vice President, Principal Accounting Officer & Controller | — | Male | 1983 | Active |
Yang Lu | Chief Information Officer | — | — | — | Active |
Peter Charles | Chief Supply Chain Officer | — | Male | — | Active |
$1.60 per share
Est. EPS $1.56 · Revenue $1.85B · 11 analysts
Est. EPS $3.04 · Revenue $2.65B · 11 analysts
| $8.0B |
| +14.2% |
| -2.3% |
| Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day. | $1.5B | +733.9% | +1.2% |
| Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials. | +77.8% | +3.2% | +8.4% |
| Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on). | +23.9% | +304.0% | +5.9% |
| Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales. | +19.1% | +630.4% | +3.5% |
| Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock. | $1.8B | +65.7% | +151.3% |
| FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine. | +22.6% | +45.1% | +157.2% |
| Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe. | 571.2% | +25.7% | -0.7% |
| Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking. | 1.75x | -6.1% | -4.8% |
| Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground. | $6.7B | +1.7% | +3.5% |
| Metric | Annual (A vs E) | Annual Surprise | Quarter (A vs E) | Quarter Surprise |
|---|---|---|---|---|
| EPS Surprise | 7.27 vs 7.00 | +3.9% | 1.66 vs 1.28 | +30.0% |
| Revenue Surprise | $8.0B vs $8.0B | +0.1% | $1.9B vs $1.9B | +0.2% |
| Date | Executive | Title | Security | Side | Shares | Price |
|---|---|---|---|---|---|---|
| Aug 21, 2026 | Roe Scott A. | officer: CFO and COO | Common Stock | A | 82,854 | $33.81 |
| Aug 21, 2026 | Roe Scott A. | officer: CFO and COO | Common Stock | D | 2,817 | $130.17 |
| Aug 21, 2026 | Roe Scott A. | officer: CFO and COO | Common Stock | D | 3,296 | $130.17 |
| Aug 21, 2026 | Roe Scott A. | officer: CFO and COO | Common Stock | D | 45,819 | $130.17 |
| Aug 21, 2026 | Kahn Todd | officer: CEO and Brand President, Coach | Common Stock | A | 66,282 | $33.81 |