Jimmy Choo and Michael Kors’ parent company Capri Holdings saw its revenue decrease by 4% year on year on a reported basis in the third quarter of the 2026 financial year to $1.025 billion. However, the business raised its annual revenue forecast to between $3.45 billion and $3.48 billion, compared to its prior figure of between $3.38 billion and $3.45 billion.
“We were pleased with our third quarter performance which exceeded our expectations,” said Capri Holdings’ CEO John D Idol in a release on the business’ website. “Across both Michael Kors and Jimmy Choo we continue to advance our strategic initiatives to position our iconic brands for long-term success. Looking ahead, we remain confident that these strategies will support a return to growth in fiscal 2027 as well as establish the groundwork for sustainable performance well into the future.”
The business reported an operating margin of 4.5% and an adjusted operating margin of 7.7% for the fiscal quarter ended December 27, 2025. Capri Holdings’ gross profit was $623 million with a gross margin of 60.8% in the third quarter, compared to $674 million and 63.1% in the third quarter of the 2025 financial year. Income from operations was $46 million in the third quarter of the 2026 financial year, a significant increase from the $26 million it reported a year prior.
Michael Kors saw its revenue drop by 5.6% on a reported basis and 7.3% on a constant currency basis to $858 million in the third quarter. The label’s operating income totalled $119 million, and its operating margin was 13.9%, compared to $147 million and 16.2% in the previous financial year.
Jimmy Choo’s revenue increased by 5% on a reported basis and 1.9% on a constant currency basis to reach $167 million during the past quarter. With a gross profit of $111 million and a gross margin of 66.5%, the label saw an increase compared to $105 million and 66% a year prior.
Looking ahead, Capri Holdings forecasts an operating income of approximately $100 million for the 2026 financial year with diluted earnings per share of approximately $1.30 to $1.40 and capital expenditures of approximately $100 million. Michael Kors and Jimmy Choo are expected to report revenues of approximately $2.86 to $2.875 billion and $590 to $600million,n respectively.
“Recently we completedVersace, which was a thoughtful decision to strengthen our financial foundation, ensuring we have the flexibility to support Michael Kors and Jimmy Choo’s strategic initiatives and enhance long‑term shareholder value,” said Idol. “The proceeds from the sale were used to significantly reduce our debt levels and we ended the quarter with $80 million of net debt.”