Michael Kors Holdings Ltd. (NYSE: KORS) released its fiscal third-quarter financial results before the markets opened on Wednesday. The company said that it had $1.27 in earnings per share (EPS) and $1.25 billion in revenue, compared with consensus estimates that called for $1.10 in EPS and $1.26 billion in revenue. In the same period of last year, the apparel maker and retailer said it had EPS of $1.33 on revenue of $1.15 billion.
During the quarter, comparable store sales decreased 2.1%, which was in line with expectations. On a constant currency basis, comparable store sales decreased 1.3%.
At the same time, wholesale revenue declined 1.3% to $457.8 million compared to the prior year.
The Jimmy Choo segment’s revenue was $116.7 million. Michael Kors acquired Jimmy Choo on November 1, 2017, and compared to Jimmy Choo stand-alone results from the prior year, revenue increased double digits.
Looking ahead to the fiscal full year, the company expects to see EPS in the range of $4.95 to $5.05 and revenue of roughly $5.125 billion. Consensus estimates call for $5.03 in EPS and $5.14 billion in revenue.
John D. Idol, board chair and chief executive, commented:
We are pleased to report results that have again exceeded our expectations, and are raising our fiscal 2019 EPS guidance to a range of $4.95 to $5.05, reflecting double digit earnings growth for the year. As we enter the second half of fiscal 2019 we look forward to welcoming Versace into our group. With the acquisition of Versace we have built one of the world’s leading fashion luxury groups in just one year, setting the stage for accelerated revenue and earnings growth. This is a truly remarkable and historic moment for our company and we look forward to completing this transformational acquisition in the coming months.
Shares of Michael Kors closed Tuesday at $57.45, in a 52-week range of $53.50 to $75.96. The consensus analyst price target is $76.42. Following the quarterly report, the stock was down 12% at $50.60 in early trading indications.