Coach Q1 profits down on weak U.S. sales

New York -- Coach reported a decline in first-quarter profit amid declining North America sales. The company had net income of $217.88 million, down from $221.38 million in the previous year.
Net sales for the quarter fell 1% to $1.15 billion from $1.16 billion a year ago, below analysts' estimate of $1.19 billion.

In North America, total sales fell 1% to $778 million, and same-store sales were down 6.8%.  International sales edged down to $365 million. On a constant currency basis, International sales rose about 9% from the prior year.

“Beginning now and throughout the holiday season, consumers will see a fuller expression of the Coach brand, with the arrival of a limited edition capsule collection across all product categories,” said Coach president and chief commercial officer Victor Luis, who, in a previously announced change, will assume the CEO role from Lew Frankfort in January.
Luis said that the company will soon unveil a new store concept in New York and Southern California. “Our intent is to drive brand relevance and increase Coach’s resonance with our consumers,” Luis said.

Recommended stories

Login or Register to post a comment.