Tapestry Reports Q2 Earnings Beat, Says Coronavirus Will Impact Sales

Tapestry Inc TPR reported second-quarterly earnings of $1.10 per share Thursday, beating the analyst consensus estimate of 99 cents by 11.11%. This is a 2.8% increase over earnings of $1.07 per share in the same period last year.

Tapestry, the parent company of Coach and Kate Spade, reported quarterly sales of $1.82 billion, beating the analyst consensus estimate of $1.81 billion.

This is a 1.05% increase over sales of $1.801 billion in the same period last year.

Tapestry said results in the second half of 2020 results will be negatively impacted due to the coronavirus outbreak in China.

The coronavirus is expected to dent sales by $200 to $250 million and earnings by 35-45 cents per diluted share, according to Tapestry.

“If the situation further deteriorates, or the outbreak affects demand outside of the country, this impact could be worse," CEO Jide Zeitlin said in a statement. 

Tapestry shares were trading up 3.03% at $29.25 in Thursday’s premarket session. The stock has a 52-week high of $39.63 and a 52-week low of $18.54.

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