Tapestry Q3 Earnings Top Estimates; Cuts FY22 Outlook

Comments
Loading...
  • Tapestry Inc TPR reported third-quarter FY22 sales growth of 13% year-on-year, to $1.44 billion, beating the consensus of $1.42 billion.
  • Adjusted EPS of $0.51 beat the analyst consensus of $0.41.
  • Gross profit rose 10.2% Y/Y to $1.01 billion, with the margin contracting 170 basis points to 69.9%.
  • The operating margin expanded 260 basis points to 11.8%, and operating income for the quarter increased 44.4% to $169 million.
  • Tapestry held $1.1 billion in cash and equivalents as of April 2, 2022. Net cash provided by operating activities for the nine months totaled $616.4 million.
  • The company expects to return $1.9 billion to shareholders in FY22, increasing the prior outlook of over $1.5 billion. In addition, there is $1.5 billion available under the newly announced authorization, which it expects to begin utilizing in FY23.
  • The company's quarterly cash dividend of $0.25 per share is payable on June 27, 2022, to shareholders of record on June 3, 2022.
  • Outlook: Tapestry sees FY22 EPS of about $3.45 (prior view $3.60 - $3.65) versus the consensus of $3.62.
  • The company expects FY22 sales to be ~$6.7 billion (prior view $6.75 billion) versus the consensus of $6.75 billion.
  • Price Action: TPR shares are trading higher by 2.00% at $27.05 in premarket on the last check Thursday.
Overview Rating:
Speculative
50%
Technicals Analysis
100
0100
Financials Analysis
20
0100
Overview
Market News and Data brought to you by Benzinga APIs
Date
ticker
name
Actual EPS
EPS Surprise
Actual Rev
Rev Surprise

Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!