Jimmy Choo delivered double-digit revenue growth in the first quarter of Capri Holdings’ fiscal 2027, emerging as a bright spot within a portfolio otherwise weighed down by softness at Michael Kors.
Jimmy Choo’s quarterly revenue rose 10.5 percent year over year to $179 million, up from $162 million a year earlier, and climbed 9.3 percent on a constant currency basis, Capri Holdings said in a release, adding that first-quarter results exceeded expectations and demonstrated progress toward building a stronger, more profitable business. The brand’s gross margin contracted 170 basis points to 68.7 percent, even as group-wide gross margin expanded 200 basis points to 65 percent and net income surged 32 percent to $70 million.
Capri chairman and chief executive John Idol pointed to casual footwear as central to Jimmy Choo’s next growth phase. Idol said the brand’s Bon Bon and Cinch sneaker franchises performed exceptionally well during the quarter, calling the category a long-term growth opportunity for a label historically anchored in eveningwear and heels. He also noted a revival in more formal styles, with the pump business beginning to recover.
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Momentum at point-of-sale remained strong in North American department stores, where growth has been in the double digits, and retailers are now committing shop-in-shop space to the brand — a threshold Idol called historically difficult to clear. Over the next few years, he said, Jimmy Choo is expected to develop into a powerful accessories business driving both profitability and broader company growth.
Capri guided to roughly $135 million in Jimmy Choo revenue for the second quarter, with full-year revenue projected at approximately $635 million. Longer term, management reiterated confidence in Jimmy Choo’s ability to grow revenue to $800 million while expanding operating margins into the low double digits, and said the brand is positioned to return to profitability in fiscal 2027.
The brand’s strength contrasted with Michael Kors, Capri’s largest label, which fell more than 7 percent to $590 million amid softer handbag demand and inventory delays. Capri cut its fiscal 2027 revenue forecast to about $3.4 billion, down from roughly $3.53 billion, citing a $50 million second-quarter hit from Michael Kors inventory timing and a further $50 million annual impact tied to softer demand linked to the Middle East conflict.
Group-wide, Capri’s total revenue fell 3.5 percent year over year to $769 million, though operating margin held at 2.2 percent for the quarter.