During the fourth quarter of fiscal 2025, the Company recorded $244.1 million of impairment charges to goodwill for the Kate Spade reporting unit and $610.7 million of impairment charges to indefinite-lived brand intangible assets. The Company said the fair values of the Kate Spade reporting unit and indefinite-lived brand intangible asset did not exceed their respective carrying values due to a reduction in both current and future expected cash flows, which includes an estimated impact of cost increases due to changes in tariff and trade policies.

1. 01

   During the fourth quarter of fiscal 2025, the Company recorded $244.1 million of impairment charges to goodwill for the Kate Spade reporting unit and $610.7 million of impairment charges to indefinite-lived brand intangible assets. The Company said the fair values of the Kate Spade reporting unit and indefinite-lived brand intangible asset did not exceed their respective carrying values due to a reduction in both current and future expected cash flows, which includes an estimated impact of cost increases due to changes in tariff and trade policies.

2. 02

   Tapestry said net sales in fiscal 2025 increased 5.1% to $7.01 billion, an increase of $339.5 million. Coach net sales rose 9.9% to $5.60 billion, Kate Spade net sales fell 10.3% to $1.20 billion, and Stuart Weitzman net sales declined 10.9% to $215.1 million.

3. 03

   The company entered into a Termination Agreement with Capri on November 13, 2024 to terminate the merger agreement and reimbursed Capri for its expenses of $45.1 million in cash on November 14. On November 25, 2024, it redeemed all outstanding Capri Acquisition Senior Notes at a redemption price of 101% of the aggregate principal amount, with a loss on extinguishment of debt of $119.4 million.

4. 04

   The company estimates a projected tariff and trade policy impact of approximately 230 basis points to operating margin in fiscal 2026 after consideration of mitigating actions. It also said the sale of the Stuart Weitzman Business to Caleres for total cash consideration of $105.0 million was completed on August 4, 2025.

Key figures

Fiscal year ended June 28, 2025

Revenue

$7.0B

Operating income

$415M

Net income

$183M

EPS

$0.82

Gross profit

$5.3B

Operating cash flow

$1.2B

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.