Tapestry Sees 25M Gen Z Shoppers Annually, Q3 Sales Jump 21%
TPR•Tapestry CEO Joanne Crevoiserat says 25 million women turning 18 annually over the next decade present a significant growth catalyst, noting Gen Z shoppers decide in 60 seconds to engage with a brand. In Q3, net sales rose 21% to $1.9 billion, EPS climbed 62% to $1.66, and guidance was raised.
1. CEO Highlights Gen Z Opportunity
Joanne Crevoiserat emphasizes that 25 million women will turn 18 each year for the next decade in Tapestry’s served markets, presenting a large addressable audience. She notes Gen Z shoppers assess stores within 60 seconds, underscoring the need for targeted brand experiences and rapid engagement.
2. Fiscal Q3 Sales and Profit Growth
In the fiscal third quarter, Tapestry generated $1.9 billion in net sales, up 21% year-over-year, driven largely by Coach, which posted $1.7 billion in revenue, a 31% increase. Adjusted earnings per share rose 62% to $1.66, significantly beating prior-year performance and consensus forecasts.
3. Strategic Brand and Portfolio Moves
Under Crevoiserat’s leadership, the company has refined its portfolio by divesting Stuart Weitzman and walking away from a planned Capri Holdings acquisition. Investments in digital innovation, consumer engagement, and brand building aim to bolster quality offerings and deepen market penetration.
4. Raised Outlook and Analyst View
Following the strong quarter, Tapestry raised its full-year revenue, operating margin, EPS, and cash flow guidance. The stock has surged 78% over the past year versus a 23% S&P 500 gain, and analysts forecast accelerating bottom-line growth with double-digit total shareholder returns.
