New York-based luxury fashion group Michael Kors Holdings Ltd. on Nov. 7 further raised its fiscal 2019 EPS outlook, demonstrating better-than-expected second-quarter performance from its flagship brand Michael Kors and Jimmy Choo.
The company now expects full-year adjusted EPS to range from $4.95 to $5.05, up 5 cents from its prior outlook, while maintaining its revenue outlook at about $5.13 billion.
The S&P Global Market Intelligence consensus normalized EPS estimate for fiscal 2019 is $5.04.
For the fiscal second quarter ended Sept. 29, adjusted net income attributable to Michael Kors came in at $192.5 million, or $1.27 per diluted share, down from $204.5 million, or $1.33 per diluted share, in the same period a year prior. The S&P Global Market Intelligence consensus estimate for net income excluding special items was $167.4 million.
Revenue for the quarter rose 9.3% to $1.25 billion, close to the company's $1.26 billion target issued in August. Michael Kors' namesake brand accounted for $643.9 million of the total figure, while Jimmy Choo contributed $116.7 million, higher than the company's expected $110 million to $115 million in incremental revenue from the brand.
Prior to the close of the quarter, Michael Kors announced its move to acquire Italian luxury fashion house Gianni Versace SpA for €1.83 billion. Upon the closing of the transaction, which is expected in the fiscal fourth quarter, Michael Kors will rename itself Capri Holdings Ltd.
