Credit: Jimmy Choo

Capri Holdings has reported its financial results for the fourth quarter of fiscal 2025, marking a challenging year for the fashion conglomerate.

Revenue for the quarter totalled US$1 billion, a decline of 15.4% on a reported basis and 14.1% on a constant currency basis, compared with the same period last year.

The group posted a gross profit of US$631 million, with a gross margin of 61%, down from 62.7% the previous year. Operating losses reached US$116 million, representing an operating margin of (11.2)%, though the adjusted operating loss was narrower at US$33 million, with a margin of (3.2%).

Michael Kors revenue was US$694 million for the quarter, down 15.6% on a reported basis and 14.4% in constant currency. Gross profit was US$407 million, with a margin of 58.6%, compared with 60.8% last year. Operating income declined to US$32 million, with a margin of 4.6%, from US$116 million and 14.1% in the prior year.

Jimmy Choo generated revenue of US$133 million, a 2.9% decrease on a reported basis and 1.5% in constant currency. Gross profit reached US$88 million with a margin of 66.2%, down from 70.1%. Operating loss widened slightly to US$10 million from US$8 million the year before.

Versace reported US$208 million in revenue, a 21.2% decrease on a reported basis and 19.7% in constant currency. Gross profit was US$136 million with a 65.4% margin, compared with 64.8% last year. The brand recorded an operating loss of US$13 million, down from a US$1 million profit in the prior year.

As previously announced, Capri Holdings entered a definitive agreement to sell Versace to Prada for US$1.38 billion in cash, subject to adjustments. The transaction is expected to close in the second half of calendar 2025. Beginning fiscal 2026, Versace will be classified as a discontinued operation.

For fiscal 2026, the company expects total revenue of approximately US$3.3 to US$3.4 billion and operating income of around US$100 million, inclusive of tariff impacts. For the first quarter of fiscal 2026, Capri anticipates total revenue of US$765 to US$780 million, with operating margin around break-even.

Chairman and CEO John D Idol said fiscal 2025 was a difficult year, but early signs of recovery and new strategic initiatives have the company optimistic heading into 2026 and beyond.