• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem

1

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
Retailhandbag wars

Kate Spade Handbag Sales Come In Better Than Expected

Phil Wahba
By
Phil Wahba
Phil Wahba
Senior Writer
Down Arrow Button Icon
Phil Wahba
By
Phil Wahba
Phil Wahba
Senior Writer
Down Arrow Button Icon
August 14, 2018, 11:20 AM ET
Add Fortune on Google for similar content.

The Kate Spade handbag brand’s turnaround is progressing more quickly than expected.

Tapestry (TPR), its parent company, said Kate Spade’s same-store sales in its most recent quarter, fell 3%, a far more moderate decline than the 7.2% drop Wall Street was fearing, according to Consensus Metrix.

While sales got some help from nostalgia in the wake of the passing in June of the designer Kate Spade, the fixes Tapestry used to rehabilitate Coach, the biggest brand in its portfolio, a few years ago seem to be working on Kate Spade now, too, and helping it recover a sense of exclusivity. (Kate Spade herself had not been involved in the brand since 2006.)

Coach’s aura had been severely damaged by years of unrelenting promotions and reliance on outlet stores, as well as the opening of too many stores. As detailed by Fortune last year, Coach in recent years cut most online sales events cold turkey, closed dozens of mall-based stores, hired a top designer in Stuart Vevers, and tapped celebrity Selena Gomez to be its spokesperson. That has allowed Coach to return to growth and regain much of its high-end luster.

Tapestry, which bought Kate Spade last year for $2.4 billion as part of its effort to become a house of brands beyond Coach, has applied the same approach to Kate Spade, which had also suffered from having its brand overextended. (Michael Kors has also used this strategy to rehabilitate its similarly damaged brand in the past two years.) Part of Tapestry’s rationale for buying Kate Spade was that it had a blueprint for re-elevating its image after become ubiquitous and taking the brand global. (Coach has long been a power house in markets like Japan and China.)

“Fiscal 2019 will be a pivotal year at Kate Spade as we evolve the brand,” Tapestry CEO Victor Luis said in a statement. “We will focus on global expansion, notably in China where the brand is nascent and we see boundless opportunity.”

At Coach, same-store sales grew 2% percent, a hair less than the 2.1% estimated. And at Stuart Weitzman, also a Tapestry brand, delivery delays and other logistics problems dented sales, which fell to $73 million during the quarter, from $88 million a year earlier. As a whole, Tapestry reported fiscal fourth-quarter net income of $211.7 million, or 73 cents per share, up from $151.7 million, or 53 cents per share a year earlier. Excluding items, Tapestry earned 60 cents per share, topping the 57 cents per share expected by analysts surveyed by Thomson Reuters. Net sales rose 31% to $1.48 billion, slightly ahead of $1.47 billion.

Wall Street liked those results and shares went up 12% in Tuesday morning trading.

About the Author
Phil Wahba
By Phil WahbaSenior Writer
LinkedIn iconTwitter icon

Phil Wahba is a senior writer at Fortune primarily focused on leadership coverage, with a prior focus on retail.

See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

Latest in Retail

cinerama
Arts & EntertainmentHollywood
Hollywood’s iconic Cinerama Dome to reopen under deal with Sony, Alamo Drafthouse
By The Associated PressJuly 22, 2026
1 hour ago
An open plain bagel with cream cheese smeared on a plate.
North AmericaImmigration
Seeds, schmear, sesame: How a bagel’s toasted crunch that became a reflection of America’s identity
By The Associated Press and Josh CornfieldJuly 21, 2026
23 hours ago
Lauren Sánchez Bezos put $34 million behind reinventing what clothes are made of—and stirred a debate about Amazon
Environmentphilanthropy
Lauren Sánchez Bezos put $34 million behind reinventing what clothes are made of—and stirred a debate about Amazon
By Sydney LakeJuly 21, 2026
1 day ago
wilt
Arts & EntertainmentAuction
Gen Z entrepreneur found a Wilt Chamberlain Lakers warm-up for $3.07 outside Portland — it was a $90,000 genuine article
By Claire Rush and The Associated PressJuly 21, 2026
1 day ago
‘We all failed’: Former Disney CEO Michael Eisner on Hollywood, video games and the big question of IP
Arts & EntertainmentDisney
‘We all failed’: Former Disney CEO Michael Eisner on Hollywood, video games and the big question of IP
By Joshua HongJuly 21, 2026
1 day ago
A Jersey Mike's logo is displayed outside one of their stores in San Diego, California.
InvestingIPOs
Jersey Mike’s IPO valuation could reach eight times Sweetgreen’s market cap
By Sheryl EstradaJuly 21, 2026
2 days ago

Most Popular

OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
Cybersecurity
OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
By Jeremy Kahn and Emily ForliniJuly 21, 2026
1 day ago
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
Success
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
By Sasha RogelbergJuly 20, 2026
2 days ago
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
AI
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
By Eva RoytburgJuly 21, 2026
1 day ago
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
Success
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
By Emma BurleighJuly 21, 2026
1 day ago
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
Success
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
By Sydney LakeJuly 20, 2026
2 days ago
'The audience is telling the industry something': even IMAX is stunned by Christopher Nolan's runaway 'Odyssey'
Arts & Entertainment
'The audience is telling the industry something': even IMAX is stunned by Christopher Nolan's runaway 'Odyssey'
By Tatiana SatauaJuly 21, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.