Coach Q4 profit soars 31%, raises guidance for FY07
01 Aug '06
4 min read
Frankfort added, "The strength of our fourth quarter results was reflected in all of our businesses. Our successful spring and summer offerings drove our performance, as we continued to improve productivity through our well-received product offerings. In April, our Soho Optic Signature fabrication was introduced in a seasonal palette in several strong-selling handbag, accessory and footwear styles. For May, we launched a new summer program, which included soft totes in classic Signature and Optic Signature shoulder totes. And in June we brought in new Signature Patchwork and Tie Dye offerings - both perennial favorites."
"In Japan, we were particularly pleased with the outstanding sales and market share growth in FY06, which we achieved despite an absence of growth in the category. Our rapidly expanding sales in Japan reflect the success of our distribution strategy - notably the acceleration of new openings, along with the expansion of highly productive shop-in-shops."
During the fourth quarter of fiscal 2006, the company opened 12 US Coach retail stores - including three in new markets for Coach - and three factory stores, while closing one factory location, bringing the total to 218 retail stores and 86 factory stores at July 1, 2006. In addition, Coach expanded four locations during the fourth quarter, bringing the year end total to nine expansions in Japan.
Frankfort noted, "During fiscal 2007, Coach will be introducing three new major lifestyle platforms, which we are especially excited about, after a year spent successfully evolving established collections. The first, Signature Stripe, is a new weekend collection centered around a group of reversible totes. This collection was just launched last month and became an instant success. Additional platforms debuting this year will be Legacy this fall, featuring a return to our heritage in rich leathers and iconic hardware, and Ergo, a lightweight, sophisticated group for spring."
marketing@alchempro.com
