Tapestry touts ability to offset tariff hit by... — 2025-09-12

Tariff headwinds loom, but Tapestry projects margin resilience and a $3 billion buyback as Coach momentum offsets pressure on Kate Spade, with guidance of mid-single-digit revenue and low double-digit EPS growth through FY28. Meanwhile, Bremont narrows losses yet remains cash-constrained despite long-term backing, as Missoni expands into Saudi Arabia and Christian Dior under LVMH reinforces product leadership to sharpen execution.

Key News for Today

Tapestry touts ability to offset tariff hit by 2028, backs plan with $3B buyback as Coach momentum offsets pressure on Kate Spade.

Why it matters: Signals margin discipline and shareholder return commitment despite an estimated $160 million FY26 tariff burden and end of the "de-minimis" exemption.

Impact: If delivered, mid-single-digit revenue growth and low double-digit EPS growth in FY27–FY28 could re-rate the stock and strengthen competitive positioning in accessible luxury.

What to follow: Track FY26 gross margin trajectory, pricing/mix at Coach, Kate Spade’s return to profitable topline growth by FY27, and cadence of the buyback.

Bremont narrows losses to £9.8m but remains cash-light as Bill Ackman becomes 63% owner and commits long-term backing.

Why it matters: Capital support extends runway for a multi-year turnaround, but sustained losses and shrinking cash constrain brand-building and distribution.

Impact: Near-term profitability remains unlikely; wholesale and DTC partners may demand tighter terms, risking slower top-line growth.

What to follow: Monitor quarterly cash burn, order book health, inventory turns, and any fresh capital injections or strategic retail partnerships.

Missoni opens first Saudi boutique in Riyadh’s Kingdom Center, advancing its Middle East retail expansion.

Why it matters: GCC markets deliver high full-price sell-through and tourism-spend exposure, supporting pricing power and brand visibility.

Impact: Incremental revenue with attractive unit economics could lift regional mix and reduce reliance on Europe.

What to follow: Watch store productivity, local clienteling growth, and the pace of further GCC openings.

Christian Dior (LVMH) appoints Michela Kalb to lead couture and RTW categories, strengthening product leadership.

Why it matters: Tighter creative-operational alignment can accelerate collection execution and merchandising rigor across key categories.

Impact: Potential for higher sell-through, fewer markdowns, and stronger cross-category storytelling that reinforces Dior’s market share.

What to follow: Track upcoming season sell-through, waitlists, and runway-to-retail conversion, plus any knock-on leadership moves within LVMH.

Daily Analysis — 2025-09-12

Key News for Today

Tapestry touts ability to offset tariff hit by 2028, backs plan with $3B buyback as Coach momentum offsets pressure on Kate Spade.

Bremont narrows losses to £9.8m but remains cash-light as Bill Ackman becomes 63% owner and commits long-term backing.

Missoni opens first Saudi boutique in Riyadh’s Kingdom Center, advancing its Middle East retail expansion.

Christian Dior (LVMH) appoints Michela Kalb to lead couture and RTW categories, strengthening product leadership.

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