Shares of Versace Owner Capri Seen Falling 30% If Deal With Coach Owner Tapestry Fails
Since the merger announcement, Capri has reported weaker-than-forecast earnings twice, spurring concern about its performance in the coming quarters.
The German sportswear company's revenue is no longer on track for growth in the fourth quarter, predicting a single-digit percentage decline.
The company will decide in the coming months whether to proceed with a sales process, said a person familiar with the matter.
Kering sold its stake in the German sportswear company for approximately $772 million.
Second-quarter sales of €3.58 billion ($4.25 billion) were above analysts’ estimate of €3.24 billion.
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Rorsted, who has led the German sportswear retailer since 2016, will remain in the role until July 31, 2026.
The German sportswear brand saw its sales drop 30.7 percent to $975.34 million in the second quarter.
The German sportswear brand now expects second-quarter sales for the Greater China region to be around the same level as last year.
The sports retailer expects all markets to recover by the end of the year and for growth to return in 2021.
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First-quarter operating profit fell to €65 million, well short of the €263 million expected by analysts.
The sportswear company said staff will work half of their usual hours but will still be paid their full salary.
Shares in Adidas and Puma, already pummelled in the last few weeks, declined 6 percent and 4.4 percent respectively.
The German sportswear brands make almost a third of their sales in Asia, which is also a key sourcing hub.
Since the merger announcement, Capri has reported weaker-than-forecast earnings twice, spurring concern about its performance in the coming quarters.
The new scent, Zouzou, is the fashion house’s first new perfume since 2022.
Unilever Plc sales jumped more than expected in the first quarter as Chief Executive Officer Hein Schumacher pushes ahead with his turnaround plan and shoppers come back to premium brands.
President Biden signed the bill that gives China-based ByteDance 270 days to divest TikTok’s US assets or face a ban.
The Alphabet Inc. company said in a blog post Tuesday that it’s still working with the ad industry and regulators on the plan.
Overall revenues for the three months through March totalled 818 million euros ($874 million), above a company-provided analyst consensus of 786 million euros.
Embattled by weak demand and currency issues in Nigeria, the company is looking to slim down in order to return to growth.
EU lawmakers backed the Corporate Sustainability Due Diligence Directive by 374 votes to 235 against, with 19 abstentions.