Tapestry reported fourth quarter fiscal 2026 results that exceeded top and bottom-line expectations, driven by the continued dominance of the Coach brand and significant gross margin expansion. The company achieved its long-term financial targets two years ahead of schedule and initiated a 16% dividend increase alongside a $1.35 billion share repurchase plan for the upcoming fiscal year.

Key Highlights

  • Coach brand revenue rose 15% (14% constant currency) to $1.64 billion, representing a double-digit growth trajectory in every quarter of fiscal 2026.
  • Non-GAAP gross margin expanded 180 basis points to 78.1%, driven by operational improvements and the divestiture of the Stuart Weitzman business.
  • New customer acquisition remained robust with 2.5 million new consumers in the quarter, including a 35% mix of Gen Z buyers.
  • Fiscal 2027 guidance projects mid-single-digit revenue growth to a range of $8.4 billion to $8.5 billion and EPS of $7.80 to $7.90.