中文Michael Kors Just Engineered a Financial Comeback — and It’s Actually Working
Remember when Capri Holdings was drowning in debt and the Versace sale felt like a desperation move? Well, the numbers are in for fiscal 2026, and the story has flipped completely.
Capri — the company behind Michael Kors and Jimmy Choo — just posted full-year revenue of $3.47 billion. Yes, that’s down 4.1% from last year. But stick with me, because the profit story underneath is what actually matters.
From Half a Billion in Losses to $80 Million in Profit
Twelve months ago, Capri was staring at a $526 million loss. Not a typo. Half a billion dollars in the red. Fast forward to fiscal 2026: $80 million in positive income from continuing operations. That’s a $606 million swing. It’s the kind of turnaround that makes CFOs sleep better at night.
The fourth quarter tells an even sharper story. Loss from continuing operations was essentially zero — just $1 million, compared to a $579 million loss in the same quarter a year ago. Adjusted net income for Q4 hit $27 million. When “breaking even” feels like a victory, you know how deep the hole was.
The Debt Story Nobody’s Talking About
Here’s the quiet achievement that deserves more attention: Capri’s net debt cratered from roughly $1.4 billion to just $222 million. They sold Versace. They generated $197 million in operating cash flow. They produced $134 million in free cash flow. And they slashed inventory by 17% to $581 million.
This isn’t accounting magic. This is a company that got serious about cleaning up its balance sheet, and the numbers prove it.
A Tale of Two Brands
The performance split between Michael Kors and Jimmy Choo tells an interesting story about where luxury is heading.
Michael Kors reported Q4 revenue of $656 million — down 5.5% — but managed to increase operating income to $57 million, achieving an 8.7% operating margin. That’s the old-school playbook: manage costs carefully while the top line finds its footing.
Jimmy Choo grew revenue 5.3% to $140 million, which sounds great until you notice the $20 million operating loss. Growing sales while burning cash isn’t sustainable forever, and you can bet management is laser-focused on fixing that math.
The Turnaround Playbook
CEO John Idol has been clear about the strategy: product innovation, brand desirability, and consumer engagement. Those sound like buzzwords until you look at the actual trajectory. Improving trends across both brands. Market share defense. A balance sheet that’s no longer a liability.
For fiscal 2027, Capri expects about $3.53 billion in revenue — low single-digit growth — with operating income around $190 million and earnings per share of roughly $2.15. These aren’t blowout growth projections. They’re steady, believable numbers from a company that’s learned the hard way what happens when you overpromise.
What This Means for Luxury
Capri’s turnaround matters because it’s a case study in what works in today’s luxury market. You can’t just raise prices and hope brand equity carries you. You can’t just cut costs and starve the brands. You have to do both — protect the product, manage the finances, and keep consumers believing.
Michael Kors and Jimmy Choo aren’t Hermès or Chanel. They occupy the “accessible luxury” space that’s been under intense pressure as middle-class consumers tighten their belts and ultra-luxury absorbs the customers who can still spend freely. Surviving in that space in 2026 takes serious operational discipline.
Capri has proved it can do the hard financial work. The next test: proving the brands can grow again.
Source: International Leather Maker — “Capri beats expectations and returns to annual profit,” June 2026
