Executive Summary

• Tapestry reported adjusted 3Q19 EPS of $0.42, down 22.2% from the prior year period and beating the $0.41 consensus estimate. Total revenues grew 0.8% (2% currency neutral) to $1.33 billion, missing the $1.34 billion consensus estimate.
• Adjusted gross margin expanded 30 bps to 69.2%, driven by Kate Spade.
• The company continues to expect a low-to-mid-single-digit revenue growth and EPS of $2.55-2.60 for fiscal 2019.