UPDATE: Coach FQ4 Profit Tops Street View, Shares Jump
Shares of Coach (NYSE: COH) jumped more than 4.5% in pre-market trading after the company reported stronger-than-expected fiscal fourth-quarter profit.
The New York-based company posted a quarterly profit of $75.3 million, or $0.27 per share, versus a year-ago profit of $221.3 million, or $0.78 per share. Excluding special items, Coach's earnings fell to $0.59 per share from $0.89 per share. Coach recorded charges of around $132 million for transformation and other related actions in the quarter.
Its sales slipped 7.1% to $1.14 billion. On a constant currency basis, sales fell 6%. However, analysts were estimating earnings of $0.53 per share on sales of $1.09 billion.
Coach's international sales rose 7% to $414 million. The company's sales in North America dropped 16% to $691 million in the quarter.
Victor Luis, Chief Executive Officer of Coach, Inc. said, “The fourth quarter capped a challenging year for the company, most notably in the North America women's bag and accessory business.”
Coach shares climbed 4.78% to $35.95 in pre-market trading.
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