--> KORS +9.5% 10k shares traded
Michael Kors beats by $0.18, beats on revs; guides Q3 EPS below consensus, revs below consensus; guides FY16 EPS above consensus, revs in-line
- Reports Q2 (Sep) earnings of $1.07 per share, $0.18 better than the Capital IQ Consensus of $0.89; revenues rose 6.6% year/year to $1.13 bln vs the $1.08 bln Capital IQ Consensus.
- Retail net sales increased 7.5% to $532.8 million driven by 116 net new store openings since the end of the second quarter of fiscal 2015 and e-commerce sales from the Company's North America digital flagships, partially offset by an 8.5% decrease in comparable store sales.
- On a constant currency basis, retail net sales grew 14.7%, and comparable store sales decreased 3.4%.
- Co issues downside guidance for Q3, sees EPS of $1.44-1.48 vs. $1.53 Capital IQ Consensus Estimate; sees Q3 revs of $1.33-1.35 bln vs. $1.4 bln Capital IQ Consensus Estimate. The Company expects foreign currency to impact net income by approximately $11 million and EPS by approximately $0.06.
- The Company expects a mid-single digit comparable store sales decrease on a reported basis and a low single digit decrease on a constant currency basis.
- Co issues guidance for FY16, sees EPS of $4.38-4.42 vs. $4.31 Capital IQ Consensus Estimate; sees FY16 revs of $4.60-4.65 bln vs. $4.65 bln Capital IQ Consensus Estimate.
- The Company expects a mid-single digit comparable store sales decrease on a reported basis and a low single digit decrease on a constant currency basis.