CAPRI HOLDINGS AT A CROSSROADS: BETWEEN RESTRUCTURING AND REBIRTH

Luxury group Capri Holdings Limited, owner of Versace, Michael Kors, and Jimmy Choo, has released its financial results for the second quarter of fiscal year 2026 — a turning point in its global strategy and positioning within the competitive world of accessible luxury.

After several quarters of mixed results, Capri has launched a bold transformation plan anchored in sustainable profitability, digital reinvention, and brand repositioning. According to its latest earnings report, the company achieved sequential revenue growth and improved operating margins, driven primarily by Versace’s strong performance in Asia and a digital rebound for Michael Kors.

CEO John D. Idol described this new phase as a deliberate shift toward agility and coherence:

“We are reorganizing our internal structure to strengthen the growth of each brand. The luxury market is evolving fast — we must be more digital, more emotional, and more connected to our customers than ever before.”

The company remains in the spotlight as the proposed $8.5 billion merger with Tapestry Inc., parent company of Coach and Kate Spade, remains under antitrust review by U.S. regulators. The deal, which would create one of the largest accessible-luxury groups in the world, is still on hold. In the meantime, Capri continues to operate independently, focusing on efficiency, identity, and long-term brand equity.

For Michael Kors, the renewed strategy focuses on restoring its original aspirational essence — sophisticated American luxury, less reliant on discounts and more centered on digital personalization. Versace, led by Donatella Versace, continues to thrive with bold collections and new flagships across Asia and the Middle East, while Jimmy Choo strengthens its high-glamour positioning in footwear and accessories.

Analysts see Capri’s evolution as a blueprint for the next era of “smart luxury” — one that merges aspiration with realism, growth with discipline, and heritage with reinvention. The group’s renewed focus on long-term value creation signals that the era of “growth at any cost” in luxury retail may finally be over.