Michael Kors Rises as Profit Tops Estimates on Sales
Michael Kors Holdings Ltd. (KORS), the luxury-goods company founded by the designer of the same name, rose the most in three months after first-quarter profit topped analysts’ estimates amid surging North American sales.
The shares climbed 3.7 percent to $70.39 at the close in New York, the biggest gain since April 25. The Hong Kong-based company’s shares have risen 38 percent this year, compared with a 19 percent gain in the Standard & Poor’s 500 Index.
Profit in the quarter ended June 29 was 61 cents a share, and revenue increased 54 percent to $640.9 million, the company said in a statement today. Analysts estimated profit of 49 cents and sales of $571.6 million, according to data compiled by Bloomberg. Revenue in North America, Kors’s largest region, rose 46 percent.
“Our exceptional first quarter financial results demonstrate the sustained strong demand for the Michael Kors luxury brand,” Chief Executive Officer John Idol said in the statement.
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