Segment Information

3 Months Ended

Jun. 28, 2025

Segment Reporting [Abstract]

Segment Information

Segment Information

On April 10, 2025, the Company and Prada entered into a Purchase Agreement whereby Prada has agreed to acquire certain subsidiaries of the Company which operate the Company’s Versace business for an aggregate purchase price of $1.375 billion in cash, subject to certain adjustments, including for net indebtedness, working capital and transaction expenses. As a result, the Company determined that the held for sale and discontinued operations criteria have been met and the Company has classified the results of operations and cash flows of its Versace business as discontinued operations in its consolidated statements of operations and comprehensive income (loss) and consolidated statements of cash flows for all periods presented. The related assets and liabilities associated with the discontinued operations are classified as held for sale in the consolidated balance sheets as of June 28, 2025 and March 29, 2025. Accordingly, the Versace business has been excluded from the segment information herein for all periods presented. Refer to Note 4 - "Discontinued Operations" for further information.

The Company operates its business through three operating segments — Michael Kors, Jimmy Choo and Versace, which are based on its business activities and organization. The reportable segments are segments of the Company for which separate financial information is available and for which operating results are evaluated regularly by the Company’s chief operating decision maker (“CODM”), who is the Company’s Chairman and Chief Executive Officer, in deciding how to allocate resources, as well as in assessing performance. The primary key performance indicators are revenue and operating income for each segment. The Company’s reportable segments represent components of the business that offer similar merchandise, customer experience and sales/marketing strategies.

The Company’s three reportable segments are as follows:

•Michael Kors — segment includes revenue generated through the sale of Michael Kors products through four primary Michael Kors retail formats: “Collection” stores, “Lifestyle” stores (including concessions), outlet stores and e-commerce sites, through which the Company sells Michael Kors products, as well as licensed products bearing the Michael Kors name, directly to consumers throughout the Americas, certain parts of EMEA and certain parts of Asia. The Company also sells Michael Kors products directly to department stores, primarily located across the Americas and Europe, to specialty stores and travel retail shops, and to its geographic licensees. In addition, revenue is generated through product and geographic licensing arrangements, which allow third parties to use the Michael Kors brand name and trademarks in connection with the manufacturing and sale of products, including watches, jewelry, fragrances and eyewear.

•Jimmy Choo — segment includes revenue generated through the sale of Jimmy Choo luxury footwear, handbags and small leather goods through directly operated Jimmy Choo retail and outlet stores throughout the Americas, certain parts of EMEA and certain parts of Asia, through its e-commerce sites, as well as through wholesale sales of luxury goods to distribution partners (including geographic licensing arrangements that allow third parties to use the Jimmy Choo trademarks in connection with retail and/or wholesale sales of Jimmy Choo branded products in specific geographic regions), multi-brand department stores and specialty stores worldwide. In addition, revenue is generated through product licensing agreements, which allow third parties to use the Jimmy Choo brand name and trademarks in connection with the manufacturing and sale of fragrances and eyewear.

•Versace — segment includes revenue generated through the sale of Versace luxury ready-to-wear, accessories and footwear through directly operated Versace boutiques throughout North America, certain parts of EMEA and certain parts of Asia, as well as through Versace outlet stores and e-commerce sites. In addition, revenue is generated through wholesale sales to distribution partners (including geographic licensing arrangements that allow third parties to use the Versace trademarks in connection with retail and/or wholesale sales of Versace branded products in specific geographic regions), multi-brand department stores and specialty stores worldwide, as well as through product license agreements in connection with the manufacturing and sale of the Versace Jeans Couture product line, fragrances, watches, eyewear and home furnishings. As noted above, the results of the Versace business are excluded from the segment information herein for all periods presented. Refer to Note 4 - "Discontinued Operations" for further information.

In addition to these reportable segments, the Company has certain corporate costs that are not directly attributable to its brands and, therefore, are not allocated to its segments. Such costs primarily include certain administrative, corporate occupancy, shared service and information technology systems expenses, including enterprise resource planning system implementation costs and Capri transformation program costs. In addition, certain other costs are not allocated to segments, including transaction related costs and restructuring and other expense. The segment structure is consistent with how the Company’s CODM plans and allocates resources, manages the business and assesses performance. All intercompany revenues are eliminated in consolidation and are not reviewed when evaluating segment performance.

The following table presents the key performance information of the Company’s reportable segments (in millions):

		Three Months Ended
		June 28, 2025		June 29, 2024
Total revenue:
	Michael Kors	$	635	$	675
	Jimmy Choo	162		173
Total revenue		$	797	$	848
Cost of goods sold:
	Michael Kors	$	247	$	256
	Jimmy Choo	48		57
Total cost of goods sold		$	295	$	313
Selling, general and administrative expenses:
	Michael Kors	$	307	$	324
	Jimmy Choo	103		105
	Corporate	45		62
Total selling, general and administrative expenses		$	455	$	491
Depreciation and amortization:
	Michael Kors	$	18	$	20
	Jimmy Choo	7		7
	Corporate	5		5
Total depreciation and amortization		$	30	$	32
Income from operations:
	Michael Kors	$	63	$	75
	Jimmy Choo	4		4
		67		79
Less:	Corporate expenses	(50)		(62)
	Transaction related costs	—		(5)
	Restructuring and other expense	(1)		(1)
Income from operations		$	16	$	11

Total revenue (based on country of origin) by geographic location are as follows (in millions):

	Three Months Ended
	June 28, 2025		June 29, 2024
Revenue:
The Americas (1)	$	459	$	503
EMEA	228		215
Asia	110		130
Total revenue	$	797	$	848

(1)Total revenue earned in the U.S. was $418 million and $458 million, respectively, for the three months ended June 28, 2025 and June 29, 2024, respectively.

Total long-lived assets of the Company’s reportable segments are as follows (in millions):

	As of
	June 28, 2025		March 29, 2025
Long-lived assets:
Michael Kors	$	1,200	$	1,197
Jimmy Choo	618		603
Total long-lived assets	$	1,818	$	1,800

See Note 8 for the Company’s goodwill by reportable segment.