Seeking Alpha

Coach cuts costs but loses market share in FQ1

  • Coach (COH) reports sales in North America decreased 1% during its FQ1 to $778M, with comparable store sales falling 6.8%.
  • International sales fell slightly to $365M, although both China and Japan saw strong growth rates.
  • Cost controls helped Coach reel in the bottom line beat, but the negative comp growth in North America is indicative of  more market share loss to Michael Kors and other rivals.
  • COH -4.0% premarket.
Comments (3)
  • AnAvgJoe
    , contributor
    Comments (222) | Send Message
     
    Really didn't think KORS would be their undoing. Not so sure now...
    22 Oct 2013, 09:25 AM Reply Like
  • chopchop0
    , contributor
    Comments (3006) | Send Message
     
    yup. Glad I bailed on this one in the high 50s. The purse market is too fickle.
    22 Oct 2013, 09:27 AM Reply Like
  • Stan Ackman
    , contributor
    Comments (710) | Send Message
     
    Does anybody know how could Coach went up around 9 am? It later dropped more than 8%. With such a disastrous result, it should drop at least high single digit.
    22 Oct 2013, 09:35 AM Reply Like
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