* Second-qtr EPS 49 cents vs Street view 40 cents
* Sees holiday qtr EPS 37-39 cents vs St view 39 cents
* Shares rise more than 3 percent
By Phil Wahba and Nivedita Bhattacharjee
Nov 13 Fashion company Michael Kors Holdings
Ltd's second- quarter income more than tripled and the
company raised its full-year profit view as it benefited from
strong demand at home as well as in European markets.
Michael Kors, whose founder is a judge on the long-running
television fashion show "Project Runway," said holiday-quarter
sales at its own stores, open a year, could rise by a "mid-20
Michael Kors' shares rose more than 3 percent in early
trading on Tuesday.
The company, known for its watches and handbags, also said
the brand was gaining traction in Europe, and revenue in that
region soared 97 percent to $57 million.
"While we recognize the European economy is weakening, we
are benefiting from strong reception to our merchandise offering
and increased brand awareness," Chief Executive John Idol said
on a conference call with analysts.
Michael Kors, which has challenged Coach Inc in the
"affordable luxury" segment, raised its full-year profit
forecast 16 cents to a range of $1.48 to $1.50 per share, above
the $1.46 estimated by analysts.
For the holiday period, the company expects a profit of 37
to 39 cents for the quarter that will end in late December.
Wall Street was expecting 39 cents a share, according to
Thomson Reuters I/B/E/S.
Kors reported a higher-than-expected second-quarter profit,
helped by rising sales at its own stores and the roll-out of its
boutiques at department stores, and raised its full-year profit
Total revenue in the second quarter soared 74.4 percent to
$532.9 million, while sales at stores open at least a year rose
45.2 percent. In Europe, where Kors still has a small presence,
sales surged 97 percent.
Net income more than tripled to $97.8 million, or 49 cents
per share for the quarter that ended Sept. 29, from $31.6
million, or 22 cents per share, a year earlier. That beat Wall
Street estimates by 9 cents, according to Thomson Reuters
Kors' shares rose 3.7 percent, or $1.92, to $52.50 in
morning New York Stock Exchange trading.