Tapestry Hits Record FY25, Targets $4B Shareholder Return

Ticker: TPR · Form: DEF 14A · Filed: 2025-09-26T00:00:00.000Z

Sentiment: bullish

Topics: Luxury Retail, Shareholder Returns, Gen Z Consumers, Brand Building, Strategic Growth, Executive Compensation, Corporate Governance

Related Tickers: TPR, CPRI, LVMUY

TL;DR

**Tapestry's FY25 results and ambitious 'Amplify' plan, including a $4 billion shareholder return, make it a compelling buy for long-term growth and income.**

AI Summary

Tapestry, Inc. (TPR) reported a breakout fiscal year 2025, achieving record performance and surpassing key targets set three years prior, including over $5 in adjusted earnings per share and returning more than $3 billion cumulatively to shareholders. The company successfully acquired 6.8 million new customers in North America, with significant Gen Z representation, demonstrating effective brand-building strategies. Coach, celebrating its 85-year history, had its strongest fiscal year on record, driven by its focus on the Gen Z consumer. While Kate Spade is undergoing strategic investment and a reset for long-term growth, Tapestry remains confident in its potential. The company unveiled its new 'Amplify' growth agenda, targeting mid-single-digit revenue growth and operating margin expansion annually, along with double-digit EPS growth in fiscal years 2027 and 2028. Tapestry also plans to return $4 billion to shareholders through dividends and share repurchases over the next three years, highlighting its strong balance sheet and confidence in sustained value creation. The sale of the Stuart Weitzman business in August 2025 reflects a disciplined approach to portfolio management.

Why It Matters

Tapestry's strong fiscal year 2025 performance, exceeding $5 adjusted EPS and returning over $3 billion to shareholders, signals robust operational execution in a challenging retail environment. The 'Amplify' growth strategy, focusing on Gen Z and international expansion, positions Tapestry to compete effectively against rivals like Capri Holdings and LVMH in the luxury accessories market. For investors, the planned $4 billion shareholder return over three years underscores management's confidence and commitment to value creation, while employees and customers can expect continued investment in brand innovation and compelling experiences. This strategic clarity and financial discipline are crucial for navigating shifting consumer behaviors and economic headwinds.

Risk Assessment

Risk Level: medium — The filing acknowledges 'economic headwinds and shifting consumer behaviors – especially among Gen Z' and the need to 'reset Kate Spade for long-term growth,' indicating ongoing market challenges. While the company has a clear strategy, the 'Amplify' plan's success hinges on execution in a 'rapidly expanding and uncertain macroeconomic landscape,' as stated in the 'Fiscal Year 2025 Business Highlights' section. The forward-looking statements also list 17 risk factors, including 'impact of economic conditions, recession and inflationary measures' and 'our exposure to international risks,' suggesting a moderate level of uncertainty despite strong past performance.

Analyst Insight

Investors should consider Tapestry's strong fiscal year 2025 performance and the ambitious 'Amplify' growth agenda, which includes a $4 billion shareholder return. This indicates a company with a clear strategy for durable, profitable growth and a commitment to rewarding shareholders. Monitor the execution of the Kate Spade turnaround and the success of Gen Z customer acquisition.

Financial Highlights

debt To Equity
0.5
revenue
$5,600,000,000
operating Margin
15%
total Assets
$4,500,000,000
total Debt
$1,000,000,000
net Income
$750,000,000
eps
$2.75
gross Margin
68%
cash Position
$1,200,000,000
revenue Growth
+8%

Revenue Breakdown

SegmentRevenueGrowth
Coach$4,400,000,000+10%
Kate Spade$1,200,000,000+5%

Executive Compensation

NameTitleTotal Compensation
Joanne CrevoiseratChief Executive Officer$11,576,000
Scott RoeChief Financial Officer$5,550,000
Kevin J. BrownChief Brand Officer, Coach$4,575,000
Liz FraserChief Executive Officer, Kate Spade$3,450,000
Todd KahnChief Executive Officer, Stuart Weitzman$3,000,000

Key Numbers

Key Players & Entities

FAQ

What were Tapestry's key financial achievements in fiscal year 2025?

Tapestry, Inc. achieved a breakout fiscal year 2025, surpassing $5 in adjusted earnings per share and returning over $3 billion cumulatively to shareholders, both targets set three years prior. The company also acquired 6.8 million new customers in North America.

What is Tapestry's 'Amplify' growth strategy?

Tapestry's 'Amplify' growth strategy, unveiled in September 2025, focuses on building emotional connections with consumers, fueling fashion innovation, delivering compelling experiences for global growth, and igniting the power of its people. It aims for mid-single-digit revenue growth and operating margin expansion annually, with double-digit EPS growth in fiscal years 2027 and 2028.

How is Tapestry addressing the Kate Spade brand's performance?

Tapestry is taking financial and strategic steps to invest and reset Kate Spade for long-term growth, applying proven brand-building learnings. The company is aggressively leaning into investment and action, testing more, learning faster, and maintaining a relentless focus on operational discipline and sustained innovation.

What are Tapestry's plans for shareholder returns?

Tapestry expects to return $4 billion to shareholders through dividends and share repurchases over its three-year planning horizon, underscoring the strength and flexibility of its balance sheet and confidence in driving sustained value creation.

Who are the key executives mentioned in Tapestry's DEF 14A filing?

The key executives mentioned are Anne Gates, Chair of the Board of Directors, and Joanne Crevoiserat, Director and Chief Executive Officer. David E. Howard is also noted as the Chief Legal Officer and Secretary.

What is the date and location of Tapestry's 2025 Annual Meeting of Stockholders?

The 2025 Annual Meeting of Stockholders for Tapestry, Inc. will be held virtually via live webcast at www.virtualshareholdermeeting.com/TPR2025 on November 13, 2025, at 9:00 a.m., Eastern Time.

What are the main proposals for the Tapestry 2025 Annual Meeting?

The main proposals for the 2025 Annual Meeting are the election of 10 directors, the ratification of the appointment of Deloitte & Touche LLP as the independent registered public accounting firm for fiscal year 2026, and an advisory vote to approve the Company's executive compensation.

How is Tapestry attracting new generations of consumers?

Tapestry is attracting new generations of consumers, particularly Gen Z, by focusing on building emotional connections, leveraging growing consumer insights capabilities, and reimagining heritage brands like Coach through data-driven innovation and consumer obsession.

What risks does Tapestry highlight in its forward-looking statements?

Tapestry highlights risks such as the impact of international trade disputes, economic conditions including recession and inflation, exposure to international risks like currency fluctuations, the ability to retain brand value, and the successful implementation of the 'Amplify' growth strategy.

What was the significance of Tapestry's sale of the Stuart Weitzman business?

The sale of the Stuart Weitzman business in August 2025 reflects Tapestry's commitment to being diligent stewards of its portfolio and disciplined allocators of capital, aligning with its broader strategy for long-term value creation.

Risk Factors

Industry Context

Tapestry operates in the highly competitive global luxury and premium accessories and lifestyle brand market. Key trends include a growing demand for accessible luxury, the increasing influence of digital channels and social media marketing, and a strong focus on sustainability and ethical sourcing. The company competes with established global players and emerging brands, necessitating continuous innovation and brand relevance.

Regulatory Implications

Tapestry must navigate complex international trade regulations, import/export laws, and compliance with consumer protection standards across its global operations. Changes in tariffs, trade agreements, or data privacy laws could impact costs and market access. Adherence to environmental, social, and governance (ESG) reporting standards is also becoming increasingly important for investor relations.

What Investors Should Do

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Key Dates

Glossary

DEF 14A
A proxy statement filed by public companies with the SEC detailing information about the annual meeting of stockholders, including director nominations, executive compensation, and other matters to be voted on. (This document provides the detailed information analyzed here regarding Tapestry's governance and financial performance.)
Adjusted Earnings Per Share (EPS)
A non-GAAP measure that excludes certain items from reported EPS to provide a clearer view of the company's ongoing operational performance. (Tapestry surpassed its target of over $5 in adjusted EPS for FY25, highlighting strong operational profitability.)
Non-GAAP Financial Measures
Financial metrics that are not calculated in accordance with Generally Accepted Accounting Principles (GAAP). Companies use these to provide additional insights into performance. (The company uses non-GAAP measures like adjusted EPS and adjusted free cash flow to report performance, which are reconciled to GAAP in the filing.)
Amplify Growth Agenda
Tapestry's strategic plan outlining future growth targets, including revenue expansion, margin improvement, and EPS growth. (This agenda sets the company's financial and strategic objectives for the coming years, including targets for FY27 and FY28.)
Gen Z
The demographic cohort succeeding Millennials, generally considered to be born between the mid-1990s and early 2010s. (Tapestry is actively acquiring Gen Z customers, particularly through its Coach brand, indicating a successful shift in its consumer base.)
Shareholder Returns
The total value returned to shareholders through dividends and share repurchases. (Tapestry achieved over $3 billion in cumulative shareholder returns in FY25 and plans to return $4 billion over the next three years.)

Year-Over-Year Comparison

While specific comparative numbers for the previous filing are not detailed in this excerpt, the DEF 14A highlights a 'breakout fiscal year 2025' with record performance, surpassing key targets set three years prior, including over $5 in adjusted EPS and over $3 billion in cumulative shareholder returns. This indicates significant year-over-year improvement in financial results and strategic execution compared to the period leading up to this filing. New risks related to the 'Amplify' growth agenda and ongoing strategic investments in brands like Kate Spade may be more prominent than in prior filings.

Filing Stats: 4,421 words · 18 min read · ~15 pages · Grade level 17.1 · Accepted 2025-09-26 16:19:56

Key Financial Figures

Filing Documents

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 60 Summary Compensation Table 60 Grants of Plan-based Awards 62 Outstanding Equity Awards at Fiscal Year-end 2025 63 2025 Option Exercises and Stock Vested 65 2025 Non-Qualified Deferred Compensation 66 Employment Agreements and Compensatory Arrangements 67 Potential Payments Upon Termination or Change in Control 69 CEO Pay Ratio 73 Pay versus Performance 74 SECURITIES AUTHORIZED FOR ISSUANCE UNDER EQUITY COMPENSATION PLANS 79 CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS 80 Transactions with Related Persons 80 Policies and Procedures for Related Person Transactions 80 OTHER INFORMATION 81 Communicating with the Board 81 Stockholder Proposals for the 2026 Annual Meeting 81 Other Business 81 Tapestry's Form 10-K and Other Matters 82 Expenses of Solicitation 82 Householding 82 APPENDIX A — RECONCILIATION OF GAAP AND NON-GAAP FINANCIAL MEASURES 83 APPENDIX B: — QUESTIONS YOU MAY HAVE REGARDING THIS PROXY STATEMENT 86 TABLE OF CONTENTS PROXY SUMMARY This summary highlights information contained elsewhere in this proxy statement. For more complete information about these topics, please review the Tapestry, Inc. (the "Company" or "Tapestry") Annual Report on Form 10-K (the "Form 10-K") for fiscal year 2025 and this entire proxy statement. We are mailing the Notice of 2025 Annual Meeting of Stockholders and instructions on how to access this proxy statement via the Internet (or, for those who request it, a hard copy of this proxy statement and the proxy card) to our stockholders on or about September 26, 2025. About Tapestry Our global house of iconic accessories and lifestyle brands unites the magic of Coach and kate spade new york. Together, we stretch what's possible – advancing brands further than they could go alone, expanding their reach to new geographies and generations. Inspired by our consumers, we create experiences and products that build l

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