{
  "url": "https://struct.news/briefs/tapestry-added-a-kate-spade-of-sales-but-its-profit-surge-has-a-non-cash-asterisk",
  "title": "Tapestry added a Kate Spade of sales, but its profit surge has a non-cash asterisk",
  "summary": "Operating income rose from $415 million to $1.9 billion, helped by a $741.1 million drop in prior-year non-cash impairment adjustments.",
  "published_at": "2026-08-13T10:53:58.063436+00:00",
  "publisher": "Struct",
  "usage": "Figures are as reported by the company. Quote with attribution to the source filing.",
  "company": {
    "name": "Tapestry, Inc.",
    "ticker": "TPR",
    "cik": "1116132",
    "sector": "Consumer Cyclical",
    "industry": "Luxury Goods"
  },
  "source_filing": {
    "form": "10-K",
    "filed": "2026-08-13",
    "accession": "0001116132-26-000018",
    "url": "https://www.sec.gov/Archives/edgar/data/1116132/000111613226000018/tpr-20260627.htm"
  },
  "comparison_filing": {
    "form": "10-K",
    "filed": "2025-08-14",
    "url": "https://www.sec.gov/Archives/edgar/data/1116132/000111613225000019/tpr-20250628.htm"
  },
  "reported_figures": [
    {
      "group": "The filing in three numbers",
      "label": "Revenue",
      "value": 7010700000,
      "display": "$7.0B",
      "unit": "usd",
      "period": "2025-06-28",
      "detail": null,
      "source": {
        "kind": "sec_filing",
        "label": "Filed company results",
        "form": "10-K",
        "accession": "0001116132-26-000018",
        "filing_date": "2026-08-13"
      }
    },
    {
      "group": "The filing in three numbers",
      "label": "Revenue YoY",
      "value": 5.089039453171851,
      "display": "+5.1%",
      "unit": "percent",
      "period": "2025-06-28",
      "detail": null,
      "source": {
        "kind": "jodie_calculation",
        "label": "Calculated from filed company results",
        "form": "10-K",
        "accession": "0001116132-26-000018",
        "filing_date": "2026-08-13"
      }
    },
    {
      "group": "The filing in three numbers",
      "label": "Operating margin",
      "value": 5.919523014820204,
      "display": "+5.9%",
      "unit": "percent",
      "period": "2025-06-28",
      "detail": null,
      "source": {
        "kind": "jodie_calculation",
        "label": "Calculated from filed company results",
        "form": "10-K",
        "accession": "0001116132-26-000018",
        "filing_date": "2026-08-13"
      }
    }
  ],
  "watch_next": [
    {
      "type": "working_capital",
      "statement": "Inventory shifted from using cash to providing cash, while cash conversion fell sharply as net income grew faster than operating cash flow.",
      "importance": "medium",
      "evidence": "Inventories were a source of cash of $35.4 million in fiscal 2026 compared to a use of cash of $108.2 million in fiscal 2025, primarily driven by increased inventory purchases for Coach in the prior year to support sales growth and the strategic decision to pull forward receipts.",
      "source_date": "2026-08-13"
    },
    {
      "type": "tariffs",
      "statement": "Tapestry included estimated tariff-related cost increases in its Kate Spade impairment assessment.",
      "importance": "medium",
      "evidence": "The assessment concluded that the fair values of the Kate Spade reporting unit and indefinite-lived brand intangible asset did not exceed their respective carrying values due to a reduction in both current and future expected cash flows, which includes an estimated impact of cost increases due to changes in tariff and trade policies.",
      "source_date": "2026-08-13"
    },
    {
      "type": "interest_rates",
      "statement": "Interest expense is sensitive to the 2030 and 2035 Senior Notes and to changes in interest income.",
      "importance": "medium",
      "evidence": "This increase in Interest expense, net was mainly due to an increase in bond interest expense as a result of the issuance of the 2030 and 2035 Senior Notes during fiscal 2025 and lower interest income.",
      "source_date": "2026-08-13"
    }
  ],
  "related_tickers": [
    "TPR"
  ],
  "disclaimer": "Descriptive reporting of filed results. Not investment advice, and contains no forecast or recommendation."
}