Tapestry Inc (TPR)
Pretax margin
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 216,100 | 1,010,900 | 941,300 | 999,100 | 1,011,900 | 1,077,900 | 1,131,600 | 1,145,400 | 1,143,100 | 1,104,800 | 1,033,300 | 1,006,500 | 1,047,000 | 1,060,700 | 1,004,400 | 988,600 | 897,300 | 354,300 | -446,100 | -465,400 |
| Revenue (ttm) | US$ in thousands | 7,010,700 | 6,878,600 | 6,776,400 | 6,665,500 | 6,671,200 | 6,699,600 | 6,726,700 | 6,667,600 | 6,660,900 | 6,666,300 | 6,594,300 | 6,710,100 | 6,684,500 | 6,675,000 | 6,510,800 | 6,055,000 | 5,746,300 | 4,845,700 | 4,645,100 | 4,775,700 |
| Pretax margin | 3.08% | 14.70% | 13.89% | 14.99% | 15.17% | 16.09% | 16.82% | 17.18% | 17.16% | 16.57% | 15.67% | 15.00% | 15.66% | 15.89% | 15.43% | 16.33% | 15.62% | 7.31% | -9.60% | -9.75% |
June 30, 2025 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $216,100K ÷ $7,010,700K
= 3.08%
The pretax margin of Tapestry Inc. has experienced notable fluctuations over the observed period, reflecting varying profitability levels across different quarters. In the fiscal year ending September 30, 2020, the company reported a negative pretax margin of -9.75%, indicative of losses or significant expenses exceeding revenues during that period. This negative margin persisted into the quarter ending December 31, 2020, at -9.60%.
Starting from the quarter ended March 31, 2021, a marked turnaround occurred, with the pretax margin turning positive at 7.31%. This shift signals an improvement in profitability, which continued into subsequent quarters, reaching 15.62% for the quarter ending June 30, 2021. The positive trend persisted through 2021 and 2022, with margins generally remaining within the 15% to 16.5% range, peaking at 16.57% in the quarter ending March 31, 2023.
Throughout 2023, the pretax margin remained relatively stable, slightly decreasing to 16.09% by March 31, 2024. However, a gradual decline is observed afterward, with margins decreasing to 15.17% by June 30, 2024, and further to 14.99% in the quarter ending September 30, 2024. The downward trend continued into December 2024, where the margin declined to 13.89%.
In the most recent reporting periods, the margins exhibit substantial variability: a slight recovery to 14.70% in March 2025 is noted, but subsequently, a significant decline occurs, with the margin dropping sharply to 3.08% for June 30, 2025. This substantial reduction indicates a compression of pre-tax profitability, potentially driven by increased expenses, market challenges, or other operational factors affecting the company’s fiscal health.
Overall, Tapestry Inc. demonstrated a recovery from losses in 2020 to consistent and stable profitability margins around 15%, followed by a recent sharp decline, illustrating a dynamic financial performance over the analyzed period.
Peer comparison
Jun 30, 2025