• by Sarah Mahoney  @mahoney_sarah, February 21, 2025

Tapestry, Inc. is making big moves on two fronts—unveiling a fresh Coach campaign starring Elle Fanning while cutting ties with the struggling Stuart Weitzman brand. The luxury group announced the $105 million sale of Weitzman to Caleres as part of a strategy to sharpen its focus on core brands like Coach and Kate Spade.

As part of that strategy, Coach is launching “On Your Own Time,” the company’s first campaign with ad agency Mother. The effort builds on the ongoing “Courage to Be Real” brand platform, with a cast that includes Fanning, Nazha, Kki, and Youngji Lee.

Tapestry made the Stuart Weitzman announcement shortly after releasing results for the fiscal second quarter, showing exceptional strength in Coach sales, which rose 11% to $1.7 billion. Kate Spade continues to flounder, with sales dipping 10% to $416 million. And revenue at Stuart Weitzman, once a cult favorite among fashionistas, tumbled 15% to $69.7 million.

The Weitzman deal “ensures that all our brands are positioned for long-term success and that we maintain a sharp focus on our largest value creation opportunities,” said Joanne Crevoiserat, Tapestry’s CEO, in the announcement.

“This means harnessing our position of strength to sustain Coach’s leadership and momentum while reinvigorating Kate Spade to drive durable organic growth and shareholder value.”

Tapestry’s combined revenue rose 5% to $2.2 billion in the quarter. Net income slid 4% to $310.4 million, compared to $322.3 million.

Both top and bottom-line numbers exceeded expectations, sharply contrasting with other luxury companies. The broader global luxury market shrank by 2% in 2024, according to Bain & Co. LVMH, owner of Dior and Louis Vuitton, and Kering, which owns Gucci, were among the decliners.

An even starker comparison is evident contrasting Tapestry with dismal results from Capri Holdings, which Tapestry tried to acquire last year in an $8.5 billion offer. (The Federal Trade Commission blocked the merger in November.)

Capri’s recent quarterly results showed a revenue drop of 11.6% to $1.26 billion and a net loss of $547 million. All its brands suffered: At Michael Kors, sales fell 12.1% to $909 million, Versace’s sales sank 15% to $193 million, and Jimmy Choo's results decreased 4.2% to $159 million.