Tapestry 3Q results top Street, Stuart Weitzman stumbles

Tapestry had a stronger third-quarter than many industry analysts had expected, but a weak showing from its Stuart Weitzman shoe brand dragged shares of the company down sharply before the opening bell.

For the period ended March 31, Tapestry Inc. earned $140.3 million, or 48 cents per share. A year ago the New York company earned $122.2 million, or 43 cents per share.

Earnings, adjusted for costs related to mergers and acquisitions and pretax expenses, came to 54 cents per share. That's better than the 50 cents per share analysts polled by Zacks Investment Research were calling for.

Revenue surged to $1.32 billion from $995.2 million, buoyed partly by the acquisition of Kate Spade and increased sales for Coach products. Analysts polled by Zacks predicted $1.3 billion in revenue.

While revenue at Stuart Weitzman improved during the quarter, the company said that the segment's performance was hurt by production delays and lower sell-through of key carryover styles.

Shares tumbled more than 9 percent before the market opened on Tuesday.

Tapestry now expects full-year earnings to be $2.57 to $2.60 per share, revised from its prior guidance for earnings of $2.52 to $2.60 per share. It still anticipates revenue in a range of $5.8 billion to $5.9 billion. Analysts surveyed by FactSet expect earnings of $2.59 per share on revenue of $5.86 billion.

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Elements of this story were generated by Automated Insights using data from Zacks Investment Research. Access a Zacks stock report on TPR at https://www.zacks.com/ap/TPR