Fine accessories & gifts marketer Coach, Inc .announced an increase of 50% in earnings per diluted share on a continuing operations basis to $0.39 for its third fiscal quarter ended March 31, 2007, up from $0.26 per diluted share a year ago on the same basis.
During the quarter, the Company ceased operations of its Corporate Accounts business in order to better control the location and image of the brand where Coach Product is sold. Including the contribution of these discontinued operations, earnings per share rose 42% to $0.40 as compared to $0.28 reported a year ago, ahead of analysts' expectations of $0.38.
In the third quarter, on a continuing operations basis, net sales rose 30% to $625 million from the $480 million generated on the same basis in the prior year. Net income rose 45% to $147 million, compared with $102 million in the prior year.
Total net sales in the quarter, including discontinued operations, were $633 million, 27% higher than the $498 million reported in the same period of the prior year while net income rose 38% to $150 million up from $109 million.