American fashion holding company that owns Coach, Kate Spade, and Stuart Weitzman, Tapestry, Inc has announced new long-term financial targets for FY27-28. The company projects mid-single-digit annual revenue growth, an operating margin of over 22 per cent by FY28, and a low double-digit earnings per share (EPS) growth over the period.

Tapestry expects to generate $4 billion in adjusted free cash flow between FY26 and FY28. The company has also reaffirmed its previously issued FY26 outlook, which remains unchanged.

Tapestry has set specific targets for its individual brands. The company expects Coach to achieve a three-year mid-single-digit revenue compound annual growth rate (CAGR) and expand its margins to the mid-30 per cent range. The brand has also set an ambitious goal to reach $10 billion in revenue.

The brand Kate Spade is forecast to return to profitable growth in FY27, with revenue growth accelerating to a mid-single-digit and a high single-digit margin in FY28.

In addition to its brand-specific goals, Tapestry plans to return $4 billion to shareholders by FY28, which represents 100 per cent of its adjusted free cash flow over the period. The company will maintain an annual dividend of $1.60 per share in FY26 and aims to repurchase approximately $3 billion in stock under a new buyback program.