We are uniquely positioned to continue to build the Michael Kors global luxury lifestyle brand, and are pleased that our momentum has continued into the first quarter of fiscal 2013. The Company has proven retail and wholesale formats that are performing throughout the world. Michael Kors unique fashion designs continue to resonate with customers globally and we believe that our Company has tremendous opportunity for future growth.”For the year ended March 31, 2012:
- Total revenue for the year increased 62.1% to $1.3 billion from $803.3 million in fiscal 2011.
- Retail net sales increased 82.1% to $626.9 million driven by 71 new store openings since the end of last year and a 39.2% increase in comparable store sales. Wholesale net sales increased 47.5% to $610.2 million and royalty revenue increased 43.1% to $65.2 million.
- Gross profit for the year increased 68.8% to $753.1 million, and as a percentage of total revenue was 57.8% for the year as compared to 55.5% in fiscal 2011.
- Income from operations for the year increased 81.0% to $247.7 million, or 19.0% as a percentage of total revenue, and included a $10.6 million equity compensation charge associated with equity grants for periods prior to fiscal 2012, $3.2 million in expenses associated with the Company’s IPO in December 2011 and a $10.7 million charge related to the employee share option redemption associated with our private placement. Excluding these charges, income from operations for fiscal 2012 was $272.1 million, or 20.9% as a percentage of total revenue. This compares to operating income of $136.9 million in fiscal 2011, or 17.0% as a percentage of total revenue.
- Net income was $147.4 million, or $0.78 per diluted share based on 189.3 million weighted average diluted shares outstanding. Excluding the aforementioned equity compensation charge, IPO-related expenses and share option charge, net income was $163.1 million, or $0.86 per diluted share. This compares to $72.5 million, or $0.40 per diluted share based on 179.2 million weighted average diluted shares outstanding in fiscal 2011.
- At March 31, 2012, the Company operated 237 retail stores, including concessions, compared to 166 retail stores, including concessions, at the end of the same prior-year period. The Company has 64 additional retail stores, including concessions, operated through licensing partners. There are 301 Michael Kors stores worldwide.