There. Is that better? Okay. Okay, I think we're going to get started. I know there'll be people trickling in, let's kick it off. Good morning, everyone. My name's Aneesha Sherman. I cover soft lines and specialty retail here at Bernstein, and I'm excited to be here for our Retail Forum in New York, hosting John Idol, CEO of Capri, and Tyler Reddien, CFO. John and Tyler, thanks for joining us here today. For those of you here live or watching the, or listening to the webcast, if you'd like to take a closer look at Capri after today's conversation, please don't hesitate to reach out to me.
Let's get started. We have a lot to get through. Maybe, John, we can start at a high level talking about the company overall. Following the sale of Versace last year, Capri is now a more focused company with two global luxury brands, Michael Kors and Jimmy Choo, and you're now guiding for a return to growth this fiscal year. Maybe we start with, at a high level, how do you think about the long-term growth opportunity across these two brands?
First off, thank you for having us here today. We're thrilled to be here to talk about Capri and our future. First, we are very fortunate to have two brands with a long history. Michael Kors, 45 years old, and Jimmy Choo, 30 years old. Brands go through cycles. They go up and down at various points in time. When we really looked at our portfolio, we thought that we had an incredible opportunity to focus on Michael Kors, and that's when we made the decision to sell Versace.
Really what it did for us was to give the company an opportunity to have a very, very strong balance sheet. We ended the year with a little over $200 million in debt, and it gives us the real energy to be able to put forth capital around the growth of Michael Kors in particular again, and of course, Jimmy Choo has a great growth opportunity as well. We see Michael Kors returning to growth this year as well as Jimmy Choo, which has been growing already.
That's really exciting for us because we believe that Michael Kors can return to approximately $4 billion from its estimated $2.93 billion this year, and for Jimmy Choo to grow to $800 million from its approximate $600 million as well. We've got the, I think, the strategic initiatives in place, and we have a very, very strong balance sheet to be able to put forth all the initiatives that we have on the table for ourselves.
In your fiscal 2025, you announced strategic initiatives around Michael Kors to reposition the brand and grow the brand. Can you take us back to what drove the decision to reposition Michael Kors and give us an update on where you are on those strategic initiatives?
Sure. As I said before, brands go through cycles at times. We really looked at, in the fall of fiscal year 2024 or fall of calendar year 2024, and thought that it was time to really look at the brand through a more modern lens. Also look at it through the lens of trying to attract a younger consumer, obviously Gen Z and certain parts of the millennial cohort as well. In doing that, we kind of uncovered some very interesting information. First off, Jet Set, which we think is a mindset, was very relevant to a younger consumer, and it was also something that was very associated with the company.
All the research we did, people kept coming back to talking about Jet Set to us. The way we were looking at it previously wasn't quite as modern as the opportunity that we saw in front of us. Today, travel is something that everyone enjoys. It's something everyone dreams of, and that might be going to Saint-Tropez, which was what our current campaign is. It also might mean going to visit your parents in a certain part of the United States or Europe or Japan. When you go there, you want to look a little better. You want to be the best person in the room. We call it traveling the world in style, and we also have what we call standout style.
When you put something on from Michael Kors, we want you to feel just a little bit better or maybe somebody who everyone in the room is looking at and going, "Wow, where did you get that from?" That really started the first part of our journey. Secondly, we decided to tell this story through what we call hotel stories. In spring of 2025, we were in Ibiza. In fall of 2025, we were in Rome, and this spring, we were in Saint-Tropez. The Saint-Tropez campaign has been just absolutely extraordinary, and it's quite funny because Jimmy Choo was also in Saint-Tropez this summer, so brothers and sisters evidently traveled together, which was exciting.
That then further took us to looking at how do we communicate that storytelling. We've been really leaning into social media around that, which has given the brand a different relevance than where we were before because we were probably not as focused on using those communication channels to drive brand interest. The next thing we did is we looked at our product, and we were not as trend-focused as we needed to be.
We decided to really focus in our full-price channel on three icons, first being our Nolita group, second being our Hamilton, and third being our Leila. That is now representing about 50%-60% of our full-price sales. We have a lot fewer SKUs. We're able to tell our stories in a much more narrow and focused way. What we're finding is by doing that, we're really attracting a much different customer, a younger customer.
The next thing we did is we looked at our pricing architecture, and our sell-throughs had gone down, our markdowns had gone up, and we saw it was a result of our raising prices coming out of COVID, some 20%-25%. We went back, and we got closer to our traditional, historical pricing for the brand. What's happened subsequently from that, and this is in our full price channel, both our own stores and wholesale, is that we've seen our full price sell-throughs go up dramatically, and our AURs are going up because we're taking less markdowns.
The customer is finding what they want. In that, we also started to introduce a lot more accessories at under $200, which was something that, in particular, the Gen Z consumer wanted. They wanted fashion, they wanted style, but they wanted it at a value that represents something that was closer to what met their income levels. We're seeing this attraction to a newer, younger customer. We're seeing this better fashion. We're seeing better sell-throughs. That's really helped us in terms of our focus on the brand.
The last thing that we are doing is we're renovating our stores. If any of you are here only for the short time to be at the Bernstein conference, take a few minutes out and walk over to Rockefeller Center, and you'll see our newly renovated Michael Kors store, which the store is doing phenomenal since we renovated it. It's up almost 30% in sales. That just shows you when you bring together the right product at the right pricing, and with the right in-store experience, that you can have a very strong customer reception. The good news is that we're starting to see that take hold.
Okay, that's a lot of change in the last two years, and I want to dig a little bit more into the AUR strategy. First, maybe thinking about, it's been almost two years now, what inning of the repositioning would you say you're in? Are you happy with where you're at, or is there more to go?
Yeah. You're right. We're actually a little over 18 months into the repositioning of the brand. We started it in February 2025. I'd say we're still in the very early innings. The good news is, again, in our full price channel, as we reported last quarter, we comp positive. What we're seeing is also in our wholesale channel, which had really lagged behind our full price stores. We saw an incredible lift the last quarter, and we're seeing that same thing happen again this quarter. We're really pleased that the consumer is leaning into these icons that I talked about, and also the new fashion introductions that we're having around that.
We're excited about what we see happening there. As I've said over the past year and a half, where we're actually struggling is in our outlet business, and we have not had the new innovation in product in that channel. We dropped a little bit of it in the spring season, and we've seen better sell-throughs on that product and higher AURs in the channel. We're doing something else there simultaneously. We are really reducing our promotional activity, and I'll talk about that in a minute. The new product for outlet starts arriving in its much broader sense in August. We will have icons in the outlet stores, three new groups, and one of them has actually already landed, called Sammy.
You can see it on our website. The sell-throughs on it are excellent. It's fast becoming the best-selling group inside the stores. We're encouraged. We've seen the formula working in our full price channel. We think we can apply the similar learnings to our outlet channel. Along with that, though, in full price, we've really stepped back our sale activity, and I mentioned recently that we're going to do one more step back in the sale activity in full price, that we'll do in this period that we're in now.
Then we'll be through that. In our outlet business, we have to anniversary through, let's say, October, November. We walked away from about $150 million in quality of sales initiatives. That's everything from reducing promotional activity to reducing third-party sales. We think that's the right thing to do for the long-term health of the brand. We're feeling good about where we are and where we're positioned to go forward, but we're still in, I would say, the early innings.
Okay, tying that then to your financial guidance for this year, you're guiding to get into growth in the back half of this fiscal year, sort of fall and into the spring. What gives you confidence that you'll return to growth? Maybe you partially answered that question already, what's giving you confidence in that inflection in the back half?
Yeah. A couple of things. Number one, the biggest headwind we will have in the back half of the year is the quality of sales initiatives. When we look at that headwind will diminish dramatically, because we will have anniversaried that in October, November. We feel that portion of what's held the comps back, in particular in our outlet channel, will be behind us. Secondly, I think we will have 75% of new product flowed into both full price and outlet. I've said in our previous earnings calls that one of the biggest areas of pressure for the company is actually not accessories, it's footwear.
We've had some challenges in that area around our product being on trend. We flowed new product into our full price channel, it's doing very, very well right now. That product will flow in sort of in the back half of the year, November, December in the outlet channel. As we flow the bags in August through October, November, December, the footwear starts to arrive. We feel like there's a lot of strong momentum that will be put behind that.
The second thing that's starting to happen is our marketing initiatives. We've taken our marketing spend up in Michael Kors. It's close to 9% now of revenues. That's up almost 200 basis points from the year before. We're also leaning heavily into the social media channels, which are really resonating for us. We have over 400 influencers today that are working on Michael Kors. By the way, we will also see that in Jimmy Choo, where we're really ramping up our social media activities and influencers as well.
We feel like Michael Kors is going to be in a very good place. Jimmy Choo's already returned to growth, we're seeing that happen. The business is really, as we were talking outside earlier, experiencing very strong growth. I think for Capri, we're very encouraged about what is going to happen in the back half of the year for the company.
I want to dig into the drivers of growth, maybe just focused on Michael Kors, but I guess relevant for Jimmy Choo as well. Starting with AUR. You talked about the AUR a few minutes ago. Across the luxury industry, we've seen that particularly the European luxury brands took price up too far in the last five years or so and are now seeing the consequences of that. It sounds like Michael Kors went through a similar journey, taking price up too far. You're now correcting that downward. Can you talk about where you are right now? Do you think you're offering the right price-value equation to the consumer now, and do you see AUR as a continued driver for growth going forward?
I'll start with Jimmy Choo. Jimmy Choo, we did a similar exercise spring of 2025. We really looked at our pricing architecture. The first place I'll start with is accessories, which we're seeing double-digit growth in our accessories business. It's really the hottest part of Jimmy Choo right now is coming from the initiatives that we have going there. What's interesting in Jimmy Choo is we're selling $5,000 Bon Bon bags. Limited edition bags we make, we bring them in, they just fly out of the store. We have a group called Cinch, which is retailing between $2,000-$2,500, which is absolutely on fire for the company right now.
Then we've introduced two new groups, one called Bar and one called Curve, and those are both under $1,500. We feel that the luxury industry has moved too far too fast, and they're continuing to take price increases. We think the consumers are definitely choiceful today. It doesn't matter whether you're super high luxury or whether you're in more accessible luxury. People are thinking and they're just looking very closely. By us having this broader strategic architecture at Jimmy Choo, it's really been incredibly helpful. Again, we were talking earlier, the brand is loved.
People love Jimmy Choo, and any person that I come up to and talk to them about the brand, they're like, "Oh, I love my Jimmy Choo." We're already in the luxury consumer's closet. For us to be able to now have this interaction with a consumer in the store who's there already to be able to sell them something that's fun and exciting and fashion is really working for us. Then on the footwear side, we did extend the ranging of prices, and we've got in particular our casual footwear, whether that's sneakers.
We introduced a whole new jelly program today or recently, really leaned into a lot of loafers, et c. Things that you wouldn't have normally thought of Jimmy Choo for, but it's accounting for 20+% of our business, and we think we can grow that. That's giving us an ability to talk to a younger customer. We've got a very fast rate of growth in the Gen Z category with Jimmy Choo, which is quite exciting and compelling.
Michael Kors, as I said earlier, we looked at our pricing architecture. We've brought that back to what was more historical for us. Also looking at what Gen Z and certain millennial cohorts want in terms of opening prices. We've got pretty much that's all covered in our full price range. We did the opposite in outlet. We raised prices in outlet. We thought we were really undervaluing the brand, it's interesting, that has not stopped our conversion at all in the outlet stores.
When I go around and talk to sales associates, they are saying, "We're not seeing any customer resistance to that." Along with reducing promotional activity. Doing those two things has taken our AUR, our AUVs up. I think we're in a very good place. We did take a price increase in spring to help offset some of the tariff impacts, it's really not had any substantial impact on the business.
The other side of this, maybe this one's for you, Tyler, on unit growth. Unit growth across the luxury space has been hard to come by. The last couple of years, it's been flat to slightly down, depending on the region. We've seen some accessible luxury competitors starting to get back into unit growth this past year. Do you think unit growth is a part of the equation going forward?
Yeah, it absolutely is. I think as we look at our overall positioning, we think there's a huge opportunity for us in terms of unit growth in the medium to long term. As John mentioned, we're actively going through a quality of sales initiative in fiscal 2027, we do expect units to decline this year. We are confident as we're introducing new products that are resonating with customers, that we will return to unit growth in fiscal 2028 and beyond. We definitely do see continued opportunity, and we think that units are going to be a contributor to our overall profitability going forward.
Okay, one more for you, Tyler, around margin. You've talked about Michael Kors getting to a low 20s operating margin in the future. Can you talk through the components of that margin upside and how maybe the P&L will look different going forward than what it did five to seven years ago when you were hitting those kinds of margins?
Yeah, sure. I think gross margin expansion really continues to be our largest opportunity. We expect, as we continue to introduce new products, we see higher full price sell-throughs and higher AURs. We are going to continue to see gross margin expansion into the future. We also have opportunities on the cost side of gross margin, where we're going to be looking for product efficiencies with our production, but also through product engineering to find ways to ensure that we're maximizing gross margin through our product portfolio.
Beyond that, though, when we get to SG&A, we do expect that we're going to continue to see an improvement in our overall SG&A percentage as a percentage of sales, primarily through increased productivity as we see increased productivity of our stores, but also optimizing our overall SG&A portfolio. We're going to be looking at driving our improved cost structure, which will help us overall in terms of delivering higher margins. Generally, we do see a continued opportunity for margin expansion. We see a long-term trajectory of a significantly improved operating margin going forward.
Let's talk about Jimmy Choo. John, you talked about the momentum at Jimmy Choo and how it is a well-loved brand, and how it's gaining a lot of traction now, especially amongst younger consumers. What do you think is driving that momentum?
A few things. Number one, we also simultaneously, when we were looking at modernizing the image and communication at Jimmy Choo, people always thought of Jimmy Choo as being a red carpet brand, a wedding brand, and maybe a brand that you wore pumps to work or something, special occasion. We really took a conscious initiative, first off, by saying, "Who is she?" In our mind, she's effortlessly alluring, but she does that with joy. She's always having fun, but she does it in a way that when she walks in the room, you're like, "Who is that? I want to be like her."
That really has resonated with our customers. If you look at the way our marketing campaigns are, three years ago, we would have never shot Jimmy Choo, a person in one of our campaigns, in denim. Today, if you look at one of the hottest shoes we have in our assortments, they're kitten heels and block heels, where you might have thought that was your grandmother's shoe four or five years ago. Today, that's fashion.
For some reason, we weren't in the zeitgeist of the consumer for that. I think our marketing efforts, our teams, have done an amazing job really communicating that, number one. Number two is I think that when we looked at some of our pricing architecture, again, in footwear, the luxury companies have really taken prices up dramatically. It's not that we haven't, but I think we represent a slightly different value proposition. Anything from a $795 pump all the way up to a $5,000 special shoe that we might make, something that's limited edition.
I think people come into Jimmy Choo, and I think they feel comfortable shopping with us on that front. The other thing we've done is we've started to renovate, we've been doing it for the last few years, but our new store, for example, on Madison Avenue, where we renovated it, we gave it a whole new look. The store went from $2.5 million to almost $6 million in about 18 months in terms of trend.
We're really seeing the whole experience, very similar to Michael Kors, start to change when the customer comes in to see Jimmy Choo, and we're going to continue to stay with that momentum. Also, our connection with VICs, there's a lot of Clienteling work that we do at Jimmy Choo, and as you know, we compete like the other luxury brands for those high-net-worth consumers. Our sales teams around the globe are excellent at really working with high-net-worth customers. We've seen a lot of growth out of that activity as well.
You mentioned some of the new trends. We were talking outside. I'm anecdotally hearing so much more traction of the wedding sneakers, which if you haven't checked that out, that is a thing now, wearing sneakers to your wedding. They're bedazzled white sneakers. You can look cute and dance, and they're not mutually exclusive. It is changing, and I cover many of the sportswear brands where we are seeing some of that casualization creep into occasions like weddings, which I think you're taking advantage of with Jimmy Choo.
That's right. We have a very strong connection with young consumers who come to us for their wedding because we still are very proud to be your wedding shoe.
It's just a different kind of shoe.
Exactly. Our CEO, Hannah Colman, and I both noticed when we went to weddings, we saw certain girls or women getting married in either sneakers or something that wasn't quite a heel. We came up with that. The last thing we just did is we noticed people going to weddings and taking their shoes off and dancing either with some kind of a, another brand, I won't mention it, not expensive shoe, and we said, "Why can't we do that?"
We introduced our jellies, which retail for $495. Of course, they're Jimmy Choo, and if you're getting married, why wouldn't you hand those out to your friends as well? Because you're good friends. Get something that is casual to have fun in. Our jelly ballets are flying right now out of the stores. We're really happy about being able to offer things to people that are not the same as what you would have thought Jimmy Choo for in the past.
Jimmy Choo is now back into top-line growth. Tyler, can you talk about margins on Jimmy Choo? You're targeting low double digits margin. Similar question to Michael Kors, what are the drivers to get Jimmy Choo to that point?
Yeah, happy to. As we've said, we do expect Jimmy Choo to return to profitability in fiscal 2027. There is significant opportunity to continue to expand margin going forward. As top line continues to grow, that obviously is going to be a significant driver of improved margin in terms of driving productivity in stores, but also just in terms of SG&A leverage. That's going to be key number one. There is continued opportunity to expand gross margin within Jimmy Choo.
We actually do a significant amount of our own production. 50% of our production for Jimmy Choo is in-house. We have opportunities to improve and optimize the efficiency of our factories. We're going to be continuing to work through that. In terms of SG&A, we do see opportunity for us as well to find opportunities for synergies across the Capri platform more broadly. We are going to be looking at improving the overall SG&A percentage of Jimmy Choo as well, which ultimately will help to drive significantly improved margins from where we sit today.
It sounds like you're very optimistic about the consumer traction you're getting on both brands. We're in a pretty uncertain consumer environment, especially for discretionary spending. I'm curious, John, what are your thoughts on just the health of the consumer, of your consumer in the key geographies that you're in?
I would start out by saying that the consumer, as I said earlier, is choiceful, whether they're at the very top echelon of luxury or whether they're at a different income level that's lower than that, everyone's just being a little bit more thoughtful in their purchases. They're still purchasing, they're still buying. They're just making sure that obviously something is exciting first from a design standpoint, that it has quality, and value does come into the proposition. Value could be anything. I've heard young Gen Zs say, "I look at cost per wear." That comes into a mindset.
I look at very high-end luxury customers who are buying our $5,000 Bon Bon bags at Jimmy Choo saying, "I want that because it's exclusive, it's one of a kind, and I know when I go to the party, someone else is not going to have it on." Value comes in a lot of different ranges. I'd say the North American customer feels still relatively healthy. I think that there's obviously concerns around rising costs on everything from fuel to groceries to rent, that impacts lots of people on lots of different levels. At the same point in time, I think salaries are still growing and people feel good about the ability to get jobs and work. I think we're still very optimistic about the North American economy.
Europe, I would say up until the last two, three months, had been relatively steady. Now with the war, there's definitely an issue around tourism. In particular, the Middle East tourists are not traveling to Europe. We have a substantial business in both Jimmy Choo and at Michael Kors with Middle East tourists. We're feeling the impact of that in Europe, we're clearly seeing people hesitating on shopping in the Middle East area. I think we're, I would say, cautious on what the status in Europe is, obviously there's a lot of geopolitical rumblings that are happening there too.
You have the change in government in the U.K., et c. I would say in the last 90 days, we've become a little bit more cautious about where Europe is going. I think we're optimistic about China. We definitely see the consumer starting to improve. I don't think that the economy's going to be rip-roaring, I think that you see consumers who are coming out, and interestingly enough, there is a trend there slightly against super high luxury, and brands that are a bit more in the affordable luxury category are seeing growth. I think we feel good about that in the marketplace.
Japan has been pretty solid all the way through and continues to be that. I think we look at where we're positioned with both Jimmy Choo and Michael Kors, and I think we're in a pretty good place to take market share, also to grow. As you know, there are certain fashion brands that are in the accessible luxury world that are seeing some pretty significant growth right now. I'm hoping that the work that we've done over the past 18 months and in the future have really sort of set us up to start to see the fruits of that labor come through.
A lot of interesting color there that I want to follow up on around the cost per wear and the value equation, the way consumers are being choiceful and making different choices, and maybe a mix shift from higher luxury towards more accessible luxury that you're starting to see. Luxury as a sector has not done great the last couple of years. Growth has slowed down meaningfully. I'm curious about whether you think there is some structural behavioral shift happening here, especially amongst younger consumers, or whether you think it's more cyclical.
The last two years, the luxury industry has had a decline. I think it's low single digit. Historically, the industry grows at mid-single-digit growth. I think that will return. I think that people, as we've pointed out, might have gotten a little bit of price fatigue from some of the higher luxury segments. That being said, inside of that, when you look at if there's a company that has a great product offering, has a really compelling and exciting brand story, and is really leaning into the marketing, where you're talking to your consumer in a way that they understand who the cohort is, as opposed to you just talking down to them, but you're a part of their cohort, and obviously that's done with social media and influencers and events and the way that our sales associates talk to you.
I think there's clearly winners out there. While I think the market will probably take a little bit of time to return to growth in totality, I think inside of there's still opportunity for winners and, I think we're poised to be one of those, and as I said before, take market share. We've done it before in the past, and I think we have the opportunity to go forward and do it again.
Tyler, this is a very cash-generative business. It always has been, and even more so now as you're going to come back into growth. Tell us a little bit about your capital allocation priorities over the next couple of years.
It is a great question, and I agree with you, it is a very cash-generative business. It's a nice problem to have. What I would say is, our primary focus right now, we're in an incredible position in terms of extremely low leverage. We have a very, very strong balance sheet. Our focus now in terms of our overall cash generation is really to invest in the business, to continue to drive towards long-term sustainable growth and profitability.
We've talked about we're investing in our store portfolio to enhance the overall store experience, and we're going to continue to invest in the business. Our second priority really is to return value to shareholders, and we've announced our $1 billion share repurchase program, of which we are doing a significant portion this fiscal year. That really is our primary focus. Overall, we expect in the long term to maintain a significantly low leverage and a very strong balance sheet because we're well-positioned to do so.
I'd like to add on to that we're going to spend $300 million, the majority of that money, is to renovate the Michael Kors fleet. We've been renovating the Jimmy Choo fleet over the last few years. As I mentioned before, you take a store like Rockefeller Center, and you look at the results from that. We've got a few other ones that are similar type of results.
I think there's going to be a real momentum driven once we can get enough stores in flight that are going to be renovated to also propel revenues for Michael Kors. That will be the primary spend for us on capital. Then secondly, as Tyler pointed out, our share repurchase program, as well as additional investments in IT, et c, in the company. We're well-positioned through our cash flow, through our balance sheet, to be able to do these things, and still maintain a very low leverage ratio.
Okay. What if we see a continued pressure on the consumer? We talked about some of the downside we're seeing in Europe, especially. Tyler, how do you think about if we continue to see a slowdown globally in the consumer, can you talk about what levers you have to manage the P&L and preserve the level of earnings and cash flow?
Yeah, I think, obviously, as we're focused around continuing to invest in the business to drive the turnaround and really the growth of the Michael Kors brand. The consumer is still uncertain, and there are a number of things that are uncertain in the future. I think as we're looking forward, we're going to continue to ensure that we're driving the right product portfolio, to make sure that we're resonating with customers.
To the extent that we do see any challenges, we do have levers at our disposal to improve our SG&A percentage to really ensure that we're driving reduced cost. As you've seen over the past few years, we have improved our overall SG&A, and we can expect to continue to do so. We do have levers at our disposal to reduce cost, to really manage our overall business and ensure we're continuing in terms of profitability.
Okay, as we wrap up the last couple of minutes here, maybe, John, is there any key messages you want to leave the audience with as they think about where Capri is headed in the next year or two?
Sure. Well, I'd start out by saying Michael Kors is a brand that has a 45-year history, so we've been around for a long time, and I think we're going to be around for a long time in the future. We have obviously seen revenues that were under pressure over the last six years or so. I think we're at the beginning of an inflection that will, again, continue to take some time. As I said, we're in the early innings of that turnaround. I think we feel good about it, and as I said, if any of you are here, pop over to see our Rockefeller Center store, I think you'll get it pretty quickly.
I can only give you some anecdotal When I take people into the stores or I hear from customers, they say, "Wow, I didn't realize that was Michael Kors." We're at that point, which is a good point to be at, where we say they're surprised and delighted. I think we're thrilled that we're seeing that kind of reaction from people. As it relates to Jimmy Choo, this is a beloved brand, and I think we've got the opportunity to very much take this brand to $800 million in revenues, and I think $100 million of that's going to come from accessories, and we're on the way to doing that.
I think we know that this is a powerful brand, 30-year history. We've got stores in all the best luxury locations around the world. Again, if we keep our head down and stay focused and continue to deliver incredibly exciting product, leveraged off of our luxury heritage and craftsmanship and quality, but based around our style and joy, I think we have an opportunity to maybe even take that brand to a number that's greater than what we're even thinking in our head today. Thank you for having us today.
It's an exciting moment in the trajectory of both businesses, sounds like.
Yeah.
Thank you so much for joining us today at the Bernstein Retail Forum. Thank you everybody for listening in, and hope you enjoy the rest of the conference.
Thank you.
Thank you.