Capri Holdings reported first-quarter fiscal 2026 earnings of $0.50 a share on revenue of $797 million, comfortably topping analysts’ projections of $0.13 and $793 million, respectively. Although sales were 6 percent lower than a year earlier, the luxury group said demand for its Michael Kors handbags and Jimmy Choo footwear is improving after several quarters of declines. Management credited cost reductions and a more focused product strategy for the upturn and said it expects revenue growth to accelerate in the second quarter. The company is also working to finalize the previously announced sale of the Versace brand by year-end, a transaction it says would leave the balance sheet in a net cash position. Shares rose as much as 10 percent after the results, reflecting renewed investor confidence in the turnaround plan. Capri has also warned that recently imposed U.S. tariffs could add about $60 million to fiscal-year costs, but it plans to offset the hit through sourcing changes and selective price increases.