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v3.21.1

Segment Information (Tables) | 9 Months Ended
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Mar. 27, 2021
Segment Reporting [Abstract] |
Summary of Segment Performance | The following table summarizes segment performance for the three and nine months ended March 27, 2021 and March 28, 2020:
| Coach |  | Kate Spade |  | Stuart Weitzman |  | Corporate(1) |  |  |  | Total
| (millions)
Three Months Ended March 27, 2021 |  |  |  |  |  |  |  |  |  |  |
Net sales | $ | 963.5 |  |  | $ | 252.4 |  |  | $ | 57.4 |  |  | $ | — |  |  |  |  | $ | 1,273.3 |
Gross profit | 718.0 |  |  | 160.2 |  |  | 33.7 |  |  | — |  |  |  |  | 911.9 |
Operating income (loss) | 251.4 |  |  | (8.7) |  |  | (17.5) |  |  | (108.5) |  |  |  |  | 116.7 |
Income (loss) before provision for income taxes | 251.4 |  |  | (8.7) |  |  | (17.5) |  |  | (129.8) |  |  |  |  | 95.4 |
Depreciation and amortization expense(3) | 32.1 |  |  | 14.1 |  |  | 5.4 |  |  | 14.9 |  |  |  |  | 66.5 |
Additions to long-lived assets(4) | 5.4 |  |  | 0.8 |  |  | 0.9 |  |  | 12.1 |  |  |  |  | 19.2 |
Three Months Ended March 28, 2020 |  |  |  |  |  |  |  |  |  |  |
Net sales | $ | 772.5 |  |  | $ | 249.5 |  |  | $ | 50.7 |  |  | $ | — |  |  |  |  | $ | 1,072.7 |
Gross profit(2) | 475.7 |  |  | 122.5 |  |  | 18.0 |  |  | — |  |  |  |  | 616.2 |
Operating income (loss) | 38.1 |  |  | (91.3) |  |  | (530.7) |  |  | (101.6) |  |  |  |  | (685.5) |
Income (loss) before provision for income taxes | 38.1 |  |  | (91.3) |  |  | (530.7) |  |  | (121.1) |  |  |  |  | (705.0) |
Depreciation and amortization expense(3) | 42.0 |  |  | 42.1 |  |  | 487.5 |  |  | 13.6 |  |  |  |  | 585.2 |
Additions to long-lived assets(4) | 21.5 |  |  | 19.2 |  |  | 3.0 |  |  | 7.0 |  |  |  |  | 50.7 |
Nine Months Ended March 27, 2021 |  |  |  |  |  |  |  |  |  |  |
Net sales | $ | 3,064.2 |  |  | $ | 868.4 |  |  | $ | 198.3 |  |  | $ | — |  |  |  |  | $ | 4,130.9 |
Gross profit | 2,251.0 |  |  | 547.4 |  |  | 117.4 |  |  | — |  |  |  |  | 2,915.8 |
Operating income (loss) | 933.4 |  |  | 73.3 |  |  | (5.6) |  |  | (292.8) |  |  |  |  | 708.3 |
Income (loss) before provision for income taxes | 933.4 |  |  | 73.3 |  |  | (5.6) |  |  | (346.0) |  |  |  |  | 655.1 |
Depreciation and amortization expense(3) | 80.4 |  |  | 35.8 |  |  | 10.8 |  |  | 42.2 |  |  |  |  | 169.2 |
Additions to long-lived assets(4) | 25.1 |  |  | 9.4 |  |  | 2.2 |  |  | 32.2 |  |  |  |  | 68.9 |
Nine Months Ended March 28, 2020 |  |  |  |  |  |  |  |  |  |  |
Net sales | $ | 3,008.3 |  |  | $ | 985.4 |  |  | $ | 252.9 |  |  | $ | — |  |  |  |  | $ | 4,246.6 |
Gross profit(2) | 2,030.6 |  |  | 576.4 |  |  | 133.4 |  |  | — |  |  |  |  | 2,740.4 |
Operating income (loss) | 620.4 |  |  | (30.6) |  |  | (540.4) |  |  | (320.2) |  |  |  |  | (270.8) |
Income (loss) before provision for income taxes | 620.4 |  |  | (30.6) |  |  | (540.4) |  |  | (372.8) |  |  |  |  | (323.4) |
Depreciation and amortization expense(3) | 121.1 |  |  | 84.1 |  |  | 505.2 |  |  | 39.8 |  |  |  |  | 750.2 |
Additions to long-lived assets(4) | 66.2 |  |  | 54.5 |  |  | 13.3 |  |  | 38.9 |  |  |  |  | 172.9 |
(1) Corporate, which is not a reportable segment, represents certain costs that are not directly attributable to a brand. These costs primarily include administration and certain information systems expense. (2) Gross profit reflects charges recorded within Cost of sales of $61.9 million within the Coach segment, $32.3 million within the Kate Spade segment and $9.8 million within the Stuart Weitzman segment for the three and nine months ended March 28, 2020 as a result of establishing inventory reserves directly related to the expected impact of Covid-19 on the Company's future sales projections. The non-cash portion of these charges are presented within Impairment charges on the Condensed Consolidated Statement of Cash Flows. (3) Depreciation and amortization expense includes $1.7 million and $2.0 million of Acceleration Program costs for the three and nine months ended March 27, 2021 and $0.0 million and $0.2 million of integration costs recorded within the Kate Spade segment for the three and nine months ended March 28, 2020, respectively. Depreciation and amortization expense includes impairment charges of $11.9 million for Coach, $21.0 million for Kate Spade and $482.4 million for Stuart Weitzman for the three months ended March 28, 2020, as a result of impairment of Stuart Weitzman intangible assets as well as store impairments due to the Covid-19 pandemic. Depreciation and amortization expense includes impairment charges of $31.4 million for Coach, $33.0 million for Kate Spade and $490.7 million for Stuart Weitzman for the nine months ended March 28, 2020. Refer to Note 7, "Goodwill and Other Intangible Assets" and Note 13, "Fair Value Measurements," for further information. Depreciation and amortization expense for the segments includes an allocation of expense related to assets which support multiple segments.(4) Additions to long-lived assets for the reportable segments primarily includes store assets as well as assets that support a specific brand. Corporate additions include all other assets which include a combination of Corporate assets, as well as assets that may support all segments. As such, depreciation expense for these assets may be subsequently allocated to a reportable segment.

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- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8813-108599 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8906-108599 + Details
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