Gross margin expanded to 73.7% in the first quarter of fiscal 2027. Adjusted operating margin widened to 18.7%, reflecting improved operational efficiency. Margin gains were driven by higher full-price selling, stronger average unit retail prices, disciplined inventory management, and favorable demand for elevated products despite tariff pressures.
Key facts
Growth was driven by Asia, higher average unit retail prices, and strong full-price demand, leading to margin expansion despite tariff pressures source
Gross margin expanded to 73.7% in the quarter source