Tapestry (TPR) shares gained in intraday trading Thursday as the fashion designer posted better-than-anticipated results on strong demand in Europe.

The parent of Coach, Kate Spade, and Stuart Weitzman brands reported fiscal 2024 fourth-quarter adjusted earnings per share (EPS) of $0.92, $0.04 more than the average estimate by analysts surveyed by Visible Alpha. While revenue declined 1.8% year-over-year to $1.59 billion, that also beat forecasts.

Sales in Europe soared 26% to $92.3 million, and they were up 11% to $32.4 million in the Middle East. Sales fell 13% in Greater China and 9% in Japan, but were 9% higher in other Asian markets. North America sales slipped 1%. 

By segment, Coach sales were flat at $1.25 billion. They declined 6% for Kate Spade to $290.1 million, and slumped 19% to $50.6 million for Stuart Weitzman.

Chief Executive Officer (CEO) Joanne Crevoiserat explained that the results exceeded expectations, and the company “advanced our strategic agenda in fiscal year 2024, delivering strong financial results against a dynamic backdrop.”

Tapestry ‘Confident in the Merits’ of $8.5B Capri Purchase

In April the Federal Trade Commission (FTC) filed a lawsuit to block Tapestry’s $8.5 billion purchase of rival Capri Holdings Limited, arguing that it would hurt competition. In its release, Tapestry said it is “confident in the merits and pro-competitive, pro-consumer nature of this transaction and looks forward to presenting its strong legal arguments in court,” and hopes to close the deal by the end of this year. 

Shares of Tapestry rose 1.4% to $38.50 as of 10:40 a.m. ET Thursday and are up about 5% in 2024.