(RNN) Experiencing declining revenue, high-end women's clothing retailer Michael Kors announced it will close 100 to 125 full-price stores globally over the next two years. In its most recent earnings report, the London-based luxury fashion brand disclosed that its fourth-quarter revenue decreased 11.2 percent to $1.06 billion from $1.20 billion in the fourth quarter of fiscal 2016.
For the fiscal year overall, revenue decreased 4.6 percent to $4.49 billion from $4.71 billion in fiscal 2016.
The New York-based company, which went public on the New York Stock Exchange in late 2011, did not disclose which of its stores will be closing. Michael Kors operates more than 900 retail stores as of April 1, including concessions and licensed stores; 341 stores in the Americas alone. The full-priced stores targeted for possible closure excludes outlet locations.
Michael Kors stores are operated in cities like New York, Beverly Hills, Chicago, London, Milan, Paris, Munich, Istanbul, Dubai, Seoul, Tokyo and Hong Kong. They can also be found in cities like Beachwood, OH, Hoover, AL, and Metairie, LA.
"Fiscal 2017 was a challenging year, as we continued to operate in a difficult retail environment with elevated promotional levels," said John D. Idol, the Company’s Chairman and Chief Executive Officer. "In addition, our product and store experience did not sufficiently engage and excite consumers. We acknowledge that we need to take further steps to elevate the level of fashion innovation in our accessories assortments and enhance our store experience in order to deepen consumer desire and demand for our products."
The beginning of 2017 has been a challenging for retailers, with many filing for bankruptcy, closing stores, going out of business altogether or being acquired by other companies.