Versace-parent Capri Holdings posted a bigger-than-expected drop in quarterly revenue on Thursday, hurt by execution missteps across brands and a global slowdown in luxury goods demand, sending its shares down 5% in extended trading.

Consumers have been cutting back on expensive non-essentials to limit their expenses, hurting demand for high-end brands including Capri, LVMH and Estee Lauder.

Quarterly revenue at Michael Kors across regions, which contributed 68% to total revenue in 2024, declined 16%, compared with an 8.6% drop a year ago.

The company’s net revenue fell 16.4% to $1.08 billion from a year earlier. Analysts were expecting an 8.7% fall to $1.18 billion, according to data compiled by LSEG.