Millennials lift handbag sales

DEMAND for expensive leather handbags lifted coach and Kate Spade owner Tapestry.

earnings and sales at the company, which also owns high- end shoe brand Stuart Weitzman, topped expectations for the three months to December 30.

Sales soared by 35pc to £1.29bn, compared to analyst predictions of £1.27bn, but profits were took a short- term hit from president Trump’s tax changes, falling to £45.3m from £143.8m.

The strong performance was mostly down to rising sales at coach, which were up 3pc, but down 7pc at Kate Spade. Tapestry bought Kate Spade for £1.73bn last year to attract more millennial customers and plans to turn around the brand in the same way it renewed coach.