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Michael Kors comparable sales fall more than expected

A shopper looking at Michael Kors handbags in Macy's flagship store in New York.
Scott Mlyn | CNBC
A shopper looking at Michael Kors handbags in Macy's flagship store in New York.

Apparel and accessories maker Michael Kors reported a bigger-than-expected drop in quarterly comparable sales, citing disappointing sales in North America and Europe.

The company also warned that weakness in these regions would continue through spring due to lower traffic in shopping malls, currency fluctuation, uncertainty surrounding political changes in European countries and as it cuts back on promotions in North America.

North America and Europe together account for most of Michael Kors' total sales.

Shares of the company, which also forecast fourth-quarter revenue and profit below the average analysts' estimate, were down 7.7 percent at $38.10 in premarket trading on Tuesday.

Comparable sales fell 6.9 percent in the third quarter ended Dec. 31. Analysts had expected a 4.9 percent decline, according to research firm Consensus Metrix.

Net income attributable to the company fell to $271.3 million, or $1.64 per share, from $294.6 million, or $1.59 per share, a year earlier.

Total revenue fell 3.2 percent to $1.35 billion.

Analysts on average had expected earnings of $1.63 per share on revenue of $1.36 billion, according to Thomson Reuters I/B/E/S.

The company forecast current-quarter revenue of $1.04 billion to $1.06 billion, missing estimates of $1.11 billion.