Ralph Lauren Profits Rebound as Sales Jump 182 Percent

Ralph Lauren Corp. charged out of the gate in its fiscal first quarter. 

And while the brand continued to move its prices higher — and the company posted big top- and bottom-line gains from the year-ago lockdown — the focus is about moving beyond the COVID-19 reset and toward winning a new day.

Patrice Louvet, president and chief executive officer, said: “Our timeless brand is resonating strongly with consumers around the world, and the breadth of our lifestyle portfolio is enabling us to deliver products that meet evolving consumer tastes and demand as we progressively emerge from the pandemic. Even as we continued to manage through COVID-19-related challenges in select markets and in our global supply chain, we are back on offense and excited about our future growth opportunities.”

The company has followed a methodical plan to boost its prices and did so again in the quarter with average unit retail prices up 17 percent. 

Sales for the first quarter ended June 26 jumped 182 percent to $1.4 billion, with strength in North America and Europe.

The brand’s global e-commerce sales accelerated with better than 80 percent growth globally, with sales in its owned e-commerce channels gaining more than 45 percent. 

Net income tallied $164.7 million for the quarter and compared with losses of $127.7 million a year earlier. Adjusted earnings per share of $2.29 — which exclude restructuring charges — came in well ahead of the 86 cents Wall Street analysts projected. 

Investors liked what they saw and sent shares of Ralph Lauren up 7.6 percent to $127 in pre-market trading.

Executive chairman and chief creative officer Ralph Lauren said: “Quality, a sense of timelessness and a feeling of optimism inspire everything we create. I cannot think of a time when these values have felt more essential or relevant as the world looks forward to a future marked by hope and possibility.”

Ralph Lauren Dominique Maitre/WWD/Shutterstoc



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