Agenda-setting intelligence, analysis and advice for the global fashion community.
Ralph Lauren Corp exceeded expectations for first-quarter revenue on Tuesday as easing Covid-19 restrictions spurred a rebound in demand for its high-end apparel, sending its shares 10 percent higher in premarket trading.
The luxury goods industry has bounced back this year from pandemic-driven weakness in 2020, as the resumption of social gatherings in China and the United States encourages people to splurge on their wardrobes.
New York-based Ralph Lauren’s net revenue rose nearly threefold to $1.38 billion in the quarter ended June 26 from a year earlier, when Covid-led store closures across the globe hammered its business.
Analysts had expected revenue of $1.22 billion, according to Refinitiv IBES data.
ADVERTISEMENT
Ralph Lauren said it expects fiscal 2022 revenue to rise 25 percent to 30 percent on a 53-week reported basis. It previously forecast a 20 percent to 25 percent increase on a 52-week comparable basis.
By Uday Sampath; Editors: Aditya Soni and Shounak Dasgupta
Learn more:
Ralph Lauren Sold Club Monaco. What’s Next?
The American retailer joins Gap Inc and others in shedding a smaller label to focus on its core. But the road to growth will be bumpy, analysts say.
