Ralph Lauren cashes in on luxury boom with record sales, shares jump
Investing.com -- Luxury fashion giant Ralph Lauren delivered stronger-than-expected fourth-quarter earnings, driven by robust consumer demand across Asia and Europe, higher full-price sales, and continued digital growth, sending shares up nearly 10% in premarket trading.
The company saw strong growth in Asia, where revenue surged 31%, supported by booming store traffic and digital commerce. Europe also posted solid gains, with revenue climbing 18%. North America remained stable, though margin pressure persisted in the region. Comparable global store sales increased across both physical retail and e-commerce channels.
For the fourth quarter ended March 28, 2026, Ralph Lauren reported revenue of $2.0 billion, up 17% year-over-year on a reported basis, while adjusted earnings per share rose to $2.80, comfortably ahead of Wall Street expectations.
"Our teams around the world executed with excellence and agility to deliver a strong first year of our Next Great Chapter: Drive strategic plan," said Patrice Louvet, President and Chief Executive Officer. "While navigating a highly dynamic global operating environment, we exceeded our financial commitments in Fiscal 2026 with revenues surpassing $8 billion for the first time on healthy quality of sales”.
The company expects constant currency revenues to increase approximately mid-single digits to last year on a 52-week comparable basis, centered around 4% to 5%. For the first quarter, the company expects revenues to increase approximately mid- to high-single digits to last year on a constant currency basis.
"Looking ahead, we remain focused on driving our multiple engines of growth while continuing to lay the groundwork for sustainable growth and value creation into the future. This gives us confidence in introducing an initial Fiscal 2027 outlook consistent with our Next Great Chapter: Drive commitments, all supported by our highly engaged teams, embracing AI and new technologies, our culture of operating discipline, and a best-in-class balance sheet,” Louvet added.