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AnalystLens

RL · Ralph Lauren

50 filings

10-Q

RL 10-Q Quarterly Reports

Ralph Lauren - 50 quarterly reports

Filing record · 2016–202610-K1110-Q328-K93

RL filed 11 annual reports (10-K), 32 quarterly reports (10-Q) and 93 current reports (8-K) between 2016 and 2026.

  1. Leadership change8-K · Jul ’16Jul ’16
  2. Material agreement8-K · Aug ’18Aug ’18
  3. Leadership change8-K · Oct ’20Oct ’20
  4. Material agreement8-K · Jun ’25Jun ’25
  1. 2027-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 27, 2026

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2027, ended June 27, 2026, reports net revenues of $1.960 billion, up from $1.719 billion in the prior-year quarter, with net income of $262.2 million ($4.28 per diluted share) versus $220.4 million ($3.52 per diluted share). Operating income rose to $342.4 million from $273.6 million, and gross profit as a percentage of net revenues increased to 73.7% from 72.3%. The filing attributes growth across all reportable segments, with Asia net revenues up $115.3 million (24.3%), North America up $84.1 million (12.8%) and Europe up $39.9 million (7.2%). Restructuring and other charges, net totaled $24.8 million, including $20.8 million of Next Generation Transformation project charges, and reduced net income by $18.8 million, or $0.31 per diluted share. Cash flow from operations was $339.3 million, compared with $176.1 million a year earlier, driven mainly by a favorable change in operating assets and liabilities, including lower inventory levels. Cash and cash equivalents fell to $1.719 billion from $1.988 billion at fiscal year-end, and the net cash and short-term investments position declined to $702.2 million from $826.1 million. The company repurchased $325.1 million of Class A common stock, including $75.1 million of share withholdings, and paid $54.8 million in dividends. The Board raised the quarterly dividend to $1.00 per share from $0.9125. Remaining repurchase authorization was approximately $1.102 billion as of June 27, 2026. The balance sheet shows total assets of $7.659 billion, total liabilities of $4.937 billion and equity of $2.722 billion. Inventories rose to $1.164 billion from $1.014 billion, and supplier finance program obligations increased to $268.4 million from $172.1 million. The company had no borrowings under its $750 million Global Credit Facility or its commercial paper program, and reported that no Event of Default had occurred under the facility. The filing also notes ongoing uncertainty regarding IEEPA tariff refunds, tariff pressures, and shipping delays related to Middle East conflicts.

    Aug 6, 2026
  2. 2026-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 27, 2025

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2026, ended December 27, 2025, reports strong top-line and profit growth. Net revenues rose to $2.406 billion for the three months (up 12.2% as reported and 10.0% on a constant currency basis) and to $6.136 billion for the nine months (up 14.0% reported and 11.7% constant currency). Net income was $361.6 million for the quarter, versus $297.4 million a year earlier, and diluted EPS was $5.82, versus $4.66. For the nine months, net income was $789.5 million and diluted EPS was $12.66. Gross margin expanded to 69.9% in both periods, and operating income rose 21.0% in the quarter to $471.3 million, with restructuring and other charges of $31.8 million (including $25.0 million tied to the Next Generation Transformation project). Cash generation was solid but moderated. Operating cash flow was $1.009 billion for the nine months, down from $1.113 billion, mainly on working capital changes. Capital expenditures more than doubled to $356.7 million, compared with $136.3 million a year earlier. The company issued $498.2 million of 5.000% Senior Notes due 2032 and repaid $400 million of 3.750% Senior Notes at maturity. It repurchased $350.1 million of Class A stock under its program and paid $161.3 million in dividends. Net cash and short-term investments were $1.013 billion, up from $940.4 million at March 29, 2025. Equity rose to $2.888 billion, and $1.502 billion remained available under the repurchase program. The filing states there are no material changes to the risk factors in the Fiscal 2025 10-K. Management expects Fiscal 2026 capital expenditures of roughly 4% to 5% of net revenues. The company also reported that its disclosure controls were effective as of December 27, 2025.

    Feb 5, 2026
  3. 2026-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 27, 2025

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2026 (three and six months ended September 27, 2025) shows net revenues of $2.011 billion for the quarter, up 16.5% on a reported basis and 14.0% on a constant currency basis, versus $1.726 billion a year earlier. Net income rose to $207.5 million from $147.9 million, and diluted EPS increased to $3.32 from $2.31. Operating income was $245.7 million, or 12.2% of net revenues, compared with $178.9 million, or 10.4%, a year earlier. Gross profit as a percentage of net revenues rose to 68.0% from 67.0%, and SG&A as a percentage of net revenues fell to 53.9% from 55.5%. Restructuring and other charges, net, totaled $37.3 million, including $25.7 million tied to the Next Generation Transformation project. The effective tax rate was 14.6% versus 21.4% a year earlier. Balance sheet and cash flow shifted toward lower liquidity. Net cash and short-term investments fell to $407.8 million from $940.4 million at fiscal year-end, as the company repurchased $435.9 million of stock (including tax withholding), spent $281.1 million on capital expenditures, and paid $106.0 million in dividends. Operating cash flow was $229.3 million for the six months, down from $374.5 million, driven by unfavorable working capital changes including higher inventories of $1.261 billion, up from $949.6 million at March 29, 2025. The company issued $500 million of 5.000% Senior Notes due 2032 in June 2025 and repaid $400 million of 3.750% Senior Notes in September 2025, leaving total debt of $1.238 billion. Equity was $2.582 billion, and the Board's remaining share repurchase authorization was approximately $1.539 billion. The filing states there are no material changes to risk factors disclosed in the Fiscal 2025 10-K. The company's quarterly dividend was increased to $0.9125 per share from $0.825.

    Nov 6, 2025
  4. 2026-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 28, 2025

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2026, ended June 28, 2025, reports net revenues of $1.719 billion, up from $1.512 billion in the prior-year quarter, and net income of $220.4 million, or $3.52 per diluted share, versus $168.6 million, or $2.61 per diluted share. Operating income rose to $273.6 million from $208.5 million, and gross profit as a percentage of net revenues increased to 72.3% from 70.5%. Net revenues grew across all reportable segments, with Asia up 21.2% on a reported basis and Europe up 15.7%. Total comparable store sales increased 13%, with digital commerce up 20% and brick and mortar up 12%. Restructuring and other charges, net, totaled $19.3 million, including $11.0 million tied to the Next Generation Transformation project, which reduced net income by $15.4 million after tax. Cash and cash equivalents rose to $2.090 billion, but the company's net cash and short-term investments position fell to $639.8 million from $940.4 million at fiscal year-end, as the company repurchased $323.3 million of stock, spent $187.3 million on capital expenditures and paid $50.7 million in dividends. In June 2025 the company issued $500 million of 5.000% Senior Notes due 2032, which increased long-term debt to $1.237 billion. Equity declined to $2.515 billion from $2.588 billion. The Board raised the quarterly dividend to $0.9125 per share from $0.825 and expanded the repurchase authorization by $1.500 billion, leaving approximately $1.602 billion available. Management expects capital expenditures of roughly 4% to 5% of net revenues for Fiscal 2026. The filing notes that tariff increases, inflation, currency volatility and geopolitical conflicts remain key risks, and that the company has not been significantly affected by supply chain disruptions to date.

    Aug 7, 2025
  5. 2025-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 28, 2024

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2025, ended December 28, 2024, reports net revenues of $2.143 billion for the three months, up 10.8% from $1.934 billion, and net income of $297.4 million, or $4.66 per diluted share, versus $4.19 a year earlier. For the nine months, net revenues were $5.382 billion (up 6.3%) and net income was $613.9 million, or $9.57 per diluted share. Gross profit as a percentage of net revenues rose to 68.4% in the quarter from 66.5%, and operating income increased 22.6% to $389.7 million. Growth was reported across all three reportable segments, with North America, Europe and Asia each contributing higher net revenues and operating margins. Balance sheet and liquidity remained strong. Cash and cash equivalents were $1.940 billion and short-term investments $203.0 million, against total debt of $1.142 billion, leaving a net cash and short-term investments position of $1.001 billion, up from $642.7 million at fiscal year-end 2024. Operating cash flow for the nine months was $1.113 billion. The company repurchased $348.5 million of Class A stock under its program during the nine months, leaving approximately $428 million of remaining authorization, and paid $150.1 million in dividends. The quarterly dividend was increased to $0.825 per share from $0.75 earlier in fiscal 2025. Management expects Fiscal 2025 capital expenditures of approximately $200 million to $250 million. The filing also flags headwinds. Management cites persistent inflationary pressures, promotional retail conditions, geopolitical conflicts, and supply chain disruptions, and it notes a Next Generation Transformation project that generated $17.1 million of other charges in the nine months. The effective tax rate rose to 22.5% in the quarter from 16.1%, and the company recorded a $6.4 million investment write-down in the quarter. The company reports no material changes to risk factors disclosed in its Fiscal 2024 10-K.

    Feb 6, 2025
  6. 2025-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 28, 2024

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2025 (ended September 28, 2024) shows net revenues of $1.726 billion for the three months, up from $1.633 billion a year earlier, and net income of $147.9 million, or $2.31 per diluted share, versus $146.9 million and $2.19 a year earlier. For the six months, net revenues were $3.238 billion and net income was $316.5 million, or $4.93 per diluted share. Gross profit as a percentage of net revenues rose to 67.0% for the quarter and 68.6% for the six months, and operating income rose to $178.9 million for the quarter and $387.4 million for the six months. The filing attributes the revenue growth primarily to direct-to-consumer channels and international businesses, and notes restructuring and other charges of $18.4 million in the quarter and $25.8 million for the six months. The balance sheet and cash flow picture shows a shift in liquidity. Cash and cash equivalents fell to $1.355 billion from $1.662 billion at fiscal year-end, while short-term investments rose to $334.7 million. Net cash and short-term investments declined to $548.2 million from $642.7 million, driven by $330.2 million of share repurchases (including tax withholdings), $98.9 million of dividends, and $75.1 million of capital expenditures, partially offset by $374.5 million of operating cash flow. Total debt is $1.141 billion, with $399.3 million classified as current because the 3.750% Senior Notes mature September 15, 2025. Inventories increased to $1.128 billion from $902.2 million at fiscal year-end. Management cited persistent inflation, promotional retail conditions, supply chain disruptions, foreign currency volatility, and geopolitical conflicts as ongoing risks. The company reports no material changes to risk factors versus its Fiscal 2024 10-K, no goodwill impairment, and an effective tax rate of 21.8% for the six months. Remaining share repurchase authorization was approximately $502 million as of September 28, 2024, and the quarterly dividend was raised to $0.825 per share.

    Nov 7, 2024
  7. 2025-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 29, 2024

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2025, ended June 29, 2024, reports net revenues of $1.512 billion, up 1.1% on a reported basis and 2.8% on a constant currency basis from $1.496 billion in the prior-year quarter. Net income rose to $168.6 million from $132.1 million, and diluted EPS increased to $2.61 from $1.96. Operating income was $208.5 million versus $166.4 million, with operating margin of 13.8% compared with 11.1% a year earlier. Gross margin improved 150 basis points to 70.5%, driven by product, channel and geographic mix, lower cotton costs and average unit retail growth, while SG&A rose 70 basis points to 56.2% of revenues on higher marketing investment. Restructuring and other charges totaled $7.4 million, compared with $33.7 million in total charges in the prior-year quarter. Total comparable store sales increased 5%. By segment, Europe and Asia drove growth in operating margin, with Europe operating margin up 360 basis points to 25.2% and Asia up 270 basis points to 27.4%. North America net revenues declined 3.7% to $608.2 million, reflecting a wholesale decline tied to receipt timing and planned reductions in off-price sales, partially offset by retail growth. Cash and cash equivalents were $1.587 billion at quarter end, and the net cash and short-term investments position fell to $619.4 million from $642.7 million, as the company used cash for $201.2 million of share repurchases and withholdings, $47.5 million of dividends and $33.4 million of capital expenditures. Operating cash flow was $277.3 million. The quarterly dividend was raised to $0.825 per share from $0.75, and about $600 million remained under the Class A repurchase authorization.

    Aug 7, 2024
  8. 2024-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 30, 2023

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2024, ended December 30, 2023, reports net revenues of $1.934 billion for the three months, up 5.6% as reported and 4.7% on a constant currency basis, with net income of $276.6 million and diluted EPS of $4.19, compared with $3.20 a year earlier. For the nine months, net revenues were $5.063 billion (up 3.3%), net income was $555.6 million, and diluted EPS was $8.31. Growth was led by international businesses, and total comparable store sales rose 9% in the quarter. Gross margin expanded 150 basis points to 66.5% on lower freight costs, favorable channel and geographic mix, higher pricing and lower non-routine inventory charges. SG&A rose to 50.0% of revenues from 49.2%, and operating income grew 12.6% to $317.7 million for the quarter. Net income was helped by $20.6 million more in interest income and a lower effective tax rate of 16.1%. The balance sheet remained strong. Cash and cash equivalents were $1.804 billion and short-term investments $113.8 million against long-term debt of $1.140 billion, leaving a net cash and short-term investments position of $777.4 million, up from $427.2 million at fiscal year-end. Nine-month operating cash flow was $948.7 million, versus $397.0 million a year earlier. The company repurchased $277.7 million of Class A stock and paid $146.7 million in dividends in the nine months, and about $897 million remained under its repurchase authorization. Management expects Fiscal 2024 capital expenditures of approximately $200 million to $225 million. The Global Credit Facility of $750 million was undrawn, and no Event of Default had occurred. The filing also flags continuing risks, including inflationary pressures, foreign currency volatility, the Russia-Ukraine and Israel-Hamas conflicts, Red Sea shipping disruption, and a promotional retail environment. Restructuring charges were $38.3 million in the nine months, and the company reports no material changes to the risk factors in its Fiscal 2023 10-K.

    Feb 8, 2024
  9. 2024-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 30, 2023

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2024 (ended September 30, 2023) reports net revenues of $1.633 billion for the three months, up from $1.579 billion a year earlier, and net income of $146.9 million, versus $150.5 million. Diluted EPS was $2.19 compared with $2.18. Operating income fell to $164.5 million from $206.7 million, with SG&A expenses rising to $896.3 million from $809.5 million. Management attributes the margin pressure mainly to higher compensation-related and marketing costs, while gross profit improved on lower freight costs and favorable mix. Net income was supported by a one-time $11.8 million tax benefit tied to Swiss tax reform and the EU anti-tax avoidance directive, and by higher interest income of $15.8 million. For the six months, net revenues were $3.130 billion and net income was $279.0 million, with diluted EPS of $4.15 versus $3.90 a year earlier. Asia led revenue growth, with Asia net revenues up $75.4 million for the six months, offsetting a $77.8 million decline in North America. Operating cash flow improved sharply to $343.6 million from $1.9 million, largely due to working capital changes. The company repurchased $225.7 million of stock, including tax withholdings, and paid $98.2 million in dividends. Cash and cash equivalents were $1.382 billion at quarter end, and long-term debt was $1.140 billion. The balance sheet shows total equity of $2.369 billion, and net cash and short-term investments of $327.4 million, down from $427.2 million at fiscal year-end. Remaining repurchase authorization was approximately $1.000 billion, and the company expects capital expenditures of approximately $250 million for Fiscal 2024.

    Nov 8, 2023
  10. 2024-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 1, 2023

    Ralph Lauren Corporation's first-quarter Fiscal 2024 Form 10-Q, covering the three months ended July 1, 2023, reported net revenues of $1.496 billion, up 0.4% on a reported basis and 1.2% on a constant currency basis, compared with $1.491 billion in the prior-year quarter. Net income rose to $132.1 million from $123.4 million, and diluted EPS was $1.96 versus $1.73. Growth was driven by international businesses, which more than offset a 9.8% decline in North America net revenues. Operating income fell 5.0% to $166.4 million, with the operating margin at 11.1%, versus 11.8% a year earlier. Restructuring and other charges, net, totaled $35.6 million, and the filing states that net restructuring-related and other charges reduced diluted EPS by $0.38. Gross margin improved 180 basis points to 69.0%, reflecting lower non-routine inventory charges, lower freight costs, and favorable channel and geographic mix. SG&A rose to 55.5% of net revenues from 55.0%. Operating cash flow was $270.7 million, compared with $45.3 million in the prior-year quarter, and the net cash and short-term investments position increased to $541.3 million from $427.2 million at fiscal year-end. Capital returns continued during the quarter. The company repurchased $50.0 million of Class A stock, paid $49.2 million in dividends, and reported approximately $1.125 billion of remaining repurchase authorization. Management stated there were no material changes to previously disclosed risk factors, and the filing notes that the Russia-Ukraine war, inflation, and foreign currency volatility continue to affect the business.

    Aug 10, 2023
  11. 2023-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 31, 2022

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2023 (quarter ended December 31, 2022) shows revenue growth on a reported basis but lower profitability. Net revenues rose to $1,832.3 million for the three months (from $1,815.4 million) and to $4,902.8 million for the nine months (from $4,695.8 million). Net income was $216.5 million for the quarter, versus $217.7 million a year earlier, and $490.4 million for the nine months, down from $575.7 million. Diluted EPS was $3.20 for the quarter and $7.07 for the nine months, compared with $2.93 and $7.68 in the prior-year periods. The filing attributes the margin pressure mainly to inflationary cost pressures, unfavorable foreign currency effects, and higher non-routine inventory charges, partly offset by improved pricing. Operating income fell to $664.0 million for the nine months from $761.6 million, and gross margin declined to 65.6% from 67.8%. Cash generation weakened. Operating cash flow was $397.0 million for the nine months, down from $821.7 million. Net cash and short-term investments declined to $559.5 million from $962.1 million at fiscal year-end, reflected in $445.8 million of share repurchases, $155.9 million of capital expenditures, $148.8 million of dividends, and the repayment of $500.0 million of 1.700% Senior Notes. Cash and cash equivalents were $1,566.1 million at December 31, 2022, and total debt was $1,138.0 million. Management stated it is not dependent on foreign cash to fund domestic operations and that existing sources of liquidity are sufficient for the foreseeable future. The filing also reports that COVID-19 disruptions continued, most notably in China, where more than 90% of mainland stores were affected by some form of closure or restriction in the quarter. The company's quarterly dividend was raised to $0.75 per share, and the remaining Class A share repurchase authorization was approximately $1.217 billion as of December 31, 2022. Management expects fiscal 2023 capital expenditures of approximately $240 million to $250 million.

    Feb 9, 2023
  12. 2023-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Oct 1, 2022

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2023, ended October 1, 2022, shows net revenues of $1.580 billion for the three months, up 5.0% as reported and 13.0% on a constant currency basis, while net income fell to $150.5 million from $193.3 million and diluted EPS fell to $2.18 from $2.57. For the six months, net revenues were $3.070 billion (up 6.6% reported, 13.2% constant currency), net income was $273.9 million, and diluted EPS was $3.90. Gross margin declined to 64.8% in the quarter from 67.5%, driven by higher product and freight costs and unfavorable foreign currency effects, and operating income fell 18.0% to $206.7 million. SG&A rose to 51.2% of revenue, reflecting marketing investment and compensation costs. Liquidity tightened over the period. Net cash provided by operating activities was only $1.9 million for the six months, versus $464.2 million a year earlier, driven by inventory build and working capital changes. The company repaid $500.0 million of 1.700% senior notes, repurchased $417.3 million of stock including tax withholdings, and paid $99.1 million in dividends. Net cash and short-term investments declined to $279.2 million from $962.1 million at fiscal year-end. Cash and cash equivalents stood at $1.107 billion, and the company had $1.245 billion of remaining repurchase authorization and an undrawn $500 million Global Credit Facility. Management cited ongoing COVID-19 disruptions, most notably in China, as well as the Russia-Ukraine conflict and inflationary pressures. Comparable store sales rose 7% in the quarter and 11% for the six months on a constant currency basis, and the company raised its quarterly dividend to $0.75 per share. The company expects Fiscal 2023 capital expenditures of $250 million to $275 million.

    Nov 10, 2022
  13. 2023-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 2, 2022

    Ralph Lauren Corporation's first quarter of Fiscal 2023 (three months ended July 2, 2022) shows net revenues of $1.491 billion, up 8.3% on a reported basis and 13.4% on a constant currency basis, versus $1.376 billion in the prior-year quarter. Net income fell to $123.4 million from $164.7 million, and diluted EPS declined to $1.73 from $2.18. Operating income decreased 20.6% to $175.2 million, with operating margin at 11.8% versus 16.0%. Gross profit as a percentage of net revenues declined 310 basis points to 67.2%, driven by higher non-routine inventory charges, higher product and freight costs, and unfavorable foreign currency effects, partially offset by improved pricing and lower promotional activity. SG&A rose 12.7% to $820.6 million, or 55.0% of net revenues, mainly from a return to more normalized marketing investment. Cash generation weakened sharply, with net cash from operating activities of $45.3 million versus $247.6 million a year earlier, largely due to inventory build of $226.1 million to support growth and mitigate supply chain delays. The company repaid $500.0 million of 1.700% Senior Notes at maturity, repurchased $213.3 million of Class A stock, and paid $48.1 million in dividends. Net cash and short-term investments declined to $639.9 million from $962.1 million at fiscal year-end, and total equity fell to $2.364 billion. The filing states the company expects Fiscal 2023 capital expenditures of approximately $290 million to $310 million and that the remaining repurchase authorization was approximately $1.416 billion. The filing notes ongoing COVID-19 disruptions, most notably closures affecting approximately 50% of the company's stores in China during a significant portion of the quarter, along with the Russia-Ukraine war, which led to non-routine inventory charges. The company also raised its quarterly dividend to $0.75 per share from $0.6875 and continued its Fiscal 2021 Strategic Realignment Plan, now expected to total up to $300 million in charges.

    Aug 9, 2022
  14. 2022-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 25, 2021

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2022, ended December 25, 2021, reports a strong rebound from the prior year's COVID-19 disruptions. Net revenues for the three months ended December 25, 2021 were $1,815.4 million, up from $1,432.8 million, and net income rose to $217.7 million, or $2.93 per diluted share, from $119.8 million, or $1.61 per diluted share. For the nine months, net revenues were $4,695.8 million and net income was $575.7 million, or $7.68 per diluted share, compared with a net loss of $47.0 million in the prior-year period. Operating income for the nine months was $761.6 million, compared with an operating loss of $17.9 million a year earlier. Operating cash flow was $821.7 million for the nine months, and the company ended the period with a net cash and investments position of $1.352 billion. Capital return activity resumed during the quarter. The company repurchased $300.0 million of Class A common stock in the nine months, and its remaining authorization was approximately $280 million at quarter end. On February 2, 2022, the Board approved an additional $1.500 billion repurchase authorization. The quarterly dividend was reinstated at $0.6875 per share, and the third-quarter dividend was declared on December 10, 2021. Total dividends declared for the nine months were $2.0625 per share. Net cash provided by operating activities rose to $821.7 million from $334.6 million, while net cash used in investing activities was $635.8 million, driven partly by $520.1 million in net purchases of investments. The filing also highlights the wind-down of portfolio actions. Club Monaco was sold to Regent, L.P. on June 26, 2021, and Chaps moved to a fully licensed model effective August 1, 2021. Under the Fiscal 2021 Strategic Realignment Plan, cumulative charges since inception are $260.5 million, against expected total pre-tax charges of $300 million to $350 million. The company expects gross annualized pre-tax expense savings of $200 million to $240 million once the plan is substantially complete by the end of Fiscal 2022. Capital expenditure guidance for Fiscal 2022 was lowered to $200 million to $225 million from $250 million to $275 million.

    Feb 3, 2022
  15. 2022-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 25, 2021

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2022 (three and six months ended September 25, 2021) shows a strong recovery from the prior-year COVID-19 disruption. Net revenues were $1,504.1 million for the quarter, up 26.0% from $1,193.5 million, and $2,880.4 million for the six months, up 71.4%. Net income was $193.3 million, or $2.57 per diluted share, compared with a net loss of $39.1 million a year earlier. Operating income was $251.9 million, or 16.7% of net revenues, against an operating loss of $20.3 million in the prior-year quarter. Gross margin rose 50 basis points to 67.5%, and SG&A expenses fell to 50.2% of net revenues from 52.6%. Liquidity remained solid. Operating cash flow was $464.2 million for the six months, compared with an outflow of $12.7 million a year earlier. Cash and cash equivalents were $2,387.9 million, and short-term investments were $673.1 million. Total debt was $1,634.6 million, leaving net cash and investments of $1,426.4 million. The company reinstated its quarterly dividend at $0.6875 per share, and remaining repurchase authorization was approximately $580 million, though buybacks remain suspended until the second half of Fiscal 2022. The Club Monaco business was sold to Regent, L.P. on June 26, 2021, and the Chaps brand moved to a fully licensed model effective August 1, 2021. The Fiscal 2021 Strategic Realignment Plan has cumulative charges of $258.6 million against expected total pre-tax charges of $300 million to $350 million. Management expects gross annualized pre-tax expense savings of $200 million to $240 million once the plan is substantially completed by the end of Fiscal 2022. The filing notes continued COVID-19 uncertainty, including the Delta variant, and states that no Event of Default has occurred under the Global Credit Facility.

    Nov 3, 2021
  16. 2022-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 26, 2021

    Ralph Lauren Corporation's 10-Q for the first quarter of Fiscal 2022 (three months ended June 26, 2021) reports a sharp rebound from the prior-year quarter, which was heavily disrupted by COVID-19. Net revenues were $1,376.3 million, up from $487.5 million, and net income was $164.7 million, or $2.18 per diluted share, compared with a net loss of $127.7 million, or $1.75 per diluted share, a year earlier. Operating income was $220.6 million versus an operating loss of $168.0 million. Management attributes the improvement mainly to the absence of the prior year's widespread store closures and wholesale shipment shortfalls, along with continued digital commerce growth. Gross margin declined to 70.3% from 71.5%, and restructuring and impairment charges were modest in the quarter, totaling $10.4 million net. Liquidity remained strong. The company ended the quarter with a net cash and investments position of $1.331 billion, up from $1.144 billion at fiscal year-end, supported by $247.6 million of operating cash flow. Cash and cash equivalents were $2.596 billion, and short-term time deposits were $368.0 million. Total debt was $1.634 billion, with $498.7 million classified as current because the 1.700% Senior Notes mature in June 2022. The company reinstated its quarterly dividend at $0.6875 per share, and it sold its Club Monaco business to Regent, L.P. on June 26, 2021, with no gain or loss recognized in the quarter. The Fiscal 2021 Strategic Realignment Plan now has cumulative charges of $255.3 million against an expected total of $300 million to $350 million. The filing also notes that the company continues to face COVID-19 uncertainty, including the Delta variant, and that its Global Credit Facility covenant relief runs through the quarter ending September 30, 2021. Stock repurchases remain suspended, with about $580 million of authorization remaining.

    Aug 3, 2021
  17. 2021-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 26, 2020

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2021, ended December 26, 2020, reports a sharp decline in results driven by COVID-19 business disruptions. Net revenues were $1.433 billion for the three months, down 18.2% from $1.751 billion a year earlier, and $3.114 billion for the nine months, down 36.3%. Net income was $119.8 million for the quarter ($1.61 per diluted share) versus $334.1 million a year earlier, while the nine-month period reported a net loss of $47.0 million ($0.64 per diluted share). Operating income was $170.4 million for the quarter and an operating loss of $17.9 million for the nine months. Gross margin improved, rising to 64.9% for the quarter and 66.7% for the nine months, driven by improved pricing and lower promotional activity, while SG&A deleveraged on lower revenue. The company strengthened its liquidity during the pandemic. It issued $1.250 billion of unsecured senior notes in June 2020 and repaid $475.0 million of credit facility borrowings, and it temporarily suspended its dividend and share repurchase program. Cash and cash equivalents were $2.621 billion at December 26, 2020, and net cash and investments were $1.155 billion, compared with $945.3 million at fiscal year-end 2020. Operating cash flow was $334.6 million for the nine months, versus $748.0 million a year earlier. Long-term debt rose to $1.632 billion from $396.4 million. Management also disclosed the Fiscal 2021 Strategic Realignment Plan, which now carries estimated pre-tax charges of approximately $300 million to $350 million and is expected to yield gross annualized pre-tax expense savings of approximately $200 million to $240 million when substantially completed by the end of Fiscal 2022. The Chaps brand is transitioning to a fully licensed model, and the company is consolidating corporate offices, closing certain stores, and consolidating North America distribution centers.

    Feb 4, 2021
  18. 2021-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 26, 2020

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2021 (ended September 26, 2020) shows a sharp downturn driven by COVID-19. Net revenues were $1,193.5 million for the three months, down 30.0% from $1,706.2 million a year earlier, and $1,681.0 million for the six months, down 46.4%. The company reported a net loss of $39.1 million ($0.53 per diluted share) for the quarter, compared with net income of $182.1 million ($2.34 per diluted share) in the prior-year period. For the six months, the net loss was $166.8 million, or $2.27 per diluted share. Operating results were also hit by restructuring and other charges of $160.5 million in the quarter, tied to the Fiscal 2021 Strategic Realignment Plan, which targets up to approximately $160 million in pre-tax charges and gross annualized savings of $180 million to $200 million. Gross margin improved 550 basis points to 67.0% in the quarter, driven by improved pricing and lower promotional activity, but SG&A deleveraged to 52.6% of revenues. Liquidity was reinforced through preemptive measures. The company issued $1.250 billion of senior notes in June 2020, repaid its $475.0 million credit facility borrowings, and temporarily suspended its dividend and share repurchase program. Cash and cash equivalents stood at $2,012.0 million at quarter-end, and total debt rose to $1,631.0 million from $1,171.0 million at fiscal year-end. Net cash and investments declined to $815.1 million from $945.3 million. Cash used in operating activities was $12.7 million for the six months, compared with cash provided of $204.1 million a year earlier. The Global Credit Facility's leverage ratio requirement was waived through the quarter ending September 30, 2021, and a $750 million minimum liquidity requirement applies until the Ratings-Based Toggle Date. On October 29, 2020, the company announced plans to transition its Chaps brand to a fully licensed model, which the filing describes as reducing direct exposure to the North America department store channel. Investors should watch the pace of recovery in retail traffic, the execution of the restructuring savings, and the company's ability to manage its debt and covenant obligations through the pandemic.

    Nov 5, 2020
  19. 2021-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 27, 2020

    Ralph Lauren Corporation's first-quarter Fiscal 2021 results (three months ended June 27, 2020) show a sharp deterioration driven by COVID-19 business disruptions. Net revenues fell 65.9% to $487.5 million from $1,428.8 million, and the company reported a net loss of $127.7 million, or $1.75 per diluted share, versus net income of $117.1 million, or $1.47 per diluted share, a year earlier. Operating loss was $168.0 million compared with operating income of $143.3 million. Management stated that the majority of stores in key markets were closed for an average of 8 to 10 weeks during the quarter, that nearly all stores have since reopened but mostly at limited hours and capacity, and that traffic remains challenged. Total comparable store sales declined 57%. Liquidity was strengthened through preemptive actions. The company issued $1.250 billion of senior notes in June 2020 (a $500 million 1.700% tranche due 2022 and a $750 million 2.950% tranche due 2030), used proceeds to repay $475.0 million drawn on its Global Credit Facility, amended that facility in May 2020 to waive the leverage ratio through the quarter ending September 30, 2021, and temporarily suspended its dividend and share repurchase program. Cash and cash equivalents rose to $2.451 billion from $1.620 billion, while net cash and investments declined to $780.6 million from $945.3 million, and operating cash flow was negative $70.3 million. Total equity decreased to $2.556 billion from $2.693 billion. The filing also notes that the company's Fiscal 2019 Restructuring Plan is complete, with cumulative charges of approximately $146 million, and that the CARES Act provided a tax benefit through expected net operating loss carrybacks that lifted the effective tax rate to 26.0%.

    Aug 4, 2020
  20. 2020-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 28, 2019

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2020, ended December 28, 2019, reports net revenues of $1.751 billion for the quarter, up 1.4% on a reported basis and 2.0% on a constant currency basis, and net income of $334.1 million, or $4.41 per diluted share, compared with $120.0 million, or $1.48 per diluted share, a year earlier. The quarter included a one-time $134.1 million income tax benefit from Swiss tax reform, which contributed $1.77 per diluted share. Excluding that benefit, the filing shows restructuring-related charges, impairment of assets and other charges totaling $21.4 million for the quarter. For the nine months, net revenues were $4.886 billion, up 1.6% reported and 2.9% constant currency, and net income was $633.3 million, or $8.13 per diluted share. Gross margin improved to 62.2% in the quarter and operating margin rose to 12.8% from 11.2%. The balance sheet shows cash and cash equivalents of $1.080 billion and short-term investments of $828.5 million at December 28, 2019. Total debt was $694.4 million, and the company reported a net cash and investments position of $1.214 billion, compared with $1.343 billion at fiscal year-end 2019. Operating lease right-of-use assets of $1.573 billion and operating lease liabilities of $1.925 billion were recognized upon adoption of ASU 2016-02. Operating cash flow for the nine months was $748.0 million, while the company spent $542.1 million on share repurchases and withholding, $216.0 million on capital expenditures and $153.2 million on dividends. Equity declined to $3.117 billion from $3.287 billion. The filing describes a mixed operating picture by segment. North America revenue was essentially flat for the quarter, with retail growth offset by a $30.0 million decline in wholesale driven by weaker department store traffic. Europe and Asia drove growth, while Asia comparable store sales declined 1% for the quarter, primarily because of Hong Kong protests. The filing states that tariffs are not expected to have a material impact on consolidated financial statements, and it discusses continuing uncertainty around Brexit and the coronavirus outbreak.

    Feb 6, 2020
  21. 2020-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 28, 2019

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2020 (quarter ended September 28, 2019) reported net revenues of $1,706.2 million for the three months, up from $1,690.9 million a year earlier, and net income of $182.1 million, or $2.34 per diluted share, compared with $170.3 million and $2.07 per diluted share in the prior-year quarter. For the six months, net revenues were $3,135.0 million and net income was $299.2 million, or $3.79 per diluted share. Operating income rose to $233.1 million for the quarter from $210.0 million, while restructuring-related charges, asset impairments and other charges totaled $21.0 million for the quarter and $52.4 million for the six months. The filing describes the company's first quarter of adopting the new lease accounting standard (ASU 2016-02), which added operating lease right-of-use assets of $1,567.1 million and operating lease liabilities totaling $1,924.5 million to the balance sheet, and reduced opening retained earnings. Cash and investments fell during the period. Net cash and investments were $896.1 million at September 28, 2019, down from $1,343.3 million at March 30, 2019, mainly because of $442.7 million of share repurchases (including tax withholdings), $130.6 million of capital expenditures and $101.9 million of dividend payments, partly offset by $204.1 million of operating cash flow. Total equity declined to $2,913.6 million from $3,287.2 million. Remaining availability under the Class A common stock repurchase program was approximately $830 million, and the quarterly dividend was raised to $0.6875 per share from $0.625. The filing notes that the Swiss Tax Act was enacted and that further guidance on transitional provisions may have a material impact on the consolidated financial statements. It also cites ongoing pressures in North America wholesale, trade tensions between the U.S. and China, protests in Hong Kong that forced temporary store closures, and Brexit uncertainty.

    Nov 7, 2019
  22. 2020-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 29, 2019

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2020 (three months ended June 29, 2019) reports net revenues of $1.429 billion, up from $1.391 billion in the prior-year quarter, with net income of $117.1 million and diluted EPS of $1.47 versus $1.31. The filing states revenue grew 2.7% on a reported basis and 4.9% on a constant currency basis, with higher sales across all reportable segments. Operating income rose to $143.3 million from $130.1 million, and operating margin was 10.0% versus 9.4%. Results were affected by $31.4 million of restructuring-related charges, impairment of assets, and other charges, including a $20.8 million donation of net proceeds from the sale of the company's corporate jet to the Polo Ralph Lauren Foundation. The balance sheet changed materially due to the adoption of ASU 2016-02 (Leases) at the start of the quarter: operating lease right-of-use assets were $1,415.8 million and total lease liabilities of $1,777.7 million were recorded, pushing total liabilities to $4.33 billion from $2.66 billion. Total equity declined to $3.01 billion from $3.29 billion, reflecting $191.1 million of share repurchases and cumulative adjustments from new accounting standards. Net cash and investments were $1.271 billion, compared with $1.343 billion at fiscal year-end. Operating cash flow was $197.4 million, down from $230.6 million. The company reiterated expected capital expenditures of approximately $300 million for Fiscal 2020, and its Board approved an additional $600 million expansion of the Class A common stock repurchase program, leaving approximately $1.080 billion available. The quarterly dividend was increased to $0.6875 per share from $0.625.

    Aug 1, 2019
  23. 2019-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 29, 2018

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2019 (quarter ended December 29, 2018) shows net revenues of $1.726 billion, up 5.1% on a reported basis and 6.3% on a constant currency basis, compared with $1.642 billion in the prior-year quarter. Net income was $120.0 million, or $1.48 per diluted share, versus a net loss of $81.8 million, or $1.00 per diluted share, in the prior-year quarter. The swing was driven mainly by a $188.6 million decline in the income tax provision, largely due to lower Tax Cuts and Jobs Act (TCJA) enactment-related charges of $32.3 million this year versus $231.3 million last year. Operating income rose 2.4% to $193.8 million, with operating margin of 11.2% versus 11.5%. Restructuring and other charges of $40.1 million and other items reduced results during the quarter. For the nine months, net revenues were $4.807 billion, up 3.3%, and net income was $399.3 million, or $4.85 per diluted share. Gross profit margin improved to 62.1% from 61.1%, reflecting improved pricing and lower promotional activity. Management attributed the SG&A increase to higher marketing investment and new store expansion. Net cash provided by operating activities fell to $683.1 million from $951.1 million, mainly due to unfavorable working capital and income tax changes. The balance sheet shows cash and cash equivalents of $680.5 million and short-term investments of $1.382 billion as of December 29, 2018. Total debt rose to $686.8 million after the company issued $400 million of 3.750% senior notes in August 2018 and repaid $300 million of 2.125% notes at maturity. Share repurchases totaled $431.9 million in the nine months, and about $700 million remained under the repurchase authorization. Net cash and investments stood at $1.422 billion, compared with $1.494 billion at March 31, 2018.

    Feb 7, 2019
  24. 2019-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 29, 2018

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2019 (ended September 29, 2018) reports net revenues of $1.691 billion for the three months, up 1.6% on a reported basis (2.1% constant currency), and net income of $170.3 million, or $2.07 per diluted share, versus $143.8 million, or $1.75 per diluted share, a year earlier. For the six months, net revenues were $3.082 billion (up 2.3% reported, 1.7% constant currency), net income was $279.3 million, and diluted EPS was $3.37. Growth was led by Asia, where three-month revenue rose 12.8% largely on new store openings. Gross margin improved 110 basis points to 60.9% for the quarter, while SG&A rose to 46.9% of revenues as marketing investment increased. Europe comparable store sales declined 4% for the quarter, and total comparable store sales were flat. Liquidity and capital allocation were central this period. Operating cash flow fell to $213.0 million for the six months from $437.0 million, mainly due to working capital changes, including a $251.8 million increase in inventories. The company issued $400 million of 3.750% senior notes due 2025 and used the proceeds, together with cash on hand, to repay $300 million of 2.125% notes at maturity. Net cash and investments declined to $1.259 billion from $1.494 billion at fiscal year-end. The company repurchased $223.9 million of stock including tax withholdings, paid $91.3 million in dividends, and raised its quarterly dividend to $0.625 per share from $0.50. About $907 million remained under the share repurchase authorization. The filing also details ongoing restructuring under the Way Forward Plan, with cumulative charges of $677.5 million against an expected total of about $790 million, and a new Fiscal 2019 Restructuring Plan expected to cost $100 million to $150 million, with annualized savings of $60 million to $80 million. Management notes that the Tax Cuts and Jobs Act measurement-period adjustment of $4.7 million lowered the effective tax rate to 20.7% for the quarter, and that the company is monitoring U.S.-China tariffs and Brexit.

    Nov 8, 2018
  25. 2019-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 30, 2018

    Ralph Lauren Corporation reported first-quarter Fiscal 2019 results for the three months ended June 30, 2018, with net revenues of $1,390.6 million, up from $1,347.1 million a year earlier, and net income of $109.0 million, or $1.31 per diluted share, versus $59.5 million, or $0.72 per diluted share, in the prior-year period. Operating income rose to $130.1 million from $90.3 million, and operating margin improved to 9.4% from 6.7%. The filing attributes the revenue increase to international businesses, particularly Asia, which grew 18.6% reported (16.0% constant currency), while North America revenues declined 1.7% and total constant-currency revenue growth was 1.1%. Restructuring and other charges and impairments totaled $23.7 million, down from $47.2 million a year earlier. Cash flow and liquidity were weaker. Operating cash flow fell to $230.6 million from $334.2 million, mainly due to unfavorable working capital changes. The company repurchased $130.0 million of stock including tax withholdings, paid $40.6 million in dividends, and ended the quarter with cash and cash equivalents of $532.3 million and short-term investments of $1,487.7 million. Net cash and investments were $1,502.5 million, and total debt was $587.0 million. Equity was $3,421.0 million. The company approved a new Fiscal 2019 Restructuring Plan with estimated total charges of $100 million to $150 million, expanded its buyback authorization by $1.000 billion, and raised its quarterly dividend to $0.625 per share from $0.50. The filing also notes repatriation of $252 million, $400 million, and $179 million of foreign cash to the U.S. tied to earnings previously taxed under the TCJA.

    Aug 3, 2018
  26. 2018-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 30, 2017

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2018 (quarter ended December 30, 2017) reported net revenues of $1.642 billion for the three months, down 4.2% as reported (6.1% on a constant currency basis), and a net loss of $81.8 million, or $1.00 per diluted share. The loss was driven by a $231.3 million one-time charge in income tax provision related to the Tax Cuts and Jobs Act (TCJA), of which $215.5 million is a mandatory transition tax payable over eight years. Operating income rose to $189.2 million from $128.3 million, with gross margin up 340 basis points to 60.7% on lower promotional activity and lower restructuring-related inventory charges. For the nine months, net revenues were $4.653 billion, down 8.5%, while net income was $121.5 million, or $1.47 per diluted share. The balance sheet strengthened. Cash and cash equivalents rose to $1.176 billion from $668.3 million at April 1, 2017, and net cash and investments were $1.533 billion versus $786.2 million at fiscal year-end. Nine-month operating cash flow was $951.1 million, and capital expenditures were $123.0 million. Management expects Fiscal 2018 capital expenditures of approximately $200 million and does not currently expect to repurchase shares under its program during Fiscal 2018. The Way Forward restructuring plan carries total estimated charges of approximately $770 million, with cumulative charges of $645.4 million recorded to date. The filing highlights continued weakness in North America, where net revenues fell 11.4% in the quarter, driven by lower wholesale shipments, brand discontinuances, and e-commerce comparable store sales declines of 27%. Management is closing 20% to 25% of underperforming U.S. department store points of distribution by the end of Fiscal 2018, and it is shifting to a new e-commerce platform.

    Feb 8, 2018
  27. 2018-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 30, 2017

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2018 (three and six months ended September 30, 2017) shows net revenues of $1.664 billion for the quarter, down from $1.820.6 million a year earlier, while net income rose to $143.8 million from $45.7 million and diluted EPS rose to $1.75 from $0.55. Management attributes the revenue decline primarily to lower North America sales driven by its quality of distribution and sales initiatives, including reduced promotional activity, strategic shipment reductions, brand discontinuances and lower consumer demand. The profit improvement reflects lower Way Forward Plan restructuring-related charges, a higher gross profit margin of 59.8% (up from 52.4%), and a lower effective tax rate of 24.8%. Operating income for the quarter was $193.3 million versus $76.3 million a year earlier. For the six months, net revenues were $3.011 billion and net income was $203.3 million, compared with $23.4 million in the prior-year period. Cash from operations was $437.0 million, and the company ended the period with net cash and investments of $1.111 billion, up from $786.2 million at fiscal year-end. Cash, cash equivalents and short-term investments totaled $1.619 billion, of which $1.331 billion was held by foreign subsidiaries. Total equity rose to $3.510 billion. The filing also notes that the Way Forward Plan remains in progress, with total expected charges of approximately $770 million and cumulative charges of $623.4 million to date, and that the company expects to close 20% to 25% of its underperforming U.S. department store points of distribution by the end of Fiscal 2018. Management has also reduced its Fiscal 2018 capital expenditure outlook to approximately $225 million from $300 million and does not expect to repurchase shares under its program during Fiscal 2018.

    Nov 9, 2017
  28. 2018-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 1, 2017

    Ralph Lauren Corporation's first-quarter Fiscal 2018 results (three months ended July 1, 2017) show net revenues of $1.347 billion, down 13.2% from $1.552 billion a year earlier (11.9% on a constant currency basis). The company returned to profitability, reporting net income of $59.5 million, or $0.72 per diluted share, versus a net loss of $22.3 million, or $0.27 per diluted share, in the prior-year quarter. Operating income was $90.3 million compared with an operating loss of $31.2 million, and gross profit as a percentage of net revenues rose to 63.2% from 57.6%, driven mainly by lower non-cash restructuring-related inventory charges ($0.7 million versus $54.0 million), lower promotional activity and favorable mix. The filing notes that restructuring, impairment and other charges totaled $47.2 million this quarter versus $159.1 million a year earlier. Liquidity remained strong. Net cash provided by operating activities was $334.2 million, and net cash and investments rose to $1.061 billion from $786.2 million at April 1, 2017. Total equity increased to $3.360 billion. The company did not repurchase shares under its program during the quarter, has approximately $100 million remaining under that authorization, and stated it does not currently expect to repurchase shares during Fiscal 2018. Quarterly dividends of $0.50 per share were declared and paid. The filing shows continued top-line pressure in North America (net revenues down 17.1%) and Europe (down 14.3%), attributed to strategic reductions in wholesale shipments, brand discontinuances and weaker department store traffic. Management also disclosed a total Way Forward Plan charge estimate of approximately $770 million, with cumulative charges of $603.4 million to date, a new President and CEO (Patrice Louvet) effective July 2017 following Stefan Larsson's departure, and an ongoing customs dispute in which a $34.1 million assessment has been paid and is being appealed.

    Aug 10, 2017
  29. 2017-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 31, 2016

    Ralph Lauren Corporation's third-quarter Fiscal 2017 10-Q (quarter ended December 31, 2016) shows a sharp earnings decline. Net revenues fell 11.9% to $1.714 billion for the quarter and 8.1% to $5.087 billion for the nine months. Net income was $82 million for the quarter, down from $131 million, and $105 million for the nine months, down from $355 million. Diluted EPS was $0.98 for the quarter and $1.25 for the nine months, compared with $1.54 and $4.11 a year earlier. The filing attributes the decline largely to charges tied to the Way Forward Plan, which carried $91 million of charges in the quarter and $400 million year to date, and to lower Americas wholesale and retail sales. Operating margin fell to 7.5% for the quarter and 3.4% for the nine months. The balance sheet remained solid. Cash and cash equivalents rose to $928 million, and net cash and investments was $874 million, up from $559 million at April 2, 2016. Operating cash flow was $850 million for the nine months, roughly flat year over year. Equity declined to $3.610 billion, reflecting dividends, share repurchases, and comprehensive income. Total debt was $589 million, consisting of two $300 million senior notes, and the company had no short-term debt outstanding. Management expects the Way Forward Plan to produce $180 million to $220 million of annualized expense savings once substantially complete by the end of Fiscal 2017, with total estimated charges of about $400 million plus up to $150 million of additional inventory-related charges. The filing also discloses that CEO Stefan Larsson will depart effective May 1, 2017, with roughly $20 million of related charges expected, and that a search for a new CEO has begun. Management notes that consumer traffic remains weak and that Brexit and U.S. trade policy create uncertainty.

    Feb 9, 2017
  30. 2017-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Oct 1, 2016

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2017 (three and six months ended October 1, 2016) shows a sharp earnings decline driven by restructuring. Net revenues for the quarter were $1.821 billion, down 7.6% as reported (8.0% on a constant currency basis) from $1.970 billion, and net income fell to $45 million, or $0.55 per diluted share, from $160 million, or $1.86 per diluted share. For the six months, net revenues were $3.373 billion and net income was $23 million, or $0.28 per diluted share. The filing attributes the decline mainly to charges of $150 million in the quarter and $309 million year-to-date tied to the Way Forward Plan, a restructuring program approved June 2, 2016. Lower Americas wholesale and retail sales, partly offset by growth in European wholesale, also weighed on results. Gross profit margin fell to 52.4% in the quarter from 56.5%, and operating income dropped to $76 million from $230 million. Liquidity remained solid but softer. Cash, cash equivalents and short-term investments totaled $965 million at quarter-end, and the net cash and investments position declined to $395 million from $559 million at fiscal year-end. Operating cash flow was $232 million for the six months, compared with $366 million a year earlier. Capital expenditures were $165 million, and the company paid $82 million in dividends and repurchased $115 million of stock, including tax withholdings. Management expects the Way Forward Plan to be substantially complete by the end of Fiscal 2017, with estimated total charges of about $400 million plus up to $150 million of inventory-related charges, and expects annualized savings of $180 million to $220 million.

    Nov 10, 2016
  31. 2017-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 2, 2016

    Ralph Lauren Corporation's first-quarter Fiscal 2017 results (three months ended July 2, 2016) show a net loss of $22 million, or $0.27 per diluted share, compared with net income of $64 million, or $0.73 per diluted share, in the prior-year quarter. Net revenues declined 4.1% to $1.552 billion (4.2% on a constant currency basis). Operating loss was $31 million versus operating income of $96 million a year earlier, driven by $159 million of charges tied to restructuring plans, including $86 million of restructuring charges, $19 million of asset impairments and $54 million of inventory-related charges. Gross profit margin fell 210 basis points to 57.6%, and SG&A rose to 52.5% of net revenues. Management attributes the weakness to lower domestic wholesale and retail sales, with Americas wholesale net revenues down 15.0% and total comparable store sales down 6%, partly offset by European wholesale growth. The company announced the Way Forward Plan on June 2, 2016, which is expected to cost up to $400 million in charges plus up to $150 million of additional inventory-related non-cash charges, and is expected to yield $180 million to $220 million of annualized expense savings when substantially complete by the end of Fiscal 2017. The company remains in a net cash and investments position of $533 million, down from $559 million at fiscal year-end, after $115 million of share repurchases and dividends of $41 million. Operating cash flow was $243 million, down from $332 million. The company's balance sheet remains sound, with $1.076 billion in cash, cash equivalents and short-term investments, $692 million of total debt, and $3.566 billion of equity. A $200 million share repurchase program remained available as of July 2, 2016, and an accelerated share repurchase program was entered into in June 2016. The filing also discloses a customs audit assessment of $34 million that the company is contesting on appeal.

    Aug 11, 2016
  32. 2016-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 26, 2015

    Ralph Lauren Corporation's Form 10-Q for the third quarter of Fiscal 2016 (ended December 26, 2015) reports net revenues of $1.946 billion, down 4.3% from $2.033 billion a year earlier, with net income of $131 million and diluted EPS of $1.54, versus $215 million and $2.41. The decline reflected unfavorable foreign currency effects, a more competitive retail environment, and $42 million of pretax charges under the Global Reorganization Plan plus $35 million of other charges, primarily tied to a pending customs audit and litigation settlements. On a constant currency basis, net revenues declined 1.0% in the quarter and increased 0.9% for the nine months. For the nine months, net revenues were $5.534 billion, net income was $355 million, and diluted EPS was $4.11, versus $6.46 a year earlier. Operating cash flow was $852 million, compared with $890 million in the prior-year period. The company is restructuring under the Global Reorganization Plan, approved May 12, 2015, which it expects to cost approximately $120 million to $150 million in total charges and to reduce annual operating expenses by approximately $110 million once substantially implemented during Fiscal 2017. Management also expects margin pressure in the near term from these investments. Leadership changed in November 2015, when Ralph Lauren became Executive Chairman and Chief Creative Officer and Stefan Larsson became President and Chief Executive Officer. The balance sheet remained solid, with cash, cash equivalents and short-term investments of $1.215 billion and total debt of $611 million, leaving net cash and investments of $612 million. During the nine months, the company repurchased $380 million of Class A stock and paid $128 million in dividends. The quarterly dividend was raised to $0.50 per share, and about $200 million remained under the repurchase authorization at quarter-end.

    Feb 4, 2016
  33. 2016-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 26, 2015

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2016 (ended September 26, 2015) reports net revenues of $1.970 billion for the three months, down 1.2% on a reported basis but up 3.9% on a constant currency basis, with net income of $160 million and diluted EPS of $1.86, versus $201 million and $2.25 a year earlier. For the six months, net revenues were $3.588 billion (down 3.1% reported, up 1.9% constant currency), net income was $224 million, and diluted EPS was $2.58. Unfavorable foreign currency effects, $26 million of restructuring and non-cash charges for the Global Reorganization Plan in the quarter ($71 million year-to-date), and $12 million of litigation settlement charges pressured margins. Operating income fell 19.8% to $230 million in the quarter, with operating margin declining 270 basis points to 11.7%. The balance sheet shows cash, cash equivalents and short-term investments of $1.126 billion, total debt of $727 million after the August 2015 issuance of $300 million 2.625% Senior Notes, and net cash and investments of $407 million, down from $620 million at fiscal year-end. Operating cash flow improved to $366 million for the six months from $275 million, mainly from working capital changes, and the company repurchased $280 million of Class A stock during the period. Management announced the Global Reorganization Plan, which is expected to reduce annual operating expenses by about $110 million once substantially implemented by the beginning of Fiscal 2017, with total estimated charges of $120 million to $150 million. The filing also discloses a pending customs audit in one international subsidiary with potential incremental duty and value-added tax of up to approximately $46 million, which management says could have a material adverse effect if the company is unsuccessful. Leadership changes are underway, with Ralph Lauren becoming Executive Chairman and Chief Creative Officer and Stefan Larsson appointed President and Chief Executive Officer effective November 2, 2015.

    Nov 5, 2015
  34. 2016-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 27, 2015

    Ralph Lauren Corporation's first-quarter Fiscal 2016 10-Q (quarter ended June 27, 2015) shows a sharp decline in profitability. Net revenues were $1.618 billion, down $90 million, or 5.3%, from $1.708 billion a year earlier; on a constant currency basis, net revenues declined 0.4%. Operating income fell $148 million, or 60.5%, to $96 million, and net income declined $98 million, or 60.6%, to $64 million, or $0.73 per diluted share versus $1.80. Management attributed the decline largely to unfavorable foreign currency effects, a shift in timing of domestic wholesale shipments, higher SG&A (50.7% of net revenues versus 46.1%), and $45 million of restructuring and non-cash charges tied to the Global Reorganization Plan, which reduced net income by $31 million, or approximately $0.36 per diluted share. The company approved the Global Reorganization Plan on May 12, 2015, which is expected to reduce annual operating expenses by approximately $100 million once substantially implemented by the end of Fiscal 2016. Total estimated charges are $70 million to $100 million. Wholesale net revenues fell 9.3% and Retail net revenues fell 2.7% as reported, with consolidated comparable store sales down 8%. Retail operating margin fell to 11.8% from 17.5%. Balance sheet and liquidity remained solid. The company ended the quarter with net cash and investments of $707 million, up from $620 million at fiscal year-end, supported by operating cash flow of $332 million. Share repurchases totaled $150 million, dividends were raised to $0.50 per quarter, and remaining repurchase authorization was approximately $430 million after a $500 million expansion. Equity declined to $3.807 billion.

    Aug 6, 2015
  35. 2015-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 27, 2014

    Ralph Lauren Corporation's third-quarter Fiscal 2015 Form 10-Q, covering the three and nine months ended December 27, 2014, reports net revenues of $2.033 billion for the quarter, up $18 million, or 0.9%, from $2.015 billion a year earlier, and net income of $215 million, down 9.1% from $237 million. Diluted EPS was $2.41 versus $2.57. Gross margin declined 120 basis points to 57.0%, which the company attributes mainly to a more promotional retail environment and a less favorable product mix in domestic wholesale. SG&A rose 2.7% to $837 million, and operating income fell 5.8% to $315 million. For the nine months, net revenues were $5.735 billion (up 2.7%) and net income was $578 million (down 7.2%), with diluted EPS of $6.46 versus $6.74. Retail was the main growth driver, with net revenues up 1.7% for the quarter on a reported basis and 4.5% on a constant currency basis. Consolidated comparable store sales were nearly flat on a constant currency basis, with e-commerce comparable sales up roughly 17% and stores excluding e-commerce declining. Wholesale revenues were essentially flat, down 0.4% as reported, with lower domestic menswear sales offset by European growth. Management says continued investment in retail stores and infrastructure will keep expense deleverage in place for the rest of the year. Balance sheet and cash flow remained solid. Operating cash flow was $890 million for the nine months, compared with $760 million a year earlier. The company repurchased $382 million of stock including tax withholdings, paid $119 million in dividends, and held a net cash and investments position of $994 million, against $987 million at fiscal year-end 2014. Short-term debt rose to $113 million from commercial paper, and a $230 million repurchase authorization remained. After the period end, the Board approved an increase in the quarterly dividend from $0.45 to $0.50 per share. The filing also discloses a customs pre-assessment in one international subsidiary that could create up to about $46 million in incremental duty and non-creditable VAT, which the company is contesting, and it notes that the Wathne litigation is now proceeding before a judge.

    Feb 4, 2015
  36. 2015-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 27, 2014

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2015, ended September 27, 2014, reports net revenues of $1.994 billion for the three months, up 4.1% on a reported basis (3.7% constant currency), with net income of $201 million and diluted EPS of $2.25, compared with $1.915 billion, $205 million and $2.23 a year earlier. For the six months, net revenues were $3.702 billion (up 3.8%) and net income was $363 million, down $23 million, or 6.1%, with diluted EPS of $4.05 versus $4.17. Management attributed the operating income decline to higher SG&A, which rose to 43.9% of net revenues for the six months from 42.4%, driven by retail store expansion, infrastructure investment and advertising, partly offset by a higher gross margin of 58.8%. The balance sheet shows cash and cash equivalents of $483 million and short-term investments of $708 million, against total debt of $510 million, consisting of $300 million of 2.125% Senior Notes and $210 million of commercial paper. Net cash and investments declined to $683 million from $987 million at fiscal year-end, as the company used cash for $281 million of share repurchases, $176 million of capital expenditures and $79 million of dividends, offsetting $275 million of operating cash flow. Inventories rose to $1.292 billion from $1.020 billion. The company disclosed a customs pre-assessment notice from an international subsidiary, which could result in up to approximately $46 million in incremental duty and non-creditable value-added tax, including about $11 million in interest and penalties, and which the company is contesting. The filing states that the company's Global Credit Facility of $500 million remained undrawn, and that the company was in compliance with its covenants. Remaining availability under the share repurchase program was approximately $330 million. The quarterly dividend was raised to $0.45 per share from $0.40 in the prior year period.

    Oct 30, 2014
  37. 2015-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 28, 2014

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2015, ended June 28, 2014, reports net revenues of $1.708 billion, up 3.4% on a reported basis (2.4% in constant currency), compared with $1.653 billion a year earlier. Net income declined to $162 million from $181 million, and diluted EPS fell to $1.80 from $1.94. The decline was driven primarily by a $32 million decrease in operating income, which the company attributes to higher SG&A as a percentage of revenue (46.1% versus 44.5%) and the absence of a prior-year $16 million gain on the Chaps Menswear acquisition, partly offset by a 30 basis point gross margin improvement to 61.0%. Wholesale revenue fell 3.7% to $708 million, largely on shipment timing, while Retail revenue rose 9.2% to $960 million, with consolidated comparable store sales up approximately 3%. Cash generation was strong, with operating cash flow of $415 million versus $295 million a year earlier, supported mainly by working capital changes. The company used cash for $211 million of stock repurchases and withholding-tax surrenders, $85 million of capital expenditures, and $40 million of dividends. Net cash and investments rose to $1.071 billion from $987 million at fiscal year-end 2014. Total equity declined to $3.972 billion from $4.034 billion, reflecting buybacks and dividends that exceeded net income. The company's quarterly dividend was raised to $0.45 per share from $0.40. Liquidity remains solid. The company had no borrowings under its $500 million Global Credit Facility, $300 million Senior Notes due 2018 remain outstanding, and it established a $300 million commercial paper program with no borrowings as of June 28, 2014. Management said current economic uncertainty and a promotional retail environment may continue to pressure sales, inventory and operating margin for the rest of Fiscal 2015, and that the Wathne Imports litigation is not expected to have a material adverse effect.

    Aug 7, 2014
  38. 2014-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 28, 2013

    Ralph Lauren Corporation's quarterly report for the third quarter of Fiscal 2014, ended December 28, 2013, shows net revenues of $2.015 billion, up 9.1% on a reported basis, with net income of $237 million and diluted EPS of $2.57, compared with $216 million and $2.31 a year earlier. Gross margin declined 110 basis points to 58.2%, mainly reflecting the inclusion of the Chaps Menswear business and unfavorable foreign currency, while SG&A improved 130 basis points as a percentage of revenue to 40.4%. Operating income rose 9.7% to $334 million. For the nine months, net revenues were $5.583 billion, up 5.3%, and net income was flat at $623 million, with diluted EPS of $6.74. Operating income declined 4.2% to $905 million and gross margin fell 160 basis points to 58.4%. The effective tax rate fell 340 basis points to 29.0%, which helped offset the lower operating income. Operating cash flow was $760 million, down from $897 million, mainly due to unfavorable working capital changes. Capital expenditures were $295 million, and the company repurchased $408 million of stock and paid $109 million in dividends. The balance sheet shows cash and cash equivalents of $882 million and short-term investments of $533 million, against $300 million of 2.125% Senior Notes due 2018. Net cash and investments were $1.120 billion, versus $1.113 billion at fiscal year-end 2013. The board approved an additional $500 million stock repurchase authorization on February 4, 2014, and about $230 million remained under the existing program at quarter end. Management noted that consumer traffic in stores remains weak and that the environment has become more promotional.

    Feb 5, 2014
  39. 2014-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 28, 2013

    Ralph Lauren Corporation's second-quarter Fiscal 2014 Form 10-Q (quarter ended September 28, 2013) reports net revenues of $1.915 billion for the three months, up 2.9% from $1.862 billion, and $3.568 billion for the six months, up 3.3%. Net income was $205 million for the quarter, down 3.7% from $214 million, and $386 million for the six months, down 5.1%. Diluted EPS was $2.23 for the quarter and $4.17 for the six months, versus $2.29 and $4.32 a year earlier. Operating income fell 15.2% in the quarter to $295 million, with operating margin compressing 330 basis points to 15.4% as gross margin declined 220 basis points to 56.6%, driven by unfavorable foreign currency, geographic mix, the Chaps Menswear business, and lower concession-shop profitability. The company cited weak consumer spending, inconsistent retail traffic, and a highly promotional environment, with Japan and South Korea especially affected. Cash generation weakened, with operating cash flow of $220 million versus $307 million, and capital expenditures rose to $214 million from $117 million, largely tied to retail store expansion. The company issued $300 million of 2.125% Senior Notes due 2018 in September 2013 to fund repayment of its €209 million Euro Debt maturing October 4, 2013. Net cash and investments declined to $835 million from $1.113 billion at fiscal year-end. Share repurchases were $210 million in the six months, and the company has approximately $427 million remaining under its repurchase program. On November 5, 2013, the Board approved a quarterly dividend increase from $0.40 to $0.45 per share. The filing notes that the Wathne Imports litigation remains pending, with management not expecting a material adverse effect, and that no material changes to risk factors were identified since the Fiscal 2013 10-K.

    Nov 6, 2013
  40. 2014-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 29, 2013

    Ralph Lauren Corporation's Form 10-Q for the first quarter of Fiscal 2014, ended June 29, 2013, reports net revenues of $1.653 billion, up 3.7% from $1.593 billion a year earlier, while net income declined to $181 million from $193 million and diluted EPS fell to $1.94 from $2.03. Gross margin declined 160 basis points to 60.7%, mainly due to a less favorable product mix from the Chaps Menswear Business acquired in April 2013, unfavorable foreign currency effects, and a less favorable geographic mix. Operating income fell 5.5% to $276 million, though it included a $16 million non-recurring gain on the Chaps acquisition. Wholesale revenues rose 5.9% to $735 million and Retail rose 2.5% to $879 million, while European wholesale and Asian businesses weakened. Cash flow and balance sheet activity centered on shareholder returns and investment. Operating cash flow was $295 million, versus $269 million a year earlier. The company spent $201 million on Class A share repurchases, $66 million on capital expenditures and $36 million on dividends. Net cash and investments declined to $1.089 billion from $1.113 billion at fiscal year-end 2013. Total equity was $3.761 billion. The company said the global retail environment remains promotional and that European wholesale softness continues. The filing also notes a new Fifth Avenue flagship lease with a total commitment of $235 million, a $50 million prepaid share repurchase program entered in June 2013, a Euro Debt maturity of €209 million due October 4, 2013, and a quarterly dividend of $0.40 per share. The Wathne Imports litigation remains pending, and management does not expect a material adverse effect from it.

    Aug 8, 2013
  41. 2013-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 29, 2012

    Ralph Lauren Corporation's 10-Q for the third quarter of Fiscal 2013 (ended December 29, 2012) reported net revenues of $1.846 billion, up 2.2% from $1.806 billion a year earlier, and net income attributable to RLC of $215.7 million, up 27.6%. Diluted EPS rose to $2.31 from $1.78. Gross margin rose 220 basis points to 59.3%, reflecting lower sourcing costs and favorable product mix. The filing attributes the revenue increase mainly to retail, with wholesale revenue down 2.1%, and notes that comparability was affected by $12.9 million of pretax Rugby Closure Plan charges and a $15.4 million tax benefit from a tax examination settlement. Operating income rose 12.7% to $304.4 million, and the effective tax rate fell 870 basis points to 26.8%. For the nine months, net revenues were $5.302 billion (up 1.2%), net income was $622.8 million, and diluted EPS was $6.63. Operating cash flow was $897.3 million, compared with $784.2 million a year earlier. Capital expenditures were $195.0 million, the company repurchased $496.7 million of stock including shares withheld for taxes, and it paid $127.8 million in dividends. Net cash and investments stood at $1.127 billion at December 29, 2012, compared with $1.013 billion at March 31, 2012, and the company had no borrowings under its $500 million Global Credit Facility. Management cautions that European wholesale remains soft and that declining comparable store sales trends continued in certain Japan and Korea retail operations. It expects weak global consumer spending to negatively affect sales and operating margin for at least the rest of the fiscal year. The Rugby brand is being discontinued, with 14 stores to close by the end of Fiscal 2013 and roughly 190 employees affected, and about $10 million of additional restructuring costs are expected in the fourth quarter.

    Feb 6, 2013
  42. 2013-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Sep 29, 2012

    Ralph Lauren Corporation's Form 10-Q for the second quarter of Fiscal 2013 (ended September 29, 2012) reported net revenues of $1.862 billion, down 2.2% from $1.905 billion a year earlier, as lower wholesale revenues and unfavorable foreign currency effects offset growth in Retail. Net income attributable to RLC was $213.7 million, down 8.5% from $233.5 million, and diluted EPS was $2.29 versus $2.46. The filing attributes the earnings decline primarily to a 480 basis point increase in the effective tax rate to 37.6%, which reflects a $15.5 million reserve for an interest assessment on a prior-year withholding tax, while gross margin rose 220 basis points to 58.8% on lower sourcing costs. Operating income was roughly flat at $348.3 million, and SG&A rose 2.8% to $740.2 million. For the six months, net revenues were $3.455 billion (up 0.7%) and net income was $407.1 million (down 2.5%). Cash from operations rose to $306.7 million. The company repurchased $346.7 million of stock including shares withheld for taxes, spent $117.3 million on capital expenditures, and paid $55.0 million in dividends. Net cash and investments stood at $831.9 million at quarter end, down from $1.013 billion at March 31, 2012. The filing states that management expects weak consumer spending to have a negative effect on sales and operating margin for at least the rest of the fiscal year, citing continued softness in European wholesale and declining comparable store sales in parts of Asia. Subsequent events include the October 30, 2012 decision to discontinue the Rugby brand, with pretax charges of $20 million to $30 million expected in the second half of Fiscal 2013, and a preliminary IRS settlement expected to produce a tax benefit of $12 million to $15 million in the third quarter. The filing also notes that the Wathne litigation was reversed in part by the Appellate Division on October 18, 2012, with no trial date set and no expected material adverse effect.

    Nov 2, 2012
  43. 2013-Q1

    Ralph Lauren Quarterly Report for Q1 Ended Jun 30, 2012

    Ralph Lauren Corporation's quarterly report for the first quarter of Fiscal 2013 (three months ended June 30, 2012) shows net revenues rising 4.4% to $1.593 billion from $1.526 billion a year earlier, with net income attributable to RLC up 5.1% to $193.4 million and diluted EPS up 6.8% to $2.03. Operating income increased $9.9 million to $292.0 million, but operating margin slipped 20 basis points to 18.3% as gross margin declined 70 basis points to 62.3%, driven by sourcing cost pressures in global retail and a less favorable customer mix in European wholesale. Management said the quarter's revenue growth was driven by domestic wholesale and retail, partly offset by weaker European wholesale and unfavorable foreign currency effects, and it warned that a weak macro environment is expected to pressure sales and operating margin for at least the rest of the fiscal year. Cash generation was strong, with operating cash flow of $268.7 million versus $212.4 million a year earlier, but the company returned significant capital: it repurchased $346.5 million of stock including shares withheld for taxes, spent $61.6 million on capital expenditures, and paid $18.5 million in dividends. Net cash and investments fell to $852.6 million from $1.013 billion at March 31, 2012, and equity declined to $3.472 billion. The Board approved an additional $500 million share repurchase authorization on August 9, 2012, and the quarterly dividend was raised to $0.40 per share from $0.20 earlier in the year. The balance sheet remains conservative, with $468.5 million of cash, $563.0 million of short-term investments, $261.0 million of Euro-denominated debt due October 2013, and no borrowings under the $500 million Global Credit Facility. The company disclosed the ongoing Wathne Imports litigation, which management does not expect to have a material adverse effect, and a shareholder derivative action that was dismissed on June 19, 2012 for failure to make a pre-suit demand, with a new demand made July 5, 2012.

    Aug 9, 2012
  44. 2012-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 31, 2011

    Ralph Lauren Corporation (filed as Ralph Lauren Corporation, formerly Polo Ralph Lauren Corporation) reported its third-quarter Fiscal 2012 results for the 13-week period ended December 31, 2011. Net revenues rose 16.6% to $1.806 billion from $1.548 billion a year earlier, driven by higher comparable global retail store sales, the inclusion of the South Korea business acquired January 1, 2011, and higher U.S. and European wholesale revenues. Gross margin declined 150 basis points to 57.1% due to substantial sourcing cost increases, particularly in Wholesale, and an unfavorable European channel mix. Operating income rose 9.7% to $270.1 million, and net income attributable to RLC was $169.0 million, or $1.78 per diluted share, versus $1.72 a year earlier. The effective tax rate rose 610 basis points to 35.5%, which largely offset the operating income gain. For the nine months ended December 31, 2011, net revenues increased 23.7% to $5.237 billion and net income attributable to RLC increased 18.6% to $586.6 million, or $6.14 per diluted share. Operating cash flow was $784.2 million, up from $594.3 million. The company repurchased $419.4 million of stock, spent $160.1 million on capital expenditures, and paid $55.8 million in dividends. At December 31, 2011, the company reported cash and cash equivalents of $815.8 million, short-term investments of $386.3 million, and a net cash and investments position of $1.009 billion. It had no borrowings under its $500 million Global Credit Facility. Management stated that sourcing cost pressures are expected to continue to weigh on gross margins for at least the remainder of Fiscal 2012. The filing also discloses the planned discontinuance of most American Living products sold to J.C. Penney, a Greater China restructuring plan with anticipated pretax charges of $5 million to $10 million, and the pending Wathne Imports litigation, for which management does not expect a material adverse effect.

    Feb 8, 2012
  45. 2012-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Oct 1, 2011

    Ralph Lauren Corporation (filed as Polo Ralph Lauren Corporation; name changed August 15, 2011) reported its second quarter of Fiscal 2012, ended October 1, 2011. Net revenues rose 24.3% to $1,904.6 million for the quarter, and net income attributable to RLC increased 13.8% to $233.5 million, or $2.46 per diluted share. For the six months, net revenues were $3,431.0 million (up 27.8%) and net income was $417.6 million ($4.35 per diluted share). Gross margin declined to 56.6% in the quarter, which management attributes primarily to sourcing cost pressures, particularly in the Wholesale segment. Retail net revenues grew 30.7% in the quarter, and comparable store sales rose 13% as reported. Management noted that Retail comparable store sales growth weakened beginning in September 2011, particularly in the U.S. and Europe, and expects sourcing cost pressures to continue to significantly weigh on gross profit percentages for the rest of Fiscal 2012. Balance sheet and liquidity remained solid but changed during the period. Net cash and investments declined to $605.7 million from $838.6 million at fiscal year-end, mainly because of $417.8 million in share repurchases and $92.4 million in capital expenditures, partly offset by $283.5 million of operating cash flow. The company drew $100.0 million on its Global Credit Facility, which it repaid in November 2011. Total equity rose to $3,383.9 million. Remaining availability under the repurchase program was approximately $579 million. The filing states that there are no material changes to previously disclosed risk factors. It also discloses the Wathne Imports litigation, which management does not expect to have a material adverse effect on the financial statements.

    Nov 9, 2011
  46. 2012-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 2, 2011

    Polo Ralph Lauren Corporation reported net revenues of $1.526 billion for the first quarter of Fiscal 2012 (ended July 2, 2011), up $373.1 million, or 32.4%, from $1.153 billion in the prior-year quarter. Excluding foreign currency effects, net revenues increased 28.1%. Net income attributable to PRLC rose $63.3 million, or 52.4%, to $184.1 million, and diluted earnings per share rose to $1.90 from $1.21. Operating income increased $107.9 million, or 61.9%, to $282.1 million, and operating margin expanded to 18.5% from 15.1%. Gross margin improved 120 basis points to 63.0%, driven by higher full-price sell-throughs and decreased promotional activity, partially offset by sourcing cost pressures in wholesale. The company expects these sourcing cost pressures to weigh more heavily on gross profit percentages in the second quarter and for the remainder of Fiscal 2012. Retail was the main growth driver, with segment net revenues up 37.3% to $813.5 million and segment operating margin rising 380 basis points to 21.3%. Wholesale revenues rose 28.7% to $673.0 million. Comparable store sales increased 19% as reported and 15% excluding foreign currency. The South Korea Licensed Operations Acquisition, completed January 1, 2011, contributed to revenue growth, and the Company disclosed a Greater China restructuring plan expected to produce pretax charges of approximately $10 million in Fiscal 2012. Financially, the Company generated $212.4 million of operating cash flow and repurchased $324.5 million of stock, including shares withheld for taxes. Its net cash and investments position declined to $676.7 million from $838.6 million at fiscal year-end, and total equity decreased to $3.202 billion from $3.305 billion. The Board expanded the repurchase program by $500 million in May 2011, leaving approximately $670 million available as of July 2, 2011. The quarterly dividend was increased to $0.20 per share from $0.10.

    Aug 11, 2011
  47. 2011-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Jan 1, 2011

    Polo Ralph Lauren Corporation reported net revenues of $1.548 billion for the third quarter of Fiscal 2011 (ended January 1, 2011), up 24.4% from $1.244 billion a year earlier, and net income attributable to PRLC of $168.4 million, or $1.72 per diluted share, versus $111.1 million, or $1.10 per diluted share. For the nine months, net revenues were $4.233 billion (up 16.2%) and net income was $494.4 million, or $5.01 per diluted share. Growth was driven by higher comparable global retail store sales (up 15% in the quarter and 10% for the nine months as reported), the Asia-Pacific Licensed Operations Acquisition, and higher wholesale revenues. Gross margin rose to 58.6% in the quarter and 59.2% for the nine months, while the filing notes that cost inflation in raw materials and labor is expected to pressure gross margins for the remainder of Fiscal 2011 and more significantly in Fiscal 2012. The balance sheet remained strong, with cash and cash equivalents of $643.4 million, short-term investments of $599.4 million, and a net cash and investments position of $1.033 billion, compared with $940.6 million at fiscal year-end 2010. Operating cash flow was $594.3 million for the nine months, down from $804.3 million, primarily due to working capital timing, including higher inventory of $697.7 million. The company acquired its South Korea licensed operations from Doosan on January 1, 2011 for approximately $47 million (excluding transaction costs) and repurchased $347.7 million of stock during the nine months. Management also approved an additional $250 million share repurchase authorization and raised the quarterly dividend from $0.10 to $0.20 per share on February 8, 2011. The filing states there are no material changes to risk factors disclosed in the Fiscal 2010 10-K, and that the company's five key department-store customers represented approximately 30% of gross accounts receivable as of January 1, 2011. Pending litigation, including the Wathne Imports matter, is not expected by management to have a material adverse effect on liquidity or financial position.

    Feb 9, 2011
  48. 2011-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Oct 2, 2010

    Polo Ralph Lauren Corporation reported net revenues of $1.532 billion for the second quarter of Fiscal 2011 (ended October 2, 2010), up $157.9 million, or 11.5%, from $1.374 billion a year earlier. Net income attributable to PRLC rose to $205.2 million, or $2.09 per diluted share, compared with $177.5 million, or $1.75 per diluted share. Operating income increased $61.5 million, or 25.0%, to $307.4 million, and gross profit as a percentage of net revenues rose 90 basis points to 58.0%, driven by fewer promotions and higher full-price sell-throughs. For the first half of Fiscal 2011, revenues were $2.685 billion and net income was $326.0 million, or $3.30 per diluted share. The balance sheet remained strong, with cash and cash equivalents of $435.9 million, short-term investments of $500.4 million, and total equity of $3.173 billion. However, net cash and investments declined to $712.2 million from $940.6 million at the end of Fiscal 2010, reflecting $347.7 million in share repurchases and $93.8 million in capital expenditures. Operating cash flow fell to $224.0 million from $320.5 million in the prior-year period, mainly due to higher inventory and accounts receivable. Management expects macroeconomic pressures and inflation in raw material and labor costs to weigh on sales and gross margins in the second half of Fiscal 2011 and into Fiscal 2012. Pending transactions include an agreement with Doosan Corporation to take direct control of the Polo-branded licensed apparel and accessories businesses in South Korea effective January 1, 2011, for approximately $25 million plus about $22 million for inventory and other net assets. The company also has a $450 million unsecured revolving credit facility, with no borrowings outstanding as of October 2, 2010. The filing reports no material changes to risk factors.

    Nov 10, 2010
  49. 2011-Q2

    Ralph Lauren Quarterly Report for Q2 Ended Jul 3, 2010

    Polo Ralph Lauren Corporation (PRLC) reported net revenues of $1.153 billion for the first quarter of Fiscal 2011 (ended July 3, 2010), up 12.7% from $1.024 billion a year earlier. Net income attributable to PRLC rose to $120.8 million from $76.8 million, and diluted EPS increased to $1.21 from $0.76. The increase was driven by higher Wholesale and Retail revenues, a gross profit margin of 61.8% (up 310 basis points), and the inclusion of the newly acquired Asia-Pacific Polo-branded apparel business. Operating income rose 49.3% to $174.2 million. Cash generation weakened and capital deployment increased. Operating cash flow was $171.4 million versus $292.3 million a year earlier, and the company repurchased $247.0 million of stock, including shares withheld for taxes. Capital expenditures were $38.5 million. Cash and cash equivalents fell to $345.8 million, and net cash and investments declined to $800.9 million from $940.6 million at fiscal year-end. Total equity decreased to $2.966 billion from $3.117 billion, primarily due to share repurchases. Management expects macroeconomic pressures, including inflationary raw material and labor costs and labor shortages in certain manufacturing regions, to weigh on product costs and gross margins beginning in the second half of Fiscal 2011. The company also agreed in July 2010 to assume direct control of its South Korea licensed apparel and accessories business effective January 1, 2011, for approximately $25 million plus about $22 million for inventory and other net assets, and a $250 million share repurchase authorization was approved on August 5, 2010.

    Aug 10, 2010
  50. 2010-Q3

    Ralph Lauren Quarterly Report for Q3 Ended Dec 26, 2009

    Polo Ralph Lauren Corporation reported its third quarter of Fiscal 2010 (quarter ended December 26, 2009) with net revenues of $1.244 billion, down 0.6% from $1.252 billion a year earlier, and net income of $111.1 million, or $1.10 per diluted share, versus $105.3 million and $1.05 per diluted share in the prior-year quarter. The decline in revenue was driven by lower Wholesale sales, partly offset by a net increase in comparable global Retail store sales and favorable foreign currency effects. Gross profit as a percentage of net revenues rose 470 basis points to 58.2%, reflecting decreased promotional activity and improved inventory management, while SG&A expenses increased to 43.4% of net revenues, driven by higher incentive-based compensation and new business initiatives. For the nine months ended December 26, 2009, net revenues were $3.642 billion, down 4.0%, and net income was $365.4 million, or $3.60 per diluted share, compared with $361.5 million and $3.56 a year earlier. Operating income declined 3.8% to $535.1 million, but a lower effective tax rate of 30.0% (versus 34.1%) lifted net income. Cash from operations rose to $804.3 million, and the company ended the period with $1.036 billion in net cash and investments, up from $443.2 million at fiscal year-end 2009. Equity increased to $3.076 billion. The filing also notes capital allocation actions and balance-sheet changes: the company repurchased €90.8 million of its 4.5% Euro notes for $121.0 million in July 2009, repurchased 1.9 million Class A shares for $138.3 million, and raised its quarterly dividend from $0.05 to $0.10 per share. It completed the Southeast Asia Licensed Operations Acquisition from Dickson Concepts for an initial payment of approximately $20 million on December 31, 2009. Management states that the global economic environment will likely continue to weigh on sales and operating margins across all segments.

    Feb 4, 2010