Ralph Lauren Q3 Sales Jump 10% to $1.99B, EPS Beats, Outlook Raised
Ralph Lauren reported Q3 revenue of $1.99B, up 10% year-over-year, exceeding consensus by $50M and delivered EPS of $2.15 versus $1.75 a year ago. The company raised its full-year revenue growth forecast to 8% and lifted EPS guidance to $7.30 from $7.00.
1. Q3 Financial Results
Ralph Lauren delivered Q3 revenue of $1.99B, up 10% year-over-year, exceeding estimates by $50M, and reported EPS of $2.15 versus $1.85 expected. Gross margin expanded by 220 basis points to 68%, driven by higher full-price sales and improved product mix.
2. Guidance Adjustment
The company raised its full-year revenue growth outlook to 8% from 6% and increased EPS guidance to $7.30 from $7.00, citing stronger-than-anticipated holiday order trends and operational leverage.
3. Business Drivers
Direct-to-consumer sales climbed 14% year-over-year, led by an 18% increase in digital channels, while international revenue grew 12%, supported by robust demand in Asia Pacific and EMEA markets.