Ralph Lauren Corp reports unexpected 35% profit increase for Q4
Ralph Lauren Corporation reports 35% increase in its net profit for the fourth quarter of fiscal year 2012/2013, to a total of 127 million dollars and a 33% increase in operating profit to 182 million dollars. The company’s turnover registered a modest 1 percent increase to 1,6 billion dollars, burdened by wholesale (-4%) compared to the +7% for the retail, Europe being the most affected market for Ralph Lauren. Full year turnover for Ralph Lauren Corp totalled 6,9 billion dollars, a 1% increase on the previous year.
The results, announced Thursday, show how Ralph Lauren Corp is seeing increasing profits since the first half of its fiscal year, when cotton costs soared and the company was bearing the brunt of the costs of eliminating certain businesses such as its Rugby brand. “Our better-than-expected profitability in the fourth quarter and full year fiscal 2013 periods is a direct result of the strong operational management of our global teams,” Roger Farah, president and chief operating officer, said in a statement. “Enhanced profit flow-through was achieved despite sustained macroeconomic challenges and strategic decisions that mitigated revenue growth during the year.”
On June 6th, Ralph Lauren will showcase its very first Resort Collection, in New York, within its Madison Avenue flagship store.