Ralph Lauren reports positive financials for Q4 and FY Fiscal 2014
Ralph Lauren Corporation reports better-than-expected Fourth Quarter and Full Year Fiscal 2014 sales and profits In the fourth quarter ended March 29 , Ralph Lauren Corporation net profit increase by 20% to US$153 million compared to US$127 the previous year. On an annual basis net profit reached US$ 776 milion (+3%).
“Another record-breaking fiscal year in terms of sales and profits ,” according to the chairman and CEO Ralph Lauren , noting the actions taken , including a new leadership structure and li’nnovazione of product, especially in terms of accessories and womenswear Polo .
In the last quarter sales were up 14% to $ 1.9 billion. In the 12 months , however, totaled 7.4 billion (+7 %). EBIT in the Q4 totaled US$ 225 million , an increase of 24%. Full year sales were slightly higher than the previous year, to US$ 1.1 billion , a figure that, as explained by the company, was affected by higher costs on the retail front , investment in e-commerce , the negative impact of currencies and more promotions in the United States.
By the end of the new year, Ralph Lauren Corporation expects an increase in turnover of between 6% and 8% , but a decline in operating margins (estimated between 0.75 % and 1 , 25%), due to higher investments in distribution infrastructure, advertising and marketing.
Announcing the results , the American fashion house announced that the executive vice chairman Roger Farah will retire at the end of May, but will remain on the board until the date of the shareholder meeting ( agenda to August 2014 ) . The top management of the corporation will be composed by the founder Ralph Lauren and Jacki Nemerov (President and COO), Chris Peterson (Executive Vice President , CAO and CFO ) and Valérie Hermann ( President of Ralph Lauren Luxury Collections).