US fashion firm Ralph Lauren’s revenue increases 3% to $6.6 bn in FY24

American firm Ralph Lauren Corporation, a leading company in design, marketing, and distribution of luxury lifestyle products, has reported a 3 per cent increase in revenue in fiscal 2024 (FY24), reaching $6.6 billion on both a reported and constant currency basis.

North America, however, saw a 2 per cent decline in revenue, totalling $3.0 billion. In contrast, Europe experienced a 7 per cent rise in revenue to $2 billion, which equates to a 3 per cent increase in constant currency. Asia showed the most substantial growth, with a 10 per cent revenue increase to $1.6 billion, and an even higher 14 per cent rise in constant currency, Ralph Lauren Corporation said in a press release.

Ralph Lauren reported a 3 per cent revenue increase in FY24, reaching $6.6 billion.
North America revenue fell 2 per cent, while Europe and Asia grew 7 per cent and 10 per cent, respectively.
Gross profit was $4.4 billion with a 66.8 per cent margin.
Net income was $646 million, or $9.71 per share.
In Q4 FY24, revenue increased 2 per cent to $1.6 billion.

The company’s gross profit for FY24 was $4.4 billion, with a gross margin of 66.8 per cent, marking an improvement of 190 basis points from the previous year. Operating expenses for the fiscal stood at $3.7 billion.

Operating income for FY24 was $756 million, resulting in an operating margin of 11.4 per cent on a reported basis. On an adjusted basis, operating income was $826 million, with an operating margin of 12.5 per cent, 50 basis points higher than the previous year. Net income for FY24 was $646 million, or $9.71 per diluted share on a reported basis. Adjusted net income was $686 million, or $10.31 per diluted share. This compares to the previous fiscal’s net income of $523 million, or $7.58 per diluted share on a reported basis, and adjusted net income of $576 million, or $8.34 per diluted share.

In the fourth quarter of fiscal 2024 (Q4 FY24), Ralph Lauren saw a 2 per cent increase in revenue, reaching $1.6 billion on a reported basis and up 3 per cent in constant currency. North America’s revenue grew by 2 per cent to $668 million. Europe also saw a 2 per cent rise in revenue to $469 million on a reported basis, with slight growth in constant currency. Asia’s revenue increased by 1 per cent to $394 million on a reported basis, and 7 per cent in constant currency.

The gross profit for Q4 FY24 was $1 billion, with a gross margin of 66.6 per cent. Operating expenses for the quarter were $936 million on a reported basis, and $907 million on an adjusted basis, representing a 3 per cent increase from last year. Operating income for the fourth quarter was $108 million, resulting in an operating margin of 6.9 per cent on a reported basis. Net income for Q4 FY24 was $91 million, or $1.38 per diluted share on a reported basis.

“Our teams delivered continued progress on our strategic and financial commitments in year two of our Next Great Chapter: Accelerate plan,” said Patrice Louvet, president and chief executive officer. “Supported by our increasing brand desirability and multiple engines of growth, this year’s performance underscores the strength of our long-term strategy, even as we navigate a highly dynamic global operating environment.”

Fibre2Fashion News Desk (DP)