Ralph Lauren Suffers with Profits Sinking 10.5 Percent in First Quarter

Ralph Lauren Corp. reported a drop in its fiscal first-quarter profits, which comes as a huge disappointment for the high-end clothing company. According to The Wall Street Journal, the company’s earnings fell just over 10 percent due to a continuation of expansion costs.

Even with revenue growth, however, Ralph Lauren still fell short because of expenses from other areas. The Associated Press found that the company’s profits fell $162 million from $181 million, equivalent to $1.80 per share, which actually exceeded analysts’ expectations of $1.75 per share.

“Our better-than-expected first quarter profitability reflects excellent progress on our strategic initiatives, including double-digit revenue growth for our international and global e-commerce operations,” said President and Chief Operating Officer Jacki Nemerov, according to RTT News.

The company is expecting to raise revenue sales in the next bit, which is due in part to the projected opening of a 20,000-square-foot Ralph Lauren store in China. According to The Wall Street Journal, Ralph Lauren’s Chairman and Chief Executive called the opening “critical.” The first flagship Polo store will also make its debut in New York City closer to the end of the month, which should bring in substantial earnings as well.

Now directing its attention to the next fiscal quarter, the company is aiming for an increase from 4-6 percent of net revenue, according to RTT News. Revenue growth is anticipated to expand from 6-8 percent for 2015 as well.

“We are making the right strategic decisions and investments to support our long-term growth objectives,” said CEO Ralph Lauren, according to RTT News.

Image Credit: via flickr/SimonQ錫濛譙

About Contributing Writer

There is a ubiquitous sensation amongst those who love writing, an intangible happiness that doesn’t arise from any other form of artistic expression.

Have a tip we should know? tips@rhd.news


Most Read

  1. ARTS
    With a Vengeance and no Apologies, Art Basel Miami Beach Has Returned
    10 months ago
  2. Food
    Is Faux Turkey Finally Vegan-Approved for Thanksgiving?
    10 months ago
  3. News
    Pandora Papers Financial Leak Shows Us the Secrets of the World’s Rich and Powerful
    12 months ago
  4. Health
    US Supreme Court Rejects J & J TALC Cancer Case Appeal
    1 year ago
  5. Lifestyle
    9 Habits that Drain your Daily Focus and How to Avoid Them
    1 year ago
    Women’s Demand for Shapewear – the big Trends
    1 year ago
    Valentino Launches its Cosmetics Line
    1 year ago
  8. Business
    McDonald’s Sales Increase Amid COVID Restrictions
    1 year ago
  9. Health
    US Promises to Share 60 million Doses of AstraZeneca Vaccines
    1 year ago
  10. coronavirus
    UK Offers Aid Amid Surging COVID-19 Cases in India
    1 year ago
  11. Entertainment
    Nomadland Director Chloé Zhao, Wins the Best Director in 2021 Oscar
    1 year ago
  12. Asia
    Pakistan floods: ‘The water came and now everything is gone’
    4 weeks ago
  13. News
    Iraq: At least 23 dead amid fighting after Moqtada al-Sadr quits
    4 weeks ago
  14. News
    Pakistan floods are ‘a monsoon on steroids,’warns UN chief
    4 weeks ago
    Pakistan floods: Desperation and displacement in Sindh province
    4 weeks ago
  16. Enviroment
    Climate change: Russia Burns off Gas as Europe’s Energy Bills Rocket
    1 month ago
  17. News
    Ukraine war: Russia railway station strike kills 25, injures dozens
    1 month ago
  18. News
    Sewage in sea: French appeal to EU over UK discharges of waste
    1 month ago

Follow @rushhourdaily: