Ralph Lauren reports $1.8 billion revenue in Q3

Ralph Lauren has revealed that all regions have seen double-digit growth in its third quarter results, with overall revenue increasing 27% to £1.3 billion ($1.8 billion).

The company's European revenue in Q3 increased by 47% to £340 million ($463 million) on a reported basis and increased by 50% in constant currency. In retail, comparable store sales in Europe were up 55%, with a 68% increase in brick and mortar stores and a 27% increase in ecommerce.

European wholesale revenue was up 45% on a reported basis and increased 48% in constant currency.

Gross profit for the quarter was £883 million ($1.2 billion) and gross margin was 66% on both a reported basis and an adjusted basis. Net income in the third quarter of fiscal 2022 reached £160 million ($218 million), in comparison to $125 million in the same period last year.

Ralph Lauren highlights its success in fuelling strong consumer engagement through diverse content and accelerated marketing investments, driving growth in global brand consideration and purchase intent in Q3.

For the fourth quarter, revenues are expected to increase approximately 17% to 18% in constant currency to last year.

Patrice Louvet, President and CEO at Ralph Lauren, said: "We were pleased to report strong third quarter performance during the important holiday season.

“Our better-than-expected results across all three regions are a testament to the outstanding work our teams have done to fundamentally reposition our business and elevate our brand. With our significant reset work behind us, we are encouraged that our long-term growth is supported by multiple engines – from geographic and channel expansion to recruiting new high-value consumers and developing high-potential product categories."