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Diving briefs:
Posted by Ralph Lauren Corporation Net revenue for the third quarter was $2.1 billion According to a release on Thursday, the company’s estimates for 2025, which increased 11% year-on-year for fiscal year 2025.
Global DTC sales increased nearly 12%, while global wholesale rose nearly 9% over that period. Revenues in Europe and Asia increased by 16% and 14% respectively, with China in particular increasing by more than 20%. North American revenues increased by 7%.
Due to strong results, the company raised its 2025 outlook from 3% to 4% growth in its second quarter forecast to 6% to 7% growth.
Dive Insights:
Includes competing luxury companies LVMH and Burberry Reported single-digit revenues fell last month over the previous month, Ralph Lauren is bucking the trend with robust holiday sales and improvements in all regions.
“Our teams around the world run very well across this holiday region, channel and category, and the next great chapter in the long term, Accelerate Strategy,” said Patrice Louvet in the release. “We are encouraged by our strong performance this quarter and continue to focus sharply on what’s to come.”
The company is like that Overtake the rest of the market For a while, it “represents the growing gap between the iconic brand and the rest of the pack.”
He attributed its success to several factors, including the brand’s ability to remain true to its legacy.
“This quiet approach to luxury plays well because consumers are good at investing in premium pieces that extend their lifespan and that it gets value,” Sanders said.
He said that US consumers, particularly investing in more expensive clothing and accessories, especially around holidays, and Ralph Lauren “interprets this desire by offering modest and elegant pieces that resonate with consumers. That’s a great job,” he added. .
Ralph Lauren made brand engagement a priority, Sanders said.
“Initiatives such as holiday pop-up events in major cities worked just as well as broader marketing and advertising campaigns,” Sanders said. Shoppers.
“It’s unreasonable to expect some of the holiday heat to go forward and there will be a lot of punches in the final quarter,” Sanders said. “But this quarter’s profit added to the satisfying performance of previous quarters, allowing Ralph Lauren to close the fiscal year style.”
