Overview

* Ralph Lauren ( RL ) fiscal Q2 revenue grows 17% yr/yr, beating analyst expectations

* Adjusted EPS for fiscal Q2 beats consensus, reflecting strong operational performance

* Company raises full-year fiscal 2026 outlook, citing strong first-half performance

Outlook

* Ralph Lauren ( RL ) raises full-year revenue outlook to increase 5% to 7% in constant currency

* Company expects full-year operating margin to expand 60 to 80 basis points in constant currency

* Ralph Lauren ( RL ) anticipates mid-single-digit revenue growth in Q3 on a constant currency basis

Result Drivers

* GLOBAL REVENUE GROWTH - Double-digit revenue growth in all regions, led by Asia and Europe, with North America also showing strong performance

* DIRECT-TO-CONSUMER SALES - Global direct-to-consumer comparable store sales grew 13%, driven by broad-based performance across regions and channels

* GROSS MARGIN EXPANSION - Gross margin increased by 100 basis points, driven by AUR growth, favorable product mix, and lower cotton costs

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $2 bln $1.89

Revenue bln (14

Analysts

)

Q2 Beat $3.79 $3.44

Adjusted (14

EPS Analysts

)

Q2 EPS $3.32

Q2 Gross 68.00%

Margin

Q2 12.20%

Operatin

g Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 16 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the apparel & accessories peer group is "buy"

* Wall Street's median 12-month price target for Ralph Lauren Corp ( RL ) is $352.00, about 10% above its November 5 closing price of $316.90

* The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 21 three months ago

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)