$RL · RALPH LAUREN CORP
Ralph Lauren filed its Q2 FY2027 10-Q (quarter ended September 26, 2026). Net revenues grew 9.1% YoY to $2,193.3M, gross margin expanded to 74.2%, and net income rose to $296.6M from $207.5M. Diluted EPS was $4.87 versus $3.32. Operating income climbed to $363.7M from $245.7M, though restructuring and other charges increased to $63.2M from $37.3M.
- Net revenue +9.1% YoY to $2,193.3M; six-month revenue $4,153.1M vs $3,729.8M.
- Diluted EPS $4.87 vs $3.32; net income $296.6M vs $207.5M.
- Gross margin 74.2%; operating margin 16.6%.
- Asia segment revenue +28% YoY to $571.3M; North America +6.4% to $885.6M.
- Repurchased $626.6M of common stock in six months; dividends declared $1.00/share.
Shares fell 7.32% to $381.88 in the regular session, and are down 3.36% from the filing-time price of $395.15, suggesting the market is discounting the strong headline results despite the beat.
A double-digit EPS gain and 9% revenue growth were met with a 7% selloff, flagging investor concern over restructuring costs and inventory build.
Luxury apparel peers are navigating uneven regional demand; Ralph Lauren's Asia outperformance contrasts with softer North America wholesale trends.
Restructuring and other charges rose to $63.2M from $37.3M, and inventories climbed to $1,151.2M from $1,014.3M, signaling potential demand or supply-chain pressure.