Ralph Lauren Rockets Higher on Holiday Performance; Shares up 10%

This post was originally published on this site
https://i-invdn-com.akamaized.net/news/LYNXMPED770UO_M.jpg
© Reuters. © Reuters.

By Kim Khan

Investing.com – Ralph Lauren (NYSE:) rose higher Tuesday after a blowout quarter that put to bed concerns about Hong Kong dragging numbers down.

Shares of Ralph Lauren jumped 10% in midday trading.

The luxury clothing company reported of $2.86 per share, well ahead of the $2.44 per share expected, according to analysts’ forecasts compiled by Investing.com.

Sales came in at $1.75 billion, beating estimates of $1.72 billion.

Same-store sales in the U.S. rose 2% for the quarter. Asian same-store sales posted a gain of 1%.

Weakness in Hong Kong, where protests have enveloped the administrative region, was offset by growth in brick-and-mortar sales and e-commerce, Briefing.com reported.

The company said it was assessing the financial impact of shutting about half of its 110 stores in China due to the coronavirus outbreak. It gets about 4% of its total revenue from China, a growth market for luxury goods makers.

Looking ahead, Ralph Lauren expects 2020 net revenue growth of 2% to 3%.

For the fourth quarter, heavyweight parkas, coats, light down jackets and wind breakers were among Ralph Lauren’s bestsellers during the holidays, CEO Patrice Louvet said.

“The company’s winter wear was on trend in terms of color and silhouette,” Jessica Ramirez, analyst at research firm Jane Hali & Associates said. “They got them right.”

— Reuters contributed to this report.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Add Comment