Before the market opened on November 6 (ET), American fashion and luxury group Ralph Lauren Corp (NYSE: RL) released its financial results for the second quarter of fiscal year 2026, ending September 27. Global revenue rose 17% year-over-year to $2 billion (up 14% at constant currency), exceeding expectations, with all regions posting double-digit growth. Revenue in the Chinese market surged more than 30% year-over-year, maintaining the same growth pace as in the first quarter.
Ralph Lauren, Executive Chairman and Chief Creative Officer of the company, stated, “For more than 58 years, we have inspired authentic, timeless style, reflecting the easy sophistication of a life well-lived. From the streets of Tokyo and Paris to the intimacy of our runway show in our New York City design studio, we are inviting more people than ever to step into their dream of a better life.”
Patrice Louvet, President and CEO, added, “We are off to a strong start in the execution of our Next Great Chapter: Drive strategic plan introduced at our Investor Day in September, with second quarter performance outpacing our expectations across geographies, channels and consumer segments. Our iconic brand and timeless products continue to resonate with consumers around the world, across generations and cultures, and we are reinforcing our inclusive luxury lifestyle position with disciplined investments to drive sustainable long-term growth and value creation well beyond this fiscal year.”
Following the earnings release, Ralph Lauren’s stock closed slightly down 0.6% at $315.04 per share on November 6. Over the past 12 months, shares have risen more than 50%, with the company’s current market capitalization at approximately $19.7 billion.
During the reporting period, Ralph Lauren made the following key strides in its strategic focus areas:
— Strengthening and Energizing the Lifestyle Brand
In its direct-to-consumer business, the company added 1.5 million new customers, strengthening brand awareness, purchase intent, and its luxury image. Social media followers reached 67 million, up by a high single-digit percentage year-over-year.
Strong and authentic engagement was achieved through its “always-on” brand strategy. Key initiatives included iconic sponsorships of global sports events (Wimbledon, the US Open, and the Ryder Cup); the Spring 2026 women’s runway show in New York; an immersive brand experience at the Goodwood Revival in the UK; and several major celebrity fashion moments (including the engagement of Taylor Swift and Travis Kelce, and the wedding of Selena Gomez and Benny Blanco).
— Driving Core Product Growth and Expanding Categories
Core business continued to deliver mid-teens growth. High-potential categories such as womenswear, outerwear, and handbags achieved strong double-digit year-over-year growth, outpacing the company’s overall growth rate.
Highlight products this quarter included: the limited-edition Polo Ralph Lauren for Oak Bluffs collection in collaboration with Morehouse and Spelman Colleges; the launch of the new fragrance “Ralph’s Club New York” fronted by Usher and its accompanying ad campaign; and the rollout of the new AI-powered styling tool “Ask Ralph.”
Average unit retail (AUR) in direct-to-consumer channels rose 12% year-over-year, exceeding expectations. This reflected the brand’s continued premiumization, strong full-price sales, and lower-than-planned promotional activity.
— Successful Development of Consumer Ecosystems in Key Cities
All regions posted double-digit revenue growth, led by Asia and Europe, while growth in North America accelerated to 13%. Revenue from the Chinese market increased by over 30% year-over-year, consistent with the growth seen in the first quarter.
The company continued to expand and scale its key city ecosystem strategy. In the second fiscal quarter, it opened 38 new directly operated and partner stores, and acquired the property of its Newbury Street flagship store in Boston. New store openings during the reporting period included locations in Munich (Germany), Plano, Texas (USA), Hangzhou (China), and Nagoya (Japan).
As of September 27, Ralph Lauren’s key financial data for the second quarter of fiscal 2026 are as follows:
— By Region
— By Channel
| Source: Official Earnings Report
| Image Credit: Company Website
| Editor: LeZhi
