Ralph Lauren Corporation said that worldwide digital revenue accelerated throughout owned and wholesale digital channels and throughout every geography in the fourth quarter, according to a Thursday (May 20) announcement.
The company’s Asia revenue surged by 35 percent to $289 million on a reported basis and 28 percent in constant currency. However, its North America revenue fell 10 percent to $569 million.
Ralph Lauren posted $783 million in gross profit for the fourth quarter of fiscal 2021, along with a gross margin of 60.8 percent. The company said that gross margin was 62.9 percent on an adjusted basis, which was up from 59.1 percent in the prior-year period.
“This fiscal year, we fundamentally repositioned our company for long-term success – accelerating our digital and marketing capabilities, eliminating structural headwinds, focusing our brand portfolio and realigning our cost structure – all while continuing our brand elevation journey around the world,” President and CEO Patrice Louvet said in the announcement.
The company said it intends to have between roughly $250 million and $275 million in capital expenditures for fiscal 2022.
“Looking ahead, even as the environment remains volatile, with the strength of our brand, our teams and operational position, we are confident in our ability to deliver sustainable long-term growth and value creation in fiscal 2022 and beyond,” Louvet said in the announcement.
The news comes as Ralph Lauren intends to sell its Club Monaco brand to Regent, a private-equity firm headquartered in California. The deal is expected to wrap up by the end of June at the latest. Regent Chairman Michael Reinstein said in a press release earlier in May that “Club Monaco is a beloved brand with a modern style, loyal customer base and long runway for growth.”
Ralph Lauren’s stable of brands includes Ralph Lauren, Polo Ralph Lauren, Lauren Ralph Lauren and Double RL, among others.
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