Europe and Asia led regional performance in FY 25, 11 percent and 9 percent increase respectively, on an alleged basis and 11 percent and 12 percent, respectively, in continuous currency. China made high-ending growth based on a report and continuous currency.
Ralph Lauren has registered an increase of $ 7.1 billion in 7 percent revenue in FY 25 with a net income of $ 743 million. Europe and Asia led the development, while Q4 revenue rose 8 percent. The brand received 5.9 million new DTC customers and saw strong performances in women, external and handbags. For FY26, it expects the growth of low solo-papers, flat gross margin and minor operating margin.
The net income for the full financial year was $ 743 million, or a $ 11.61 per thin shared depending on the report. On the adjusted basis, the net income was $ 789 million, or $ 12.33 per thin shared. The adjusted gross and operating margin crossed the guidance, with the whole year the adjusted operating margin increased by 150 bps to 14 percent.
In the fourth quarter of FY25 (Q4), revenue increased by 8 percent to $ 1.7 billion and continued currency increased by 10 percent. Forex negatively affected revenue growth by about 210 BPS in this quarter.
In Q4, North America’s revenue rose by 6 percent to $ 705 million. In retail, sales of comparable stores in North America increased by 9 percent, with a 9 percent increase in brick-and-mortar stores and 8 percent in digital commerce. North America wholesale revenue increased by 1 percent, in-line with expectations.
Europe’s revenue in Q4 increased by 12 percent to $ 526 million on an alleged basis and 16 percent in continuous currency. In retail, sales of comparable stores in Europe increased by 18 percent, with a 16 percent increase in brick-and-mortar stores and 25 percent in digital commerce. Ralph Lauren said in a press release that the wholesale revenue of Europe increased by 10 percent and continuously 14 percent in the currency, which was in the shift of the strong re-order trends and the time-round receipts discussed before the second quarter.
Asia’s revenue in Q4 increased by 9 percent to $ 432 million on an alleged basis and 13 percent in continuous currency. Sales of comparative stores in Asia increased by 15 percent, with a 13 percent increase in brick-and-mortar stores and 27 percent in digital commerce.
The company maintained a strong pace in customer acquisition, attracted 5.9 million new customers through its DTC channels. This increased consumer engagement with high-affected brand activities during Q4, including the 2025 MLB World Tour Tokyo series, Vintage Ralph Lauren Tour in Japan, Spring ’25 Ralph’s Hampton Abhiyan, a fashion presentation in Paris.
The core business revenue continuously grows from the Yoy of low double digits for both Q4 and FY25, while the growth of Q4 and middle-cousins ​​in high-proclaimed categories such as women, external clothing and handbags saw a high-ending growth throughout the year.
Major product highlights include Ralph’s Hampton Spring ’25 collection, a limited-sanskriting MLB capsules and the launch of polo play, a new fundamental handbag line. The average unit retail (AUR) Q4 and all over the year increased by high single digits, premium product height, operated by favorable channels and geographic mixtures, and reduced exemption, adding release.
“Our brand has stood on the criterion of time because we are perfect for values ​​that define us: quality, authenticity, timeless style. Through the period of economic power and uncertainty, equally, our teams around the world focus on giving our vision with great care and passion, which enables us to make the right choice for both today and the future,” Ralph Lauren, Executive Chairman and Chief Creative Officer at Ralph Lauren.
“Our strong performance in the third and final year of our next great chapter: The Accelerate Plan ‘underlines the increasing desirability of our brand and our team’s powerful execution because we have navigated a dynamic global operating environment,” Patris Lautweight, Chairman and Chief Executive Officer (CEO) in Ralph Lauren. “We successfully distributed our strategic and financial commitments through this financial year and our long-term strategic plans- walked many of our drivers of development- as well as, we continued to form the basis for permanent growth and value building in future.”
For a full financial 2026 (FY26), the company estimates the revenue growth of less——fers in continuous currency, diagonally towards the first half with performance. The operating margin is expected to expand marginally, supported by the operating expansion leverages, while gross margin is projected to live flats against offsetting factors such as AUR growth, low cotton costs and favorable mixture, increased tariffs and high non-cotton material costs. Forex is expected to have minimal impact.
For Q1, the company projects revenue to grow high-assign points in constant currency, with the operating margin to improve 150 to 200 bps, mainly from gross margin profit and slight expenses. The effective tax rate for FY26 is 20 to 22 percent and about 20–21 percent for Q1, assuming that the current tax laws are unchanged. The capital expenditure employed for fiscal 2026 is estimated to be around 4-5 percent revenue.
“As we enter FY 2026, we remain on crime – with lifestyle categories, geographical and focus on running many of our engines in development.
Fibre2fashion news desk (sg)
