(Source: Datamonitor)
Polo Ralph Lauren Corporation, a designer, marketer and distributor of apparel, accessories, fragrances and home furnishings, has reported a net income of $184.1 million, or $1.90 per diluted share, for the first quarter ended July 2, 2011, compared to $120.8 million, or $1.21 per diluted share, for the first quarter ended July 3, 2010. For the second quarter of fiscal 2012, the company expects consolidated revenues to increase at a high-teens-to-low 20% rate.
Net revenues for the first quarter of fiscal 2012 were $1.53 billion, compared to $1.15 billion for the first quarter of fiscal 2011.
Operating income for the first quarter of fiscal 2012 was $282.1 million, compared to $174.2 million for the first quarter of fiscal 2011.
Wholesale revenues for the second quarter of fiscal 2012 are expected to grow at a mid-teens rate in the second quarter and retail sales are projected to increase by a mid 20% rate. The company expects the operating margin from continuing operations for the second quarter of fiscal 2012 to be approximately 300 basis points below that in the comparable prior year period, primarily due to cost of goods inflation and incremental expenses related to continued investment in strategic growth initiatives.
The company now expects consolidated revenues for fiscal 2012 to increase at a mid-to-high teens rate, which compares to a prior expectation of mid-teens growth. The company has also raised its operating margin outlook for fiscal 2012. The full year operating margin from continuing operations is now estimated to be down 50-100 basis points from the prior year period, which compares to a prior expectation of a 100-150 basis point decline and reflects the anticipated impact of cost of goods inflation and increased investment in strategic growth initiatives.
Ralph Lauren, chairman and CEO of the company, said: "We are a world-class company that has been built on quality and timeless design with a long-term view. The clarity of our luxury lifestyle positioning runs through all that we do, from design to marketing to our in-store presentations. We are leveraging this clarity of vision and purpose with an expanding range of merchandise and store environments around the world. We know our customers well and we are committed to offering them the best of the World of Ralph Lauren. The consistency of our approach has supported our strong financial performance and the momentum of our brand worldwide is tremendous."
A service of YellowBrix, Inc.