Ralph Lauren's Q2 revenue jumps 17 percent to 2 billion dollars

Ralph Lauren Corporation reported a robust second quarter for fiscal 2026, with performance significantly outpacing expectations as the company’s strategic plan gained traction, delivering adjusted earnings per diluted share of 3.79 dollars —a 49 percent increase over the prior year.

Net revenue for the quarter rose 17 percent to 2 billion dollars on a reported basis, driven by double-digit growth across all geographies, including a 13 percent acceleration in North America and more than 30 percent growth in China revenue.

Leveraging its stronger-than-anticipated first-half performance, the company raised its fiscal 2026 outlook for both constant currency revenue growth and adjusted operating margin expansion, though president and CEO Patrice Louvet acknowledged the firm will "continue to navigate a highly dynamic global operating environment with agility" through the second half.

Commenting on the second quarter performance, Louvet stated, "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," adding that the company’s "iconic brand and timeless products continue to resonate with consumers around the world."

Operational highlights reinforcing the luxury position included a 12 percent increase in average unit retail (AUR) and the acquisition of 1.5 million new direct-to-consumer customers, strengthening the core business, which grew in the mid-teens.

Geographically, the brand saw strong momentum globally: North America revenue increased 13 percent, Europe revenue rose 22 percent (15 percent in constant currency), and Asia revenue increased 17 percent (16 percent in constant currency), led by greater than 30 percent growth in China.

Executive chairman and chief creative officer Ralph Lauren underscored the brand's expansive reach and appeal, reflecting, "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."

This strong, disciplined momentum led the company to once again raise its Fiscal 2026 outlook, now projecting revenue growth of 5 percent to 7 percent in constant currency and expecting operating margin to expand by 60 to 80 basis points in constant currency.