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Ralph Lauren (RL) Reports Q2 Earnings: What Key Metrics Have to Say

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Ralph Lauren (RL - Free Report) reported $1.73 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 5.7%. EPS of $2.54 for the same period compares to $2.10 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $1.67 billion, representing a surprise of +3.16%. The company delivered an EPS surprise of +4.53%, with the consensus EPS estimate being $2.43.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Ralph Lauren performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Geographic Net revenues- Europe: $565.90 million versus the four-analyst average estimate of $541.61 million. The reported number represents a year-over-year change of +7.4%.
  • Geographic Net revenues- Asia: $380.20 million versus $369.36 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +9.1% change.
  • Geographic Net revenues- Other- Licensing: $40.40 million versus $37.50 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +1% change.
  • Geographic Net revenues- North America: $739.50 million versus $725.81 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +3% change.
  • Geographic Net revenues- Asia- Wholesale: $24 million compared to the $30.05 million average estimate based on two analysts. The reported number represents a change of -20.8% year over year.
  • Geographic Net revenues- Europe- Wholesale: $293 million versus the two-analyst average estimate of $292.98 million. The reported number represents a year-over-year change of +1.6%.
  • Geographic Net revenues- Europe- Retail: $272.90 million versus the two-analyst average estimate of $244.95 million. The reported number represents a year-over-year change of +14.5%.
  • Geographic Net revenues- North America- Wholesale: $272.20 million versus the two-analyst average estimate of $279.33 million. The reported number represents a year-over-year change of -2.8%.
  • Geographic Net revenues- North America- Retail: $467.30 million versus $452.03 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +6.7% change.
  • Net revenues- Licensing: $40.40 million versus $36 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +1% change.
  • Net revenues- Retail: $1.10 billion versus the two-analyst average estimate of $1.04 billion. The reported number represents a year-over-year change of +10.3%.
  • Net revenues- Wholesale: $589.20 million compared to the $602.35 million average estimate based on two analysts. The reported number represents a change of -1.6% year over year.
View all Key Company Metrics for Ralph Lauren here>>>

Shares of Ralph Lauren have returned +6.3% over the past month versus the Zacks S&P 500 composite's +3.2% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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