Ralph Lauren Reports ‘Way Forward’ Progress
For Ralph Lauren, there’s a light at the end of the tunnel following a period of perpetually slipping sales.
On Thursday, the brand’s profits shifted upwards, beating expectations and resulting in a shares jump. Following the announcement of its ‘Way Forward’ restructuring plan in June, the Ralph Lauren executive team reported progress on the set of guidelines and action items laid out for fiscal 2017.
“We are pleased with the process,” said Jane Nielsen, CFO of Ralph Lauren, who previously held the same position at Coach. “Key elements are in place to ensure continued progress. We have strong collaborative relationships with our wholesale partners, a strong brand and balance sheet and a motivated committed team of 25,000 Ralph Lauren employees around the globe.”
Revenue slipped another 8 percent to $1.8 billion, another consecutive loss for the brand after revenue fell a comparative 4 percent in the previous quarter. But gross profit climbed to $1 billion, 40 points above the same time last year.
“Often, plans and strategies get developed but it’s refreshing to see how inside-out they went to identify problems across the business, from products to stores to the brand itself,” said Chris Paradysz, founder and CEO of PMX Agency. “That’s powerful.”
Read the full story with more comments from PMX Agency CEO, Chris Paradysz, here in Glossy.