Sam Boughedda

Investing.com — Ralph Lauren Corp (NYSE) released its fourth-quarter results Tuesday. Revenue and earnings per share were higher than anticipated. 

According to the company, demand was strong in its largest markets. This continues the trend of fashion brands that are high-end and not affected by inflation.

Watches Of Switzerland and Canada Goose (NYSE) have also recently indicated that the demand for luxury goods is strong despite rising inflation. 

Ralph Lauren’s revenues exceeded forecasts by $1.5 billion. This 18% growth was due to revenue in North America rising 19%, to $674 Million, revenue in Europe growing 26%, to $467 Million, and revenue for Asia increasing 20%, to $346 millions. 

Analysts expected earnings of $0.37, but the company posted $0.49 earnings per share. 

Full-year revenue for fiscal 2022 increased 41% to $6.2 Billion, surpassing pre-pandemic levels. This year, the net profit of the company was $600million. It had a loss of $121.1 Million a year prior.

Patrice Louvet is President and Chief Executive officer.

Fiscal 2023 revenues are expected to rise in the single digits according to the company. Gross margin will also increase by 30-50 basis points. 

Ralph Lauren forecasts revenue growth of approximately 8% for its fiscal quarter.

According to the company, its outlook was based upon its current assessment of macroeconomic conditions, which includes inflationary pressures and disruptions related to Covid.

Ralph Lauren shares rose more than 22% after the announcement.