Investing.com – Ralph Lauren stock (NYSE:) fell nearly 5% on Tuesday on the apparel retailer’s plans to increase spending in the current half of the year.

Operating expenses jumped around 20% from last year in the second quarter ended September 25 and the company said they “continue to reflect the company’s plans to increase marketing and other strategic investments to support long-term growth, including a higher level of spend in the second half of the fiscal year.”

The reported second-quarter revenue increased 26% to $1.5 million, exceeding expectations. This was in addition to double-digit growth in all regions. An adjusted profit per share of $2.62 was achieved, exceeding estimates.

Parts of Ralph Lauren’s key markets – China and Japan among them – are still reeling under the pandemic, with restrictions of varying limits imposed locally. Lack of resources is an issue. Many factories are closed in China and Vietnam, and shipping lines continue to be congested because of increased traffic and shortages of personnel.

Around 40% of Ralph Lauren’s products are made in China or Vietnam.

Investors are worried about the effects of supply chain problems on their businesses, so a brighter outlook was not offered and no promise to resume share purchase.

Retailer said that it expected constant currency fiscal 2022 revenue growth of 35% to be at the centre of its range. This is a significant increase from the 27.5% predicted at the midpoint.

While its operating margin projection for full-year 2012 was unchanged at 12.5%, the company flagged increased shipping costs.