Ralph Lauren posted third-quarter sales that topped Wall Street estimates on Thursday, buoyed by a strong holiday season and resilient demand for its Polo shirts and leather handbags among affluent shoppers.
The luxury retailer said quarterly revenue rose 12% to $2.41 billion. Analysts on average estimated a 7.9% rise to $2.31 billion, according to data compiled by LSEG. The company, which sells $148 striped linen shirts and $498 leather handbags, has tightened inventory, lifted full-price sales and refreshed core styles, boosting its appeal among higher-income and younger shoppers, including Gen Z.
Higher-income households are still splurging on luxury items, travel and restaurant meals, while lower- and middle-income consumers are strained by higher costs for rents and food as well as a softer job market.
