Ralph Lauren of America aims for medium-to-high single-digit growth by 25

Over the next three years, from a base from fiscal year 2022 to fiscal year 2025 (fiscal year 25), American fashion company Ralph Lauren is expected to accelerate revenue growth to a compound growth rate. annual average to high one figure in constant currency. Operating profit growth is expected to exceed revenue growth as operating margin continues to expand.

Operating margin is expected to grow to at least 15% by FY2525 in constant currency, driven by a combination of modest gross margin expansion and leverage Operating costs are balanced with continued investment in the company’s long-term strategic priorities. Additionally, capital spending is expected to account for about 4-5% of annual revenue through fiscal 2025, Ralph Lauren said in a press release.

From the base of fiscal year 2022 to fiscal year 2025 (FY25), US fashion company Ralph Lauren expects to accelerate revenue growth to a medium to high single-digit compound annual growth rate. monetary unit unchanged. Operating profit growth is expected to exceed revenue growth as operating margin continues to expand.

The company said its outlook is based on the best assessment of the current macroeconomic environment, including the ongoing global supply chain and inflationary pressures, foreign currency fluctuations, the war in Ukraine, COVID-19 variants and other COVID-related disruptions.

Ralph Lauren also presented its strategic growth plan and intends to execute on three strategic drivers of growth: elevating and energizing its lifestyle brand to deliver high quality, revenue attract and retain new consumers to increase their long-term value; continues to drive a steady stream of iconic core products along with the next group of high-potential, under-penetrated categories focused on evolving consumer lifestyles and ways of approaching consumers. access to health care; and strategic expansion of a cohesive, digitally-led ecosystem across the top 30 cities around the world.

“This company started more than 50 years ago with a dream and commitment – ​​and today, while it has expanded into a leading luxury lifestyle brand, our vision for timeless sustainability, authenticity and a good life remain unchanged,” said Ralph Lauren, executive chairman and creative director. “What has changed is our ability to bring this vision to more and more people around the world, and I am very proud of our teams that have built up strength and broadened their reach. me while staying true to who we are.”

“Since our last investor day in 2018, we have transformed our business – building a strong foundation with multiple growth engines that have shown momentum.” said Patrice Louvet, President and CEO. “Our next big chapter: Acceleration builds on this meaningful progress, on our enhanced brand positioning and our desires; our exceptional, timeless products and experiences across multiple categories; and expand our reach in key cities around the world. “

Louvet continued, “Our clear and selective strategies are expected to deliver sustainable long-term growth and value creation – driven by a strong balance sheet and operational discipline. dynamic – as we strengthen our position as a leading luxury lifestyle company.”

Fiber2 Fashion News Desk (KD)

Source link


News5s: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button