Shares of Ralph Lauren Corp.
RL,
ran up 6.4% toward a nine-year high in premarket trading Thursday, after the luxury lifestyle products company reported a fiscal third-quarter profit that rose well above Wall Street forecasts, citing strong holiday sales and continued growth in the direct-to-consumer channels. Net income jumped to $276.6 million, or $4.19 a share, from $216.5 million, or $3.20 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $4.17 beat the FactSet consensus of $3.57. Revenue grew 5.6% to $1.93 billion, above the FactSet consensus of $1.87 billion, as North American revenue as about flat while Europe revenue rose 11% and Asia revenue increased 16%. For fiscal 2024, the company still expects revenue growth in the low-single digits percentage range, while the current FactSet consensus of $6.57 billion implies a 2% rise. The stock, which is on track to open at the highest price seen since February 2015, has rallied 26.3% over the past three months through Wednesday, while the S&P 500
SPX,
has advanced 14%.
