Ralph Lauren Down On Revenue Miss, Cautious Outlook (RL)
Apparel maker Polo Ralph Lauren (NYSE: RL) reported net income of $111.1 million, or $1.10 per share, versus $105.3 million, or $1.05 per share, in the year ago period. This beat Wall Street consensus estimates of Q4 EPS of $1.01. Revenues came in at $1.24 billion compared to $1.25 billion in last year's corresponding quarter. Analysts were looking for revenue of $1.26 bilion, so this was a miss of $20 million. The company raised their full year 2010 revenue guidance, but still expect to post a small decline versus 2009. Executives were cautious in their forward looking statements and also said that Ralph Lauren's (RL) Asian division could negatively impact its fiscal fourth quarter by as much as 10 cents per share.
The revenue miss, warning about fiscal Q4, and the cautious outlook have taken a toll on the shares today. The stock has lost 8.43% and is currently trading at $78.40 on the New York Stock Exchange. Volume has spiked to 6.11 million shares traded versus an average of only 891,000.
