Ralph Lauren stock jump after Q3 profit beat, rev guide raise

Investing.com -- Ralph Lauren Corp (NYSE:RL) stock surged Thursday after the company posted third-quarter earnings above Wall Street estimates on Thursday, as affluent consumers continued to spend on high-end apparel.

Ralph Lauren stock traded up 12.5% at 12:24 PM ET.

The luxury fashion house reported earnings per share of $4.82 on an adjusted basis, up sharply from $4.17 a year earlier. Analysts had expected earnings of $4.50 per share.

Revenue rose 11% to $2.1 billion, surpassing estimates of $2.01 billion.  Global Direct-to-Consumer comparable store sales grew 12% in the quarter.

For 2025 Ralph Lauren expects revenue to rise from 6% to 7%, compared with its prior forecast of an increase between 3% and 4%.

Operating margin for the quarter stood at 18.2%, while gross margin expanded to 68.4%, helped by disciplined pricing and cost management.

The company reaffirmed its full-year capital expenditure outlook of $200 million to $250 million.

(Pratyush Thakur contributed to this report)