Ralph Lauren sees muted Q2 sales as the US market loses steam
In light of a general slowdown in U.S. luxury spending, Ralph Lauren (RL.N) on Thursday projected current-quarter sales that are significantly below Wall Street projections. This is due to waning demand for its pricy sweaters, shirts, and outdoor clothing. After going on a big spending binge last year, wealthy Americans are now limiting their purchases of luxury goods because high borrowing rates and persistent inflation have scared even the wealthy away. Ralph Lauren had a 10% decline in quarterly revenue in North America, following other luxury brands including Canada Goose (GOOS.TO), LVMH (LVMH.PA), Gucci owner Kering (PRTP.PA), and LVMH (LVMH.PA) in reporting weaker regional demand that was further hampered by declining wholesale orders. China’s recovery has taken longer than anticipated She did, however, add that the market was anticipated to sequentially improve in the current quarter. Sales in China, meanwhile, increased by more than 50% in the first quarter ...