Ralph Lauren sees Q2 revenue flat to up slightly, consensus $1.63B

The company said, “For the second quarter, the Company expects revenue to be flat to up slightly to last year in constant currency. Foreign currency is expected to benefit revenue growth by approximately 100 basis points. Operating margin for the second quarter is expected to be in the range of 9.5% to 10.0% on a reported basis and 9.0% to 9.5% in constant currency. The Company expects constant currency gross margin expansion of 40 to 60 basis points to be more than offset by higher operating expenses due to the timing of strategic investments in the period, with a higher proportion of marketing and ecosystem investments in the second quarter of the fiscal year. Foreign currency is expected to negatively impact gross margin by approximately 10 basis points in the quarter.”