Luxury retailer Ralph Lauren says sales growth on the Chinese mainland returned to pre-Covid-19 rates in the second quarter, increasing by more than 30 per cent year on year.
However sales across greater Asia decreased 7 per cent to US$237 million on a reported basis, with same-store sales down by 11 per cent, and a 12-per-cent decline in brick-and-mortar store sales partly offset by a 32-per-cent increase in digital commerce.
Globally, net revenue fell by 30 per cent to $1.2 billion, with declines in all regions due to the impact of Covid-19 on consumer shopping behaviour.
But the company achieved net income of $107 million, down from $182 million in the same period last year.
Ralph Lauren, executive chairman and chief creative officer, said despite the tough time the world is experiencing he is optimistic the company can “take the great learnings and creativity that have emerged from this time to become even stronger”.
He said the results reflected the strength of Ralph Lauren’s timeless brand “and the values that have always been our touchstone” are continuing to anchor the business through a time of change and uncertainty”.
“Looking across the first half of the fiscal year, we continued our elevation journey while fast-tracking connected retail and our company-wide digital transformation,” said president and CEO Patrice Louvet. “We also began the hard but necessary work of simplifying our organisational and cost structures to position the company for future growth.
“Looking ahead, we will continue to work proactively to deliver an elevated experience that inspires consumers around the world and creates value for all of our stakeholders,” concluded Louvet.