Ralph Lauren Swings to Loss in Virus-Hit Fourth Quarter

Ralph Lauren, the New York luxury-apparel and -accessories company, swung to a wider-than-expected loss in a coronavirus-hit fourth quarter.
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Ralph Lauren  (RL) - Get Report, the New York luxury-apparel and -accessories company, swung to a wider-than-expected loss in a coronavirus-hit fourth quarter.

The fashion company reported a loss of $3.38 a share compared with a profit of 39 cents in the year-earlier quarter.

The adjusted loss in the latest period was 68 cents a share, compared with a profit of $1.07 a year earlier. 

Analysts surveyed by FactSet were looking for a loss of 26 cents in the latest quarter.

Revenue for the period declined 15% from a year earlier to $1.27 billion. The FactSet survey was looking for $1.26 billion. 

“As we manage for the near- and long-term, we remain committed to consistently delivering sustainable growth and value creation for all of our stakeholders," Chief Executive Patrice Louvet said in a statement.

"We are confident in our ability to do this thanks to the strength of our business, our balance sheet and our brands, and especially the resilience and commitment of our diverse global teams," 

Founder and Executive Chairman Ralph Lauren will forgo his salary for fiscal 2021 as well as his full-year 2020 bonus, the company said. 

Louvet will halve his salary, and the rest of the company's 140 business leaders will reduce their salaries by 20% this fiscal year. 

In the face of the coronavirus pandemic, Ralph Lauren closed most of its in-store locations around the globe. It also closed its online operations for a time during the quarter so it could sanitize its fulfillment centers. 

At last check Ralph Lauren shares were little changed at $81.41. On Tuesday they'd risen 12% in the wake of Macy's  (M) - Get Report announcing a $1.1 billion financing deal.