Ralph Lauren Corporation stock research
FY2023 Q4
Ralph Lauren (RL) Gross Margin — Quarter Ended Apr 1, 2023
Revenue was stable compared to the same quarter last year but lower than the prior quarter. Gross profit decreased relative to both periods, resulting in a lower gross margin.
Gross margin takeaway
Quarter ended Apr 1, 2023 · FY2023 Q4
Revenue was stable compared to the same quarter last year but lower than the prior quarter. Gross profit decreased relative to both periods, resulting in a lower gross margin.
- The gross margin decline was driven by cost of revenue being higher than the year-ago quarter while revenue remained flat, and by a proportionally smaller reduction in cost of revenue compared to the revenue decline sequentially.
- Compared to the immediately preceding quarter, revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue was stable, but gross profit and gross margin were lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
61.7%
Gross profit
$950.6M
Revenue
$1.5B
Cost of revenue
$590.2M
Quarter-over-quarter change
n/a
Year-over-year change
-1.8 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Apr 1, 2023 | $1.5B | $950.6M | $590.2M | 61.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Apr 2, 2022
-1.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin decline was driven by cost of revenue being higher than the year-ago quarter while revenue remained flat, and by a proportionally smaller reduction in cost of revenue compared to the revenue decline sequentially.
Compared to the immediately preceding quarter, revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue was stable, but gross profit and gross margin were lower.
Monitor the relationship between cost of revenue and revenue, as cost of revenue increased year-over-year despite stable revenue.