RL

Ralph Lauren Corporation stock research

Sep 27, 2025

FY2026 Q2

Ralph Lauren (RL) Gross Margin — Quarter Ended Sep 27, 2025

Revenue, gross profit, and cost of revenue were all higher than in the prior quarter and the year-ago quarter. Gross margin was lower than the prior quarter but higher than the year-ago quarter.

Gross margin takeaway

Quarter ended Sep 27, 2025 · FY2026 Q2

Revenue, gross profit, and cost of revenue were all higher than in the prior quarter and the year-ago quarter. Gross margin was lower than the prior quarter but higher than the year-ago quarter.

  • The strongest observable margin driver is the relative growth rates of revenue and cost of revenue. Monitor how the change in cost of revenue compares to the change in revenue across quarters.
  • Compared to the prior quarter, gross margin weakened as cost of revenue increased at a faster pace than revenue. Compared to the same quarter last year, gross margin improved as revenue grew more than cost of revenue.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

68.0%

Gross profit

$1.4B

Revenue

$2.0B

Cost of revenue

$644.3M

Quarter-over-quarter change

-4.3 pts

Year-over-year change

+1.0 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Dec 28, 2024$2.1B$1.5B$677.4M68.4%
Mar 29, 2025$1.7B$1.2B$532.0M68.7%
Jun 28, 2025$1.7B$1.2B$476.8M72.3%
Sep 27, 2025$2.0B$1.4B$644.3M68.0%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Jun 28, 2025

-4.3 pts

Year-over-year change

Sep 28, 2024

+1.0 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The strongest observable margin driver is the relative growth rates of revenue and cost of revenue. Monitor how the change in cost of revenue compares to the change in revenue across quarters.

Compared to the prior quarter, gross margin weakened as cost of revenue increased at a faster pace than revenue. Compared to the same quarter last year, gross margin improved as revenue grew more than cost of revenue.

Monitor the ratio of cost of revenue growth to revenue growth in upcoming quarters.

RL Gross Margin — Quarter Ended Sep 27, 2025