Executive Summary

• Ralph Lauren reported fiscal 4Q17 adjusted EPS of $0.89, above the $0.78 consensus estimate and in line with guidance.
• Wholesale revenues in the quarter decreased by 17% year over year, to $777 million, and were down 15% on a constant currency basis. The decline was driven by a planned reduction in North America shipments. Retail segment revenues decreased by 16% year over year, to $745 million, and were down 9% on a constant currency basis.
• For FY18, the company expects net revenues to decrease by 8%–9%. Foreign currency is expected to have a negative impact of150 basis points for the year. For 1Q18, the company expects revenue to be down by low double digits, excluding a negative foreign currency impact of 225 basis points.