Second Quarter and First Half Fiscal 2007 Income Statement Review
Net Revenues - Net revenues for the second quarter of Fiscal 2007 increased 14 percent, or 9 percent excluding the effects of the Polo Jeans acquisition, to $1.17 billion compared to $1.03 billion in the second quarter last year.
The increase was driven by a 14 percent increase in reported wholesale sales, or a 6 percent increase excluding the Polo Jeans acquisition, and a 15 percent increase in retail sales. Licensing royalties were essentially flat compared to the second quarter last year.
Gross Profit - Gross Profit for the second quarter increased 15 percent to $633 million compared to $552 million in the second quarter of Fiscal 2006. Gross profit margin rate improved 50 basis points in the second quarter to 54.2 percent compared to 53.7 percent during the same period last year, primarily driven by a strong positive response to our fall assortments.
Gross Profit for the first half increased 21 percent to $1.16 billion, compared to $966 million in the first half of Fiscal 2006. Gross profit margin rate improved 60 basis points in the first half to 54.9 percent of revenues compared to 54.3 percent of revenues last year primarily driven by increased sell throughs in new fashion deliveries and supply chain efficiencies.
Polo Ralph Lauren Corporation
marketing@alchempro.com
