Ralph Lauren Corporation

3 Balance Sheet and Cash Flow Review The Company ended the first quarter of Fiscal 2026 with $2.3 billion in cash and short-term investments and $1.6 billion in total debt, compared to $1.8 billion and $1.1 billion, respectively, at the end of the first quarter of Fiscal 2025.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

The Company repurchase d approximately $250 million of Class A Common Stock in the first quarter.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

The Company continues to expect capital expenditures for Fiscal 2026 of approximately 4% to 5% of revenue.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Forward-looking statements include, without limitation, statements regarding our current expectations about the Company's future operating results and financial condition, the implementation and results of our strategic plans and initiatives, store openings and closings, capital expenses, our plans regarding our quarterly cash dividend and Class A common stock repurchase programs, and our ability to meet citizenship and sustainability goals.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

While we continue to approach the current global operating environment with prudence, we are encouraged by the broad-based strength in our brand and our businesses as we execute on our long-term strategic priorities including recruiting new and younger consumers, strengthening our core and high-potential categories, and developing our key city ecosystems in each region.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Gross margin expansion was driven by AUR growth, favorable channel and geographic mix shifts, and lower cotton costs, more than offsetting incremental pressure from tariffs and other product costs.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Forward-looking statements include, without limitation, statements regarding our current expectations about the Company's future operating results and financial condition, the implementation and results of our strategic plans and initiatives, store openings and closings, capital expenses, our plans regarding our quarterly cash dividend and Class A common stock repurchase programs, and our ability to meet citizenship and sustainability goals.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Ralph Lauren, or other changes in our executive and senior management team or to our operating structure, including any potential changes resulting from the execution of our long-term growth strategy, and our ability to effectively transfer knowledge and maintain adequate controls and procedures during periods of transition the impact to our business resulting from the potential imposition of additional tariffs, duties, or taxes, changes to existing trade agreements, and other charges or barriers to trade, including those recently announced by the U.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

GAAP FINANCIAL MEASURES (1) Next Generation Transformation project charges relate to certain costs incurred during the preliminary phase of the Company's large-scale, multi-year global project that is expected to significantly transform the way in which the Company operates its business and further enable its long-term strategic pivot towards a global direct-to-consumer-oriented model.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Gross margin expansion was driven by AUR growth, favorable channel and geographic mix shifts, and lower cotton costs, more than offsetting incremental pressure from tariffs and other product costs.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Full Year Fiscal 2026 and Second Quarter Outlook The Company's outlook is based on its best assessment of the current geopolitical and macroeconomic environment, including inflationary pressures, tariffs and other consumer spending-related headwinds, global supply chain disruptions and foreign currency volatility, among other factors.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

These forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause actual results, performance, or achievements to be materially different from the future results, performance, or achievements expressed in or implied by such forward-looking statements.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025

Ralph Lauren, or other changes in our executive and senior management team or to our operating structure, including any potential changes resulting from the execution of our long-term growth strategy, and our ability to effectively transfer knowledge and maintain adequate controls and procedures during periods of transition the impact to our business resulting from the potential imposition of additional tariffs, duties, or taxes, changes to existing trade agreements, and other charges or barriers to trade, including those recently announced by the U.

SEC original ↗Ralph Lauren Corporation — Earnings release (8-K exhibit)EX-99Aug 7, 2025