Polo Ralph Lauren Corp. (NYSE:RL) shares ticked higher in premarket after it reported market beating earnings and revenue for the second quarter.
In a statement, the luxury clothing and accessories company said in the quarter, net income rose to US$143.8mln, or US$1.75 per share, from US$45.7mln or 55 US cents per share, the year before.
READ: Ralph Lauren shares gain as first quarter earnings smash analysts' estimates
Adjusted earnings were US$1.99 per share, beating market consensus for US$1.89 per share.
Revenue came to US$1.66bn, lower than the US$1.82bn recorded the year before but still comfortably ahead of market’s expectations for US$1.64bn.
The company blamed the drop in earnings on its initiatives to reduce promotional activity, and brand and distribution exits.
In North America, sales slumped by 16% to US$877mln.
The company has warned that it expects to see revenue to continue to drop - guiding a decline of 8%-9% for fiscal 2018, and a 6%-to-8% fall in the third-quarter.
Its shares rose 6.20% at US$95.00 in premarket.