RL · 10-Q · 2026Q3 · Full report

Operating Cash Flow Trends

RALPH LAUREN CORP · 2026-11-05 · Importance 69 · Surprise 64 · In source text

Net cash provided by operating activities increased $388.9 million to $618.2 million for the six months ended September 26, 2026, from $229.3 million in the prior-year period. The improvement reflected favorable changes in operating assets and liabilities, including working capital, and higher net income before non-cash charges. Working capital benefited from lower inventory than the prior year, when inventory was elevated by North American tariff impacts and earlier European receipts, and from favorable income tax receivable and payable changes.

Key facts

• Six-month operating cash flow was $618.2 million, compared with $229.3 million in the prior-year period, an increase of $388.9 million. source
• Operating cash flow was $618.2 million in the six months ended September 26, 2026, compared with $229.3 million in the prior-year period. source
• The favorable working-capital and operating-asset/liability change was primarily driven by lower inventory, as prior-year inventory was elevated by North American tariff impacts and earlier European receipts. source
• The increase in operating cash flow was primarily due to favorable inventory and income-tax receivable/payable changes and higher net income before non-cash charges. source
• Operating cash flow also benefited from favorable changes in income tax receivables and payables due to lower tax payments in the absence of certain prior-year non-routine tax transactions and payment timing, partly offset by higher pretax income. source

Impact estimates