On Wednesday, Lululemon reported quarterly earnings and sales that topped analysts’ estimates, as extra customers all over the world picked up its yoga pants and sports bras. And its men’s business continued to grow.
However, its shares fell as a lot as 6% in after-hours trading on the information, as Lululemon’s fourth-quarter outlook came in barely beneath Wall Street expectations.
Lululemon is now expecting to earn between $2.10 and $2.13 per share in the course of the holiday quarter, whereas analysts have been calling for earnings of $2.13 a share. The corporate stated its outlook takes into consideration the very fact there are 6 fewer shopping days between Thanksgiving Day and Christmas this year in contrast with last.
Net revenue grew to $126 million, or 96 cents a share, in contrast with 71 cents per share or $94.4 million, a year in the past. That was 3 pennies higher than what analysts have been calling for.
Net income rose 23% to $916.1 million from $747.7 million a year in the past — that beat analysts’ expectations for $899.7 million.
Sales online and at Lululemon shops open for not less than 12 months had been up 17%, on a relentless currency foundation, higher than the 14.4% progress that analysts had forecast.
Lululemon earlier this week introduced it’s Chief Operating Officer Stuart Haselden could be leaving, efficient Jan. 10.
Competing with the likes of Under Armour, Nike, and Adidas, Lululemon has stated it’s focusing on doubling its men’s and online sales over the next five years, whereas hitting annual revenue growth within the low teens throughout that time frame. It’s also nonetheless planning to quadruple international revenues by 2023.
A few of Lululemon’s development initiatives include selling in additional categories, such as personal care, and opening more experiential stores that have spaces for fitness classes and eateries.