Lululemon’s Q4 top, bottom line beat Street estimates
Lululemon athletica closed its year on a strong note.
The retailer of yoga apparel and athleisure wear reported per share of $1.85 for the quarter ended Feb.3. Analysts had expected earnings of $1.74 per share
Net revenue rose 26% to $1.167 billion, beating analysts’ estimates of $1.15 billion. Total same-store sales rose 17% after adjusting for currency fluctuations, also beating estimates. Comparable store sales increased 6%, and direct to consumer net revenue increased 37%.
For the full year, Lululemon’s net revenue rose 24% to $3.288 billion. Company-operated stores which have been open for at least one year averaged sales of $1,579 per square foot. Total comparable sales increased 18%.
"Lululemon has delivered one of its strongest years yet, a result of broad-based strength across the business,” said CEO Calvin McDonald. “I'm thrilled that we achieved several of our 2020 goals ahead of schedule, and want to thank our teams for their passion, hard work and connection with our guests every day. We are energized to build upon our momentum and to seize the many opportunities ahead for Lululemon around the world."
Analyst Neil Saunders was equally upbeat about the chain’s future.
“Ultimately, all of Lululemon’s success and its future potential come down to a very clear brand vision which is flawlessly executed,” said Saunders, managing director of GlobalData Retail. “This stands in marked contrast to many other retail operators and it is the core reason for Lululemon’s enduring popularity and continued growth.” For more commentary, click here.
Lululemon issued strong full year earnings guidance of between $4.48 and $4.55 per share. Analysts had expected earnings per share of $4.40. The retailer also announced a $500 million stock repurchase program.
The retailer of yoga apparel and athleisure wear reported per share of $1.85 for the quarter ended Feb.3. Analysts had expected earnings of $1.74 per share
Net revenue rose 26% to $1.167 billion, beating analysts’ estimates of $1.15 billion. Total same-store sales rose 17% after adjusting for currency fluctuations, also beating estimates. Comparable store sales increased 6%, and direct to consumer net revenue increased 37%.
For the full year, Lululemon’s net revenue rose 24% to $3.288 billion. Company-operated stores which have been open for at least one year averaged sales of $1,579 per square foot. Total comparable sales increased 18%.
"Lululemon has delivered one of its strongest years yet, a result of broad-based strength across the business,” said CEO Calvin McDonald. “I'm thrilled that we achieved several of our 2020 goals ahead of schedule, and want to thank our teams for their passion, hard work and connection with our guests every day. We are energized to build upon our momentum and to seize the many opportunities ahead for Lululemon around the world."
Analyst Neil Saunders was equally upbeat about the chain’s future.
“Ultimately, all of Lululemon’s success and its future potential come down to a very clear brand vision which is flawlessly executed,” said Saunders, managing director of GlobalData Retail. “This stands in marked contrast to many other retail operators and it is the core reason for Lululemon’s enduring popularity and continued growth.” For more commentary, click here.
Lululemon issued strong full year earnings guidance of between $4.48 and $4.55 per share. Analysts had expected earnings per share of $4.40. The retailer also announced a $500 million stock repurchase program.