Lululemon’s revenue climbs in Q4, beats analyst estimates
Strong sales online and internationally contributed to a strong fourth quarter for Lululemon.
For the period ended Jan. 28, the athleisure retailer’s net revenue was $928.8 million, an increase of 18% compared to the fourth quarter in 2016. This beat analyst estimates of $912 million.
The company earned $120 million, or $0.88 cents per share for the fourth quarter, compared with $136.1 million, or $0.99 cents a share, a year ago.
Total comparable sales increased 12%. Comparable store sales increased 12%, while direct to consumer net revenue increased 44%. In Asia, comparable sales were up 52% compared to the same quarter a year prior.
This is the first quarter of earnings since Laurent Potdevin stepped down as CEO of the athleisure retailer.
For the year, net revenue was $2.6 billion, an increase of 13% compared to fiscal 2016. Total comparable sales increased 7%. Comparable store sales increased 1%, and direct to consumer net revenue increased 27%.
The company ended the year with 404 stores, and all locations that have been open for at least one year averaged sales of $1,554 per sq. ft.
Glenn Murphy, executive chairman of the board credited the strong quarter to the company’s ability “to continue to execute successfully on its global growth strategies.”
Looking ahead to the first quarter of 2018, Lululemon expects net revenue to range between $612 million and $617 million based on a total comparable sales increase in the low double digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $0.44 to $0.46 for the quarter.
For the full fiscal year, the company is expecting net revenue to be in the range of $2.985 billion to $3.022 billion, with total comparable sales increases in the mid-to-high single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $3.00 to $3.08 for the full year.
"We are seeing strong momentum across our business as we now move into 2018, which is further positioning us to achieve our 2020 revenue goal of $4 billion,” said Stuart Haselden, Lululemon’s COO Stuart Haselden.
For the period ended Jan. 28, the athleisure retailer’s net revenue was $928.8 million, an increase of 18% compared to the fourth quarter in 2016. This beat analyst estimates of $912 million.
The company earned $120 million, or $0.88 cents per share for the fourth quarter, compared with $136.1 million, or $0.99 cents a share, a year ago.
Total comparable sales increased 12%. Comparable store sales increased 12%, while direct to consumer net revenue increased 44%. In Asia, comparable sales were up 52% compared to the same quarter a year prior.
This is the first quarter of earnings since Laurent Potdevin stepped down as CEO of the athleisure retailer.
For the year, net revenue was $2.6 billion, an increase of 13% compared to fiscal 2016. Total comparable sales increased 7%. Comparable store sales increased 1%, and direct to consumer net revenue increased 27%.
The company ended the year with 404 stores, and all locations that have been open for at least one year averaged sales of $1,554 per sq. ft.
Glenn Murphy, executive chairman of the board credited the strong quarter to the company’s ability “to continue to execute successfully on its global growth strategies.”
Looking ahead to the first quarter of 2018, Lululemon expects net revenue to range between $612 million and $617 million based on a total comparable sales increase in the low double digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $0.44 to $0.46 for the quarter.
For the full fiscal year, the company is expecting net revenue to be in the range of $2.985 billion to $3.022 billion, with total comparable sales increases in the mid-to-high single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $3.00 to $3.08 for the full year.
"We are seeing strong momentum across our business as we now move into 2018, which is further positioning us to achieve our 2020 revenue goal of $4 billion,” said Stuart Haselden, Lululemon’s COO Stuart Haselden.