Lululemon Athletica reported second-quarter earnings beating forecasts and revenue that topped market expectations, according to a news release by Lululemon on Wednesday.
- Lululemon Athletica announced earnings per share of $1.65 on revenue of $1.45B, beating Wall Street’s expectations of EPS at $1.18 on revenue of $1.33B.
- Net revenue jumped 61% to $1.5 billion. On a constant dollar basis, net revenue rose 56%, backed by a 142% increase in net revenue from company-operated stores and an 8% increase in direct-to-consumer net revenue.
- Lululemon’s gross profit increased 72% to $842.7 million, and gross margin increased 390 basis points to 58.1%.
- Meghan Frank, Chief Financial Officer, stated that performance in Q2 was driven by a strong response to the product offering, improving productivity in stores, and sustained strength in e-commerce.
- Lululemon Athletica shares are up 9.36% from the start of the year and are trading at $400.63, down-from-52-week-high, underperforming the Nasdaq, which is up 18.61% year to date.
For Q3 of 2021, the company expects the net revenue to be around $1.4 billion to $1.43 billion. For the full year of 2021, the company expects net revenue to be $61.90 billion to $6.260 billion. LULU up +13.95% Pre-market trading.