lululemon athletica Shares Rally After Earnings, Revenue Tops Expectations
2022.09.02 00:06
lululemon athletica (LULU) Shares Rally After Earnings, Revenue Tops Expectations
By Sam Boughedda
Lululemon Athletica Inc (NASDAQ:LULU) shares gained 8% in extended trading Thursday after it posted earnings, topping profit and revenue expectations.
Lululemon closed Thursday’s regular session down 1.84% at $294.45 but is now up at $318 per share.
The athletic apparel retailer posted earnings per share of $2.20 on revenue of $1.9 billion. Earnings beat expectations of $1.86 by $0.34. Revenue was forecast to be $1.77 billion.
Total comparable sales increased 23%, while direct-to-consumer net revenue increased 30%.
The company said that despite macro headwinds, guest traffic in its stores and on its e-commerce sites remains robust.
“The momentum in our business continued in the second quarter, fueled by strong guest response to our product innovations, community activations, and omni experience,” said Calvin McDonald, Chief Executive Officer of lululemon.
Looking ahead, lululemon sees third-quarter EPS between $1.90 and $1.95, well above the consensus of $1.78, while revenue for the same period is seen between $1.78 billion and $1.805 billion, above the consensus of $1.73 billion.
For the full year, the company expects earnings between $9.75 and $9.90 per share, above the consensus of $9.44, with revenue in a range of $7.865 billion and $7.94 billion. The consensus estimate for revenue guidance was $7.69 billion.
