Lululemon Athletica said its gross profit increased by 24 percent to $870.4 million, whereas its gross margin decreased 320 basis points to 53.9 percent.
Lululemon Athletica Inc (NASDAQ: LULU) stock closed June 2 trading at $302.58, up 4.35 percent from the day’s opening price. The gains have topped 6 percent during the extended trading period. Whereby LULU shares traded around $309 as of June 2, 7:59 pm EDT. The spike in volatility on Thursday has been attributed to the Q1 fiscal 2022 earnings results published by Lululemon.
During the first quarter, the company reported earnings per share of $1.16 on revenue of $1.61B. Whereas analysts polled by Investing.com expected earnings per share of $1.43 on revenue of $1.55B.
Calvin McDonald, Chief Executive Officer, stated:
“In the first quarter of 2022, continued momentum in the business enabled us to achieve a strong start to the year. These results provide a solid foundation as we begin our next five-year journey and deliver against our new Power of Three ×2 growth plan.”
Lululemon Athletica Q1 2022 Key Financial Highlights
The Canadian athletic apparel retailer headquartered in Vancouver reported a revenue increase of 32% to $1.6 billion. Additionally, net revenue increased by 32 percent in North America and increased by 29 percent internationally.
Lululemon Athletica said its gross profit increased by 24 percent to $870.4 million, whereas its gross margin decreased 320 basis points to 53.9 percent.
Worth noting, that the company’s income from operations increased by 34 percent to $260.3 million. Notably, the company’s income tax expense increased by 43 percent to $70.3 million.
The company’s diluted earnings per share came in at $1.48 compared to $1.11 reported during the first quarter of 2021.
During the first quarter, the company undertook a stock repurchase program that cost $232.6 million. According to the Q1 report, the company repurchased 0.7 million of its shares at an average price of $328.40.
Lululemon Athletica has announced that it has opened five new stores thereby bringing them to a remarkable 579 stores.
LULU Shares and Market Outlook
According to market data provided by MarketWatch, LULU shares have traded on a downward trend for the past year. Whereby the company’s stock market is down approximately 4.66%, 22.70%, and 11.94% in the past year, YTD, and the past one month respectively. However, LULU shares are up approximately 5 percent in the past five days.
The company has a market valuation of approximately $38.6 billion. In the past 52 weeks, LULU shares ranged between $251.51 and $485.83.
Forward, the company expects net revenue for Q2 to be in the range of $1.750 billion to $1.775 billion. Additionally, the company expects diluted earnings per share are expected to be in the range of $1.89 to $1.94 for the quarter.
For the whole fiscal year, the company expects net revenue to be in the range of $7.610 billion to $7.710 billion.
Read other business news on Coinspeaker.
Let’s talk crypto, Metaverse, NFTs, CeDeFi, and Stocks, and focus on multi-chain as the future of blockchain technology.
Haha, Take it easy. Let us all WIN!
Ecosystem
Research
News Network
About