• Home
  • News
  • Business
  • Lululemon Athletica reports 16 percent rise in Q2 revenue

Lululemon Athletica reports 16 percent rise in Q2 revenue

By Prachi Singh

loading...

Scroll down to read more

Lululemon Athletica for the second quarter ended August 2, 2015 said that its net revenue for the quarter increased 16 percent to 453 million dollars from 390.7 million dollars in the second quarter of fiscal 2014. Total comparable sales, which includes comparable store sales and direct to consumer, increased by 11 percent on a constant dollar basis.

Commenting on the second quarter development, Laurent Potdevin, Lululemon's CEO, stated, “We exceeded our revenue targets for the past quarter, supported by strong performance from both our store and e-commerce channels. Looking to the remainder of the year, our team is laser focused on meeting our strategic key goals.”

Financial highlights indicate positive Q2

Comparable store sales increased by 6 percent on a constant dollar basis and direct to consumer revenue increased 35 percent on a constant dollar basis. Direct to consumer net revenue increased 30 percent to 82.2 million dollars, or 18.2 percent of total company revenue, an increase from 16.2 percent of total company revenues in the second quarter of fiscal 2014.

Gross profit for the quarter increased by 7 percent to 212 million dollars, and as a percentage of net revenue gross profit was 46.8 percent for the quarter compared to 50.5 percent in the second quarter of fiscal 2014. Diluted earnings per share for the quarter were 0.34 dollars on net income of 47.7 million dollars, compared to diluted earnings per share of 0.33 dollars on net income of 48.7 million dollars in the second quarter of fiscal 2014. The Company ended the quarter with 336 stores.

Updates Q3 and FY15 outlook

For the third quarter of fiscal 2015, the company expects net revenue to be in the range of 477 million dollars to 482 million dollars based on total comparable sales in the high single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of 0.35 dollar to 0.37 dollar for the quarter.

For the full fiscal 2015, net revenue is expected to be in the range of 2.025 billion dollars to 2.055 billion dollars based on total comparable sales in the high single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of 1.87 dollars to 1.92 dollars for the full year.

Lululemon Athletica