Lululemon Athletica Inc. posted a 10 percent increase in net sales in the fiscal first quarter. delivering $2.2 billion for the period ended May 4. On a constant-dollar basis, sales increase 11 percent.

  • Americas net revenue increased 3 percent, or 4 percent on a constant-dollar basis, in the first quarter.
  • International net revenue increased 35 percent, or a 40 percent increase on a constant-dollar basis in Q1.

Comparable sales increased 6 percent, or 7 percent on a constant-dollar basis, for the first quarter.

  • Americas region comparable sales were flat in Q1, compared to the first quarter of 2023.
  • International comparable sales increased 25 percent year-over-year, or 29 percent growth on a constant-dollar basis.

Gross profit increased 11 percent to $1.3 billion, with gross margin improving 20 basis points to 57.7 percent of net sales in the Q1 period.

Diluted earnings per share were $2.54 compared to $2.28 in the first quarter of 2023.

2024 Outlook

For full-year 2024, the company continues to expect net revenue to be in the range of $10.7 billion to $10.8 billion, representing growth of 11 percent to 12 percent, or 10 percent to 11 percent excluding the 53rd week of 2024.

LULU continues to expect operating margin for the year to be approximately 23.3 percent of net sales.

Diluted earnings per share are now expected to be in the range of $14.27 to $14.47 for the year. This assumes a tax rate of approximately 30 percent.

The guidance does not reflect potential future repurchases of the company’s shares.

Image courtesy Lululemon Athletica, Inc.

See below for more SGB Media coverage of Lululemon’s Q1 report, including ensuring product innovation, acquiring Mexico operations, details by channel, category and region and much more:

EXEC: Lululemon Had Busy Q1, Beating Estimates, Buying Mexico Ops, Fixing Product Misses