Board of Administrators Authorizes $1.0 Billion Build up in Its Inventory Repurchase ProgramRevenue larger 10% to $2.2 billionComparable gross sales larger 6%, or larger 7% on a continuing greenback basisDiluted EPS of $2.54VANCOUVER, British Columbia–(BUSINESS WIRE)–
lululemon athletica inc. (NASDAQ:LULU) as of late introduced monetary effects for the primary quarter of fiscal 2024, which ended on April 28, 2024.
Calvin McDonald, Leader Government Officer, mentioned: “Within the first quarter, we noticed sturdy momentum in our world markets, demonstrating how our logo continues to resonate around the globe. Visitors spoke back properly to our product inventions throughout classes, and we’re happy by means of the development we’re making to optimize our U.S. product collection. Taking a look forward, we proceed to have a vital runway for enlargement and are assured in our crew’s skill to powerfully ship for our visitors in 2024 and past.”
For the primary quarter of 2024, in comparison to the primary quarter of 2023:
Web income larger 10% to $2.2 billion, or larger 11% on a continuing greenback foundation.
Americas internet income larger 3%, or 4% on a continuing greenback foundation.
World internet income larger 35%, or 40% on a continuing greenback foundation.
Similar gross sales larger 6%, or 7% on a continuing greenback foundation.
Americas related gross sales had been flat in comparison to the primary quarter of 2023.
World related gross sales larger 25%, or 29% on a continuing greenback foundation.
Gross benefit larger 11% to $1.3 billion.
Gross margin larger 20 foundation issues to 57.7%.
Source of revenue from operations larger 8% to $432.6 million.
Working margin lowered 50 foundation issues to 19.6%.
The efficient source of revenue tax fee for the primary quarter of 2024 used to be 29.5% in comparison to 29.1% for the primary quarter of 2023.
Diluted income in line with percentage had been $2.54 in comparison to $2.28 within the first quarter of 2023.
The Corporate ended the primary quarter of 2024 with 711 company-operated shops.
Meghan Frank, Leader Monetary Officer, mentioned: “We reported first quarter effects forward of our expectancies as we operated with agility and persevered to make strategic investments within the trade. As we glance to the remainder of the 12 months, we stay thinking about leveraging our strengths and differentiated style to advance our Energy of 3 ×2 technique and gas efficiency. We’re energized by means of the alternatives in entrance folks and imagine we’re well-positioned to pressure sustainable, long-term enlargement.”
Inventory Repurchase Program
Right through the primary quarter of 2024, the Corporate repurchased 0.8 million stocks of its not unusual inventory for a price of $296.9 million.
On Would possibly 29, 2024, the board of administrators licensed a $1.0 billion build up to the Corporate’s inventory repurchase program. Together with this build up, as of June 5, 2024, the Corporate had roughly $1.7 billion ultimate approved on its inventory repurchase program.
Stability Sheet Highlights
The Corporate ended the primary quarter of 2024 with $1.9 billion in money and money equivalents and the capability underneath its dedicated revolving credit score facility used to be $393.8 million.
Inventories on the finish of the primary quarter of 2024 lowered 15% to $1.3 billion in comparison to $1.6 billion on the finish of the primary quarter of 2023.
2024 Outlook
For the second one quarter of 2024, the Corporate expects internet income to be within the vary of $2.400 billion to $2.420 billion, representing enlargement of 9% to ten%. Diluted income in line with percentage are anticipated to be within the vary of $2.92 to $2.97 for the quarter. This assumes a tax fee of roughly 30%.
For 2024, the Corporate continues to be expecting internet income to be within the vary of $10.700 billion to $10.800 billion, representing enlargement of eleven% to twelve%, or 10% to 11% with the exception of the 53rd week of 2024. It continues to be expecting running margin for the 12 months to be roughly 23.3%. Diluted income in line with percentage are actually anticipated to be within the vary of $14.27 to $14.47 for the 12 months. This assumes a tax fee of roughly 30%.
The steering does no longer mirror doable long term repurchases of the Corporate’s stocks.
The steering and outlook forward-looking statements made on this press unlock are according to control’s expectancies as of the date of this press unlock and don’t incorporate long term unknown affects, together with macroeconomic tendencies. The Corporate undertakes no responsibility to replace or to proceed to offer data with appreciate to any forward-looking statements or possibility elements, whether or not because of new data or long term occasions or cases or differently. Exact effects and the timing of occasions may just fluctuate materially from the ones expected in those forward-looking statements because of dangers and uncertainties, together with the ones mentioned underneath.
Energy of 3 ×2
The Corporate’s Energy of 3 ×2 enlargement plan requires a doubling of the trade from 2021 internet income of $6.25 billion to $12.5 billion by means of 2026. The important thing pillars of the plan are product innovation, visitor revel in, and marketplace enlargement and the expansion technique features a plan to double males’s, double e-commerce, and quadruple world internet income relative to 2021.
Convention Name Data
A convention name to speak about first quarter effects is scheduled for as of late, June 5, 2024, at 4:30 p.m. Jap time. The ones taken with taking part within the name are invited to dial 1-800-319-4610 or 1-604-638-5340, if calling across the world, roughly 10 mins previous to the beginning of the decision. A reside webcast of the convention name can be to be had on-line at: A replay can be made to be had on-line roughly two hours following the reside name for a length of 30 days.
About lululemon athletica inc.
lululemon athletica inc. (NASDAQ:LULU) is a technical athletic attire, sneakers, and equipment corporation for yoga, working, coaching, and maximum different actions, developing transformational merchandise and reports that construct significant connections, unlocking higher risk and wellbeing for all. Surroundings the bar in innovation of materials and useful designs, lululemon works with yogis and athletes in native communities around the globe for steady analysis and product comments. For more info, consult with lululemon.com.
Non-GAAP Monetary Measures
Consistent greenback adjustments are non-GAAP monetary measures. A continuing greenback foundation assumes the common foreign currencies alternate charges for the length remained consistent with the common foreign currencies alternate charges for a similar length of the prior 12 months. The Corporate supplies consistent greenback adjustments in its effects to assist traders perceive the underlying enlargement fee of internet income with the exception of the have an effect on of adjustments in foreign currencies alternate charges. Control makes use of those consistent forex metrics internally when reviewing and assessing monetary efficiency.
The Corporate’s fiscal 12 months ends at the Sunday closest to January thirty first of the next 12 months, most often leading to a 52-week 12 months, however now and again giving upward push to an extra week, leading to a 53-week 12 months. Fiscal 2023 used to be a 52-week 12 months whilst 2024 can be a 53-week 12 months. The anticipated internet income build up with the exception of the 53rd week excludes the anticipated internet income for the 53rd week of 2024. This permits an analysis of the anticipated year-over-year build up in internet income according to 52 weeks in each and every 12 months.
The presentation of this monetary data isn’t meant to be thought to be in isolation or as an alternative to, or with higher prominence to, the monetary data ready and offered according to GAAP. For more info on those non-GAAP monetary measures, please see the segment captioned “Reconciliation of Non-GAAP Monetary Measures” incorporated within the accompanying monetary tables, which contains extra element at the GAAP monetary measure this is maximum immediately related to each and every non-GAAP monetary measure, and the comparable reconciliations between those monetary measures. The Corporate’s non-GAAP monetary measures is also calculated in a different way from, and due to this fact will not be immediately related to, in a similar fashion titled measures reported by means of different corporations.
Ahead-Taking a look Statements:
This press unlock comprises estimates, projections, statements with regards to the Corporate’s trade plans, goals, and anticipated running effects which might be “forward-looking statements” inside the which means of the Non-public Securities Litigation Reform Act of 1995, Phase 27A of the Securities Act of 1933 and Phase 21E of the Securities Trade Act of 1934. In lots of instances, you’ll establish forward-looking statements by means of phrases equivalent to “would possibly,” “will,” “must,” “expects,” “plans,” “anticipates,” “outlook,” “believes,” “intends,” “estimates,” “predicts,” “doable” or the unfavourable of those phrases or different related terminology. Those forward-looking statements additionally come with the Corporate’s steering and outlook statements. Those statements are according to control’s latest expectancies however they contain various dangers and uncertainties. Exact effects and the timing of occasions may just fluctuate materially from the ones expected within the forward-looking statements because of dangers and uncertainties, which come with, with out limitation: the Corporate’s skill to take care of the worth and popularity of its logo; adjustments in shopper buying groceries personal tastes and shifts in distribution channels; the acceptability of its merchandise to visitors; its extremely aggressive marketplace and extending pageant; expanding prices and lowering promoting costs; its skill to wait for shopper personal tastes and effectively increase and introduce new, cutting edge and up to date merchandise; its skill to correctly forecast visitor call for for its merchandise; its skill to make bigger in gentle of its restricted running revel in and restricted logo reputation in new world markets and new product classes; its skill to control its enlargement and the larger complexity of its trade successfully; its skill to effectively open new retailer places in a well timed way; seasonality; disruptions of its provide chain; its reliance on a quite small choice of distributors to offer and manufacture a good portion of its merchandise; providers or producers no longer complying with its Seller Code of Ethics or appropriate regulations; its skill to ship its merchandise to the marketplace and to fulfill visitor expectancies if it has issues of its distribution machine; expanding hard work prices and different elements related to the manufacturing of its merchandise in South Asia and South East Asia; its skill to safeguard towards safety breaches with appreciate to its know-how techniques; its compliance with privateness and information coverage regulations; any subject material disruption of its data techniques; its skill to have technology-based techniques serve as successfully and develop its e-commerce trade globally; local weather alternate, and comparable legislative and regulatory responses; larger scrutiny relating to its environmental, social, and governance, or sustainability duties; an financial recession, despair, or downturn or financial uncertainty in its key markets; world or regional well being occasions such because the COVID-19 pandemic and comparable govt, personal sector, and person shopper responsive movements; world financial and political prerequisites; its skill to supply and promote its products profitably or in any respect if new industry restrictions are imposed or present industry restrictions grow to be extra burdensome; adjustments in tax regulations or unanticipated tax liabilities; its skill to agree to industry and different rules; fluctuations in foreign currencies alternate charges; imitation by means of its competition; its skill to give protection to its highbrow belongings rights; conflicting logos and patents and the prevention of sale of positive merchandise; its publicity to more than a few sorts of litigation; and different dangers and uncertainties set out in filings made now and again with the USA Securities and Trade Fee and to be had at www.sec.gov, together with, with out limitation, its most up-to-date reviews on Shape 10-Okay and Shape 10-Q. You might be advised to believe those elements sparsely in comparing the forward-looking statements contained herein and are cautioned to not position undue reliance on such forward-looking statements, which might be certified of their entirety by means of those cautionary statements. The forward-looking statements made herein discuss most effective as of the date of this press unlock and the Corporate undertakes no legal responsibility to publicly replace such forward-looking statements to mirror next occasions or cases, except for as is also required by means of legislation.
lululemon athletica inc.
The fiscal 12 months finishing February 2, 2025 is known as “2024” and the fiscal 12 months ended January 28, 2024 is known as “2023”.
Condensed Consolidated Statements of Operations
Unaudited; Expressed in hundreds, except for in line with percentage quantities
First Quarter
2024
2023
Web income
$
2,208,891
$
2,000,792
Prices of products bought
933,823
849,987
Gross benefit
1,275,068
1,150,805
As a share of internet income
57.7%
57.5%
Promoting, normal and administrative bills
842,426
747,513
As a share of internet income
38.1%
37.4%
Amortization of intangible property
—
1,878
Source of revenue from operations
432,642
401,414
As a share of internet income
19.6%
20.1%
Different source of revenue (expense), internet
23,283
8,025
Source of revenue prior to source of revenue tax expense
455,925
409,439
Source of revenue tax expense
134,504
119,034
Web source of revenue
$
321,421
$
290,405
Fundamental income in line with percentage
$
2.55
$
2.28
Diluted income in line with percentage
$
2.54
$
2.28
Fundamental weighted-average stocks remarkable
125,989
127,246
Diluted weighted-average stocks remarkable
126,336
127,621
lululemon athletica inc.
Condensed Consolidated Stability Sheets
Unaudited; Expressed in hundreds
April 28,
2024
January 28,
2024
April 30,
2023ASSETS
Present property
Money and money equivalents
$
1,900,672
$
2,243,971
$
950,607
Inventories
1,345,267
1,323,602
1,580,313
Pay as you go and receivable source of revenue taxes
192,955
183,733
182,393
Different latest property
329,193
309,271
339,989
Overall latest property
3,768,087
4,060,577
3,053,302
Assets and kit, internet
1,561,185
1,545,811
1,312,793
Proper-of-use rent property
1,263,749
1,265,610
993,471
Goodwill and intangible property, internet
23,992
24,083
44,123
Deferred source of revenue taxes and different non-current property
211,482
195,860
167,855
Overall property
$
6,828,495
$
7,091,941
$
5,571,544
LIABILITIES AND STOCKHOLDERS’ EQUITY
Present liabilities
Accounts payable
$
261,605
$
348,441
$
287,464
Amassed liabilities and different
374,446
348,555
342,751
Amassed reimbursement and comparable bills
132,911
326,110
125,053
Present rent liabilities
254,443
249,270
210,506
Present source of revenue taxes payable
53,087
12,098
30,213
Unredeemed present card legal responsibility
268,296
306,479
223,970
Different latest liabilities
38,783
40,308
36,814
Overall latest liabilities
1,383,571
1,631,261
1,256,771
Non-current rent liabilities
1,147,631
1,154,012
888,582
Non-current source of revenue taxes payable
15,864
15,864
28,555
Deferred source of revenue tax legal responsibility
29,150
29,522
54,533
Different non-current liabilities
32,471
29,201
23,027
Stockholders’ fairness
4,219,808
4,232,081
3,320,076
Overall liabilities and stockholders’ fairness
$
6,828,495
$
7,091,941
$
5,571,544
lululemon athletica inc.
Condensed Consolidated Statements of Money Flows
Unaudited; Expressed in hundreds
First Quarter
2024
2023
Money flows from running actions
Web source of revenue
$
321,421
$
290,405
Changes to reconcile internet source of revenue to internet money equipped by means of running actions
(193,897
)
(244,902
)
Web money equipped by means of running actions
127,524
45,503
Web money utilized in making an investment actions
(131,537
)
(138,219
)
Web money utilized in financing actions
(328,628
)
(115,399
)
Impact of foreign currencies alternate fee adjustments on money and money equivalents
(10,658
)
3,855
Lower in money and money equivalents
(343,299
)
(204,260
)
Money and money equivalents, starting of length
2,243,971
1,154,867
Money and money equivalents, finish of length
$
1,900,672
$
950,607
lululemon athletica inc.Reconciliation of Non-GAAP Monetary Measures
UnauditedConstant greenback adjustments
The underneath adjustments display the alternate for the primary quarter of 2024 in comparison to the primary quarter of 2023.
Web Earnings
Build up
Overseas
alternate
Build up in
consistent
dollarsUnited States
2%
—%
2%
Canada
11
1
12
Americas
3
1
4
China Mainland
45
7
52
Remainder of Global
27
3
30
Overall world
35
5
40
Overall
10%
1%
11%
Similar Gross sales(1)
Build up
Overseas
alternate
Build up in
consistent
dollarsAmericas
—%
—%
—%
China Mainland
26
7
33
Remainder of Global
23
3
26
Overall world
25
4
29
Overall
6%
1%
7%
__________
(1)
Similar gross sales comprises related company-operated retailer and e-commerce internet income. Similar company-operated shops had been open for a minimum of 12 complete fiscal months, or open for a minimum of 12 complete fiscal months after being considerably expanded. Similar company-operated shops exclude shops that have been quickly relocated for renovations or had been quickly closed.
Anticipated internet income build up with the exception of the 53rd week
The Corporate’s fiscal 12 months ends at the Sunday closest to January thirty first of the next 12 months, most often leading to a 52-week 12 months, however now and again giving upward push to an extra week, leading to a 53-week 12 months. Fiscal 2023 used to be a 52-week 12 months whilst 2024 can be a 53-week 12 months.
Fiscal 2024
Anticipated internet income build up
11% to twelve%
Affect of 53rd week
(1)%
Anticipated internet income build up with the exception of the 53rd week (non-GAAP)
10% to 11%
lululemon athletica inc.
Corporate-operated Retailer Depend and Sq. Pictures(1)
Sq. photos expressed in hundreds
Collection of
Shops Open
on the
Starting of
the Quarter
Collection of
Shops
Opened
Right through the
Quarter
Collection of
Shops Closed
Right through the
Quarter
Collection of
Shops Open
on the Finish of
the Quarter
2d Quarter 2023
662
12
2
672
third Quarter 2023
672
15
1
686
4th Quarter 2023
686
26
1
711
1st Quarter 2024
711
5
5
711
Overall Gross
Sq. Toes at
the Starting
of the Quarter
Gross Sq.
Toes Added
Right through the
Quarter(2)
Gross Sq.
Toes Misplaced
Right through the
Quarter(2)
Overall Gross
Sq. Toes at
the Finish of the
Quarter
2d Quarter 2023
2,632
64
5
2,691
third Quarter 2023
2,691
109
3
2,797
4th Quarter 2023
2,797
173
3
2,967
1st Quarter 2024
2,967
35
14
2,988
__________
(1)
Corporate-operated retailer depend and sq. photos abstract excludes retail places operated by means of 3rd events underneath license and provide preparations.
(2)
Gross sq. toes added/misplaced throughout the quarter comprises internet sq. foot additions for company-operated shops that have been renovated or relocated within the quarter.
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