March 28, 2023 — Lululemon Athletica (NASDAQ:LULU) today announced financial results for the fourth quarter and fiscal year ended January 29, 2023.
Analyst Forecast
Lululemon Athletica (NASDAQ:LULU) reported fiscal Q4 adjusted earnings of $4.40 per diluted share, up from $3.37 a year earlier.
Analysts polled by Capital IQ forecast $4.26.
Revenue for the quarter ended Jan. 29 was $2.77 billion, up from $2.13 billion a year earlier.
Analysts surveyed by Capital IQ estimated $2.7 billion.
Lululemon said it projects fiscal Q1 EPS of $1.93 to $2 on revenue of $1.89 billion to $1.93 billion. Analysts polled by Capital IQ are looking for EPS of $1.65 and revenue of $1.85 billion.
The company also said it expects fiscal 2023 EPS of $11.50 to $11.72 on revenue of $9.3 billion to $9.41 billion. Analysts surveyed by Capital IQ are expecting EPS of $11.19 and revenue of $9.14 billion.
Financian
For the fourth quarter of 2022, compared to the fourth quarter of 2021:
Net revenue increased 30% to $2.8 billion, or increased 33% on a constant dollar basis. Net revenue increased 29% in North America and increased 35% internationally.
Total comparable sales increased 27%, or 30% on a constant dollar basis. Comparable store sales increased 15%, or 17% on a constant dollar basis. Direct to consumer net revenue increased 37%, or 39% on a constant dollar basis.
Diluted earnings per share were $0.94 compared to $3.36 in the fourth quarter of 2021. Adjusted diluted earnings per share for the fourth quarter of 2022 were $4.40 compared to $3.37 in the fourth quarter of 2021.
The Company opened 32 net new company-operated stores during the quarter, ending with 655 stores.
Earnings Guidance
For the first quarter of fiscal 2023, we expect net revenue to be in the range of $1.890 billion to $1.930 billion, representing growth of approximately 18%. Diluted earnings per share are expected to be in the range of $1.93 to $2.00 for the quarter. This guidance assumes a 30% tax rate.
For fiscal 2023, we expect net revenue to be in the range of $9.300 billion to $9.410 billion, representing growth of approximately 15%. Diluted earnings per share are expected to be in the range of $11.50 to $11.72 for the year. This guidance assumes a 30% tax rate.
The guidance does not reflect potential future repurchases of the Company’s shares.
Share Repurchase
The Company repurchased 0.2 million shares of its own common stock at an average price of $323.14 per share for a cost of $68.7 million.
CEO
Calvin McDonald, Chief Executive Officer, stated: “In the fourth quarter and full year 2022, we delivered strong results across the business driven by our innovative products, powerful guest experiences, and strategic market expansion. Our continued high level of performance is a reflection of the hard work and agility of our incredible teams and the deep connections they create with our guests and communities around the world. As we enter 2023, we look forward to another year of strong momentum across the globe and delivering on our Power of Three ×2 growth plan.”
About Lululemon Athletica (NASDAQ:LULU)
lululemon athletica inc. (NASDAQ:LULU) is a technical athletic apparel, footwear, and accessories company for yoga, running, training, and most other activities, creating transformational products and experiences that build meaningful connections, unlocking greater possibility and wellbeing for all. Setting the bar in innovation of fabrics and functional designs, lululemon works with yogis and athletes in local communities around the world for continuous research and product feedback. For more information, visit lululemon.com.