Lululemon revenue climbs 26% in Q4FY18

Excluding net revenue from the 53rd week of fiscal 2018, total comparable sales increased 16 per cent, or increased 17 per cent on a constant dollar basis during the fourth quarter. Comparable store sales grew 6 per cent or 7 per cent on a constant dollar basis. Direct to consumer net revenue soared 37 per cent or 39 per cent on a constant dollar basis.

Gross profit was $668.6 million, an increase of 28 per cent compared to the fourth quarter of fiscal 2017. It increased 28 per cent compared adjusted gross profit in the fourth quarter of fiscal 2017.

Excluding net revenue from the 53^rd week of fiscal 2018, total comparable sales increased 18 per cent during fiscal 2018. Comparable store sales improved 7 per cent or 8 per cent on a constant dollar basis. Direct to consumer net revenue climbed 45 per cent or increased 46 per cent on a constant dollar basis.

Gross profit was $1.8 billion, an increase of 30 per cent compared to fiscal 2017. It increased 29 per cent compared to adjusted gross profit in fiscal 2017.

"Lululemon has delivered one of its strongest years yet, a result of broad-based strength across the business. I'm thrilled that we achieved several of our 2020 goals ahead of schedule, and want to thank our teams for their passion, hard work and connection with our guests every day. We are energized to build upon our momentum and to seize the many opportunities ahead for Lululemon around the world," Calvin McDonald, chief executive officer, said.

For the first quarter of fiscal 2019, the company expects net revenue to be in the range of $740 million to $750 million based on a total comparable sales increase in the low-double digits on a constant dollar basis. Diluted earnings per share are projected to be in the range of $0.68 to $0.70 for the quarter.

For fiscal 2019, the net revenue is likely to be in the range of $3.700 billion to $3.740 billion based on a total comparable sales increase in the low-double digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $4.48 to $4.55 for the full year. This guidance assumes 132 million diluted weighted-average shares outstanding and a 28 per cent tax rate. The guidance does not reflect potential future repurchases of the Company's shares. (RR)

Fibre2Fashion News Desk – India