lululemon plans to open 25 new stores in North America
11 Sep '07
4 min read
lululemon athletica inc announced financial results for the three and six months ended July 31, 2007.
For the three months ended July 31, 2007: • Net revenue increased 80% to $58.7 million compared to $32.5 million for the second quarter of fiscal 2006. Net revenue from corporate-owned stores increased 98% to $53.1 million compared to $26.8 million for the second quarter of fiscal 2006, with comparable store sales growth of 30%. • Gross profit as a percentage of net revenue increased 430 basis points to approximately 53% of net revenue from 49% of net revenue in the second quarter of fiscal 2006. • Income from operations increased 202% to $9.8 million, or 17% of revenues, compared to $3.2 million, or 10% of revenues, in the second quarter of fiscal 2006. • Diluted earnings per share were $0.07 on net income of $5.1 million, compared to diluted earnings per share of $0.03 on net income of $1.9 million in the second quarter of fiscal 2006.
For the six months ended July 31, 2007: • Net revenue increased 70% to $103.5 million compared to $60.7 million for the same period in fiscal 2006. Net revenue from corporate-owned stores increased 86% to $91.1 million compared to $49.0 million for the same period in fiscal 2006, with comparable store sales growth of 25%. • Gross profit as a percentage of net revenue increased 210 basis points to approximately 52% of revenues from 50% of net revenue in the first six months of fiscal 2006. • Income from operations increased 78% to $16.6 million, or 16% of revenues, compared to $9.4 million, or 15% of revenues, in the first six months of fiscal 2006. • Diluted earnings per share were $0.12 on net income of $8.7 million, compared to diluted earnings per share of $0.07 on net income of $5.1 million, for the same period in fiscal 2006.
Robert Meers, lululemon's CEO stated: “We are pleased to report strong results in our initial quarter as a public company. Our team has built on the success of our unique winning formula – vertically retailing technical apparel for men and women – in a rapidly growing global market for healthy and active living. All of our managers, educators, brand ambassadors and head office employees continue to pave the way for the company's success.”