- Lululemon (NASDAQ:LULU) trades higher after reporting strong results across all the company's drivers of growth.
- Revenue was up 83% during the quarter on a constant dollar basis, driven higher by a 125% jump in international markets.
- Direct to consumer revenue rose 55% Y/Y to $545M to account for 50% of sales.
- Gross margin was 57.1% of revenue and operating margin was 15.8% of sales.
- CFO outlook on the quarter: "Our momentum remains strong as we enter the second quarter, and we are raising our estimates for the year accordingly. The strength of our financial position allows us to continue to deliver against the Power of Three growth strategies, while we leverage both near- and long-term opportunities."
- Guidance: For Q1, Lululemon expects revenue to be in the range of $1.30B to $1.330B vs. $1.20B consensus and EPS to be in the range of $1.10 to $1.15. For FY21, Lululemon sees revenue in the range of $5.825B to $5.905B vs. $5.69B consensus and EPS of $6.73 to $6.86 vs. $6.49 consensus.
- Shares of LULU are up 1.62% in AH trading to $322.50 after the earnings topper.