Lululemon Earnings: A Lukewarm Outlook
Here's our initial take on Lululemon Athletica's (NASDAQ: LULU) fiscal 2024 fourth-quarter financial report.Lululemon delivered in the fourth quarter of 2024, growing revenue by 13%, or by 8% when excluding an extra week in this year's quarter. International revenue soared by 38% year over year, driven by new stores and a 20% rise in comparable sales. Revenue in the Americas was up 7%, with flat comparable sales growth. Taken together, Lululemon was able to beat analyst estimates for both revenue and earnings.While Lululemon's fourth-quarter performance beat expectations, its guidance for 2025 did not. Lululemon is struggling with increased competition as well as a tough macroeconomic environment. Management said it expects revenue to grow by just 5% to 7% in fiscal 2025 to a range of $11.15 billion to $11.30 billion. The consensus analyst estimate was $11.31 billion, fully above that range.Continue reading
Here's our initial take on Lululemon Athletica's (NASDAQ: LULU) fiscal 2024 fourth-quarter financial report.
Lululemon delivered in the fourth quarter of 2024, growing revenue by 13%, or by 8% when excluding an extra week in this year's quarter. International revenue soared by 38% year over year, driven by new stores and a 20% rise in comparable sales. Revenue in the Americas was up 7%, with flat comparable sales growth. Taken together, Lululemon was able to beat analyst estimates for both revenue and earnings.
While Lululemon's fourth-quarter performance beat expectations, its guidance for 2025 did not. Lululemon is struggling with increased competition as well as a tough macroeconomic environment. Management said it expects revenue to grow by just 5% to 7% in fiscal 2025 to a range of $11.15 billion to $11.30 billion. The consensus analyst estimate was $11.31 billion, fully above that range.
