Athletic apparel brand Lululemon has upped its full-year guidance after reporting improving revenue and profit in the first quarter of the year.
In the three months ended January 29, net revenue increased 32 percent year-over-year to 1.6 billion dollars, with revenue in its home market of North America up 32 percent, and international revenue up 29 percent.
The company made net income of 190 million dollars, up from 145 million dollars a year earlier.
“In the first quarter of 2022, continued momentum in the business enabled us to achieve a strong start to the year,” CEO Calvin McDonald told investors.
“These results provide a solid foundation as we begin our next five-year journey and deliver against our new Power of Three ×2 growth plan,” he said.
Lululemon ups outlook
Based on its Q1 trading, Lululemon upped its full-year revenue and profit guidance. It now expects annual revenue of between 7.61 billion dollars and 7.71 billion dollars, up from its previous estimate of between 7.49 billion dollars and 7.62 billion dollars.
It now expects diluted earnings per share in the range of 9.42 dollars to 9.57 dollars.
Chief financial officer Meghan Frank said: “Our teams continue to deliver strong financial performance while navigating the ongoing impacts of Covid-19, supply chain disruptions and inflationary pressures.
“While we are not immune to these challenges, our omni operating model, balanced growth strategy, and unique approach toward innovation enable the positive results we are reporting today and anticipate for the full year.”