lululemon athletica inc. Updates Revenue and Earnings Expectations for the Fourth Quarter Ahead of the ICR Conference
January 11 2021 - 6:30AM
Business Wire
lululemon athletica inc. (NASDAQ:LULU) today announced the
company now expects revenue and earnings to be at the high end of
its prior range of expectations for the fourth quarter of fiscal
2020 ending January 31, 2021.
Calvin McDonald, Chief Executive Officer, commented: “We’re
pleased with the momentum over the holiday period as our
investments in lululemon and MIRROR allowed us to connect with
guests both physically and digitally. We remain confident about our
opportunities in 2021 and committed to our Power of Three growth
plan.”
For the fourth quarter of fiscal 2020 compared to the fourth
quarter of fiscal 2019, the company now expects the growth rate in
net revenue to be at the high end of its mid-to-high teens
expectation. The company also expects the growth rate in adjusted
diluted earnings per share to now be at the high end of its
mid-single digits expectation.
Members of the management team will be meeting virtually with
analysts and investors at the ICR Conference on January 11-13,
2021.
Please refer to section below entitled “Non-GAAP Financial
Measures.”
About lululemon athletica inc.
lululemon athletica inc. (NASDAQ:LULU) is a healthy lifestyle
inspired athletic apparel company for yoga, running, training, and
most other sweaty pursuits, creating transformational products and
experiences which enable people to live a life they love. Setting
the bar in technical fabrics and functional designs, lululemon
works with yogis and athletes in local communities for continuous
research and product feedback. For more information, visit
www.lululemon.com.
Forward-Looking Statements:
This press release includes estimates, projections, statements
relating to the Company's business plans, objectives, and expected
operating results that are "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995,
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. In many cases, you can identify
forward-looking statements by terms such as "may," "will,"
"should," "expects," "plans," "anticipates," "outlook," "believes,"
"intends," "estimates," "predicts," "potential" or the negative of
these terms or other comparable terminology. These forward-looking
statements also include the Company's guidance and outlook
statements. These statements are based on management's current
expectations, but they involve a number of risks and uncertainties.
Actual results and the timing of events could differ materially
from those anticipated in the forward-looking statements as a
result of risks and uncertainties, which include, without
limitation: the Company's ability to maintain the value and
reputation of its brand; the current COVID-19 coronavirus pandemic
and related government, private sector, and individual consumer
responsive actions; its highly competitive market and increasing
competition; increasing product costs and decreasing selling
prices; its ability to anticipate consumer preferences and
successfully develop and introduce new, innovative and updated
products; its ability to accurately forecast guest demand for its
products; changes in consumer shopping preferences and shifts in
distribution channels; its ability to expand internationally in
light of its limited operating experience and limited brand
recognition in new international markets; its ability to realize
the potential benefits and synergies sought with the acquisition of
MIRROR; its ability to manage its growth and the increased
complexity of its business effectively; its ability to successfully
open new store locations in a timely manner; seasonality; its
reliance on and limited control over third-party suppliers to
provide fabrics for and to produce its products; the operations of
many of its suppliers are subject to international and other risks;
suppliers or manufacturers not complying with its Vendor Code of
Ethics or applicable laws; its ability to deliver its products to
the market and to meet guest expectations if it has problems with
its distribution system; increasing labor costs and other factors
associated with the production of its products in South and South
East Asia; its ability to safeguard against security breaches with
respect to its information technology systems; any material
disruption of its information systems; its ability to have
technology-based systems function effectively and grow its
e-commerce business globally; an economic recession, depression, or
downturn or economic uncertainty in its key markets; global
economic and political conditions and global events such as health
pandemics; its ability to source and sell its merchandise
profitably or at all if new trade restrictions are imposed or
existing trade restrictions become more burdensome; changes in tax
laws or unanticipated tax liabilities; its ability to comply with
trade and other regulations; fluctuations in foreign currency
exchange rates; imitation by its competitors; its ability to
protect its intellectual property rights; conflicting trademarks
and the prevention of sale of certain products; its exposure to
various types of litigation; and other risks and uncertainties set
out in filings made from time to time with the United States
Securities and Exchange Commission and available at www.sec.gov,
including, without limitation, its most recent reports on Form 10-K
and Form 10-Q. You are urged to consider these factors carefully in
evaluating the forward-looking statements contained herein and are
cautioned not to place undue reliance on such forward-looking
statements, which are qualified in their entirety by these
cautionary statements. The forward-looking statements made herein
speak only as of the date of this press release and the Company
undertakes no obligation to publicly update such forward-looking
statements to reflect subsequent events or circumstances, except as
may be required by law.
Non-GAAP Financial Measures
The adjusted earnings per share expectation continues to exclude
certain integration and acquisition-related compensation costs
incurred in connection with the acquisition of MIRROR, and the
related tax effects. The presentation of this financial information
is not intended to be considered in isolation or as a substitute
for the financial information prepared and presented in accordance
with GAAP.
The following table reconciles expected growth in adjusted
diluted earnings per share, for the fourth quarter of fiscal 2020
compared to the fourth quarter of fiscal 2019, with the most
directly comparable measure calculated in accordance with GAAP.
Percentage Growth in
Diluted Earnings Per
Share
GAAP results
Low-Single Digits
MIRROR integration and acquisition-related
costs, net of tax
2% to 3%
Adjusted results (non-GAAP)
Mid-Single Digits
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210111005344/en/
Investors: lululemon athletica inc. Howard Tubin
1-604-732-6124 or ICR, Inc. Joseph Teklits/Caitlin Churchill
1-203-682-8200
Media: lululemon athletica inc. Erin Hankinson
1-604-732-6124 or Brunswick Group Eleanor French 1-415-671-7676
Lululemon Athletica (NASDAQ:LULU)
Historical Stock Chart
From Aug 2024 to Sep 2024
Lululemon Athletica (NASDAQ:LULU)
Historical Stock Chart
From Sep 2023 to Sep 2024