Athletic wear company Lululemon Athletica (NASDAQ: LULU) has reported a double-digit increase in earnings and revenues for the first quarter of 2023. The company also provided positive guidance for the second quarter and the fiscal year.
At $2.0 billion, first-quarter revenues were up 24% from last year. Sales rose 17% in North America, and an impressive 60% in the rest of the world. The positive outcome reflects a 14% increase in comparable sales and a 16% growth in direct-to-customer revenues.
Reflecting the strong revenue growth, the company’s net income increased to $290.4 million or $2.28 per share in the April quarter from $190 million or $1.48 per share a year earlier.
For the second quarter, the management expects net revenue to be in the range of $2.140 billion to $2.170 billion, which represents a 15% year-over-year increase. Net income is expected to be between $2.47 per share and $2.52 per share in the July quarter. The forecast for full-year revenue is $9.440-$9.510 billion, up 17%. Earnings, on a per-share basis, are expected to be in the range of $11.74 to $11.94 in fiscal 2023.
Commenting on the results, Lululemon’s CEO Calvin McDonald said, “Our results reflect the strength of our guest relationships, our innovative products, and how our brand resonates across the globe… We are excited for the future and remain on track to deliver on our Power of Three ×2 growth plan.”