Canada's Lululemon Athletica's net revenue up 42% in FY21

The company’s overall direct-to-consumer net revenue for fiscal 2021 represented 44 per cent of total net revenue compared to 52 per cent for fiscal 2020. Its gross profit for fiscal 2021 improved by 46 per cent to $3.6 billion and gross margin increased 170 basis points to 57.7 per cent when compared to fiscal 2020. Moreover, income from operations increased 63 per cent to $1.3 billion and adjusted income from operations increased 62 per cent to $1.4 billion, for the same period, Lululemon Athletica said in a media release.

Lululemon Athletica also reported results of its fourth quarter of fiscal 2021, wherein the company’s net revenue increased 23 per cent to $2.1 billion compared to fourth quarter of fiscal 2020. Morever, its net revenue increased 21 per cent in North America and increased 35 per cent internationally, for the same period.

The company’s comparable store sales for the fourth quarter of fiscal 2021 increased 32 per cent and direct-to-consumer net revenue increased 17 per cent or increased 16 per cent on a constant dollar basis when compared to the fourth quarter of 2020. Furthermore, Lululemon Athletica’s gross profit increased 22 per cent to $1.2 billion, and gross margin decreased 50 basis points to 58.1 per cent for the same period.  

Lululemon Athletica’s net revenue for the fourth quarter of fiscal 2021 increased by $2.3 billion, or 57 per cent when compared to the fourth quarter of fiscal 2019, representing a two-year compound annual growth rate of 25 per cent. Its gross margin increased 180 basis points for the same period, the media release added.

For the first quarter of fiscal 2022, Lululemon Athletica expects its net revenue to be in the range of $1.525 billion to $1.550 billion, representing a growth of 24 per cent to 26 per cent and net revenue to be in the range of $7.490 billion to $7.615 billion, representing growth of 20 per cent to 22 per cent for fiscal 2022.

"Our results were driven by consistently strong performance across Lululemon Athletica’s products, channels, and regions. In addition, for both the fourth quarter and full year, we delivered revenue growth above our power of three goals, despite the continued impact of COVID-19 and global supply chain issues. We are pleased to see Lululemon Athletica’s momentum continue at the start of 2022 and are optimistic about our performance for the year ahead," Meghan Frank, chief financial officer of Lululemon Athletica, stated.

Fibre2Fashion News Desk (SF)