The Canadian sportswear provider Lululemon Athletica Inc. was able to record a solid sales plus in the first quarter of the 2025/26 financial year, but had to accept a slight drop in profits.
Overall, the results, which the yoga-clothing specialist published from Vancouver on Thursday evening, were not surprisingly surprising: they essentially corresponded to the expectations of the analyst: inside. However, the company nevertheless lowered its profit forecast for the current year.
Strong growth in China inspire sales development
In the opening quarter, which ended on May 4, Lululemon generated sales of $ 2.37 billion (2.07 billion euros). This corresponded to an increase of seven percent compared to the same period last year. Adjusted to change course changes, the proceeds grew by eight percent.
The growth was mainly due to the opening of new stores. On a comparable area, the company’s sales increased only by one percent.
In America, Lululemon achieved sales increase of three percent (adjusted to currency +4 percent). International business developed significantly again, not least thanks to above -average growth in mainland china (+21 percent) by 19 percent (adjusted for currency +20 percent).
The net profit shrinks by two percent
The company was able to increase its operational margin from 57.7 to 58.3 percent, but had to record significantly higher sales community costs and one -off loads. The operating result only increased by 1.4 percent to $ 438.6 million.
The net profit fell by 2.1 percent to $ 314.6 million (274.9 million euros). Due to stock returns, the watered profit per share increased from $ 2.54 to $ 2.60 and was therefore slightly above the market expectations.
Management lowers the profit forecast
In view of the available figures and the current market conditions, management reduced its result forecast for the year as a whole. For 2025/26, it only expects a watered profit per share in the range of $ 14.78. Previously, $ 14.95 to $ 15.15 had been expected.
However, the sales target remained unchanged. It is therefore still $ 11.15 to $ 11.30 billion, which would mean an increase of five to seven percent compared to the previous year.