Stretchy pants, stretchy earnings... Lululemon's stock rose 5% Wednesday on a report that sales jumped 20% last quarter compared to the year before. Here are the different asanas that contributed to that growth:
- More sales: At existing stores (ones open a year or longer) sales rose by 6% on average.
- More stores: A fresh 44 new Lulus ceremonially ohhhhhhhhhhm'd over the past 12 months.
- More online: Online sales leapt 33% as #SweatLife members order stuff they can stretch, sweat, and sip apres cocktails in. A quarter of total sales are online now.
This is vintage Lulu... It constantly introduces new products, but last quarter was driven by its OG flagship goods — women's leggings and jogger pants. At $100+, they're more expensive than the competition, but the CEO has no plans to lower the price. He even boosted his expectations for profits for the rest of the year.
Mo' men, mo' money... Lulu profits hit a record $97M last quarter driven by sales to women. But this past spring, the CEO released an aggressive 5-year plan with a bold goal: Double men's sales by 2023. He's also pushing the Lulu lifestyle with clothing-free deodorant and sneakers. Plus there's expansion to China and Europe. Operation power flow.