Lululemon ups fourth quarter forecasts on strong online and China demand
Clothing retailer Lululemon Athletica boosted its profit and revenue forecasts for the last quarter of its financial year today, driven by online growth and demand from China.
The Canadian retailer, which is known for its upscale yoga and athletic wear, said its upgrade was based on a strong holiday season and success “around the globe”.
Lululemon said it expects its net revenue for the quarter ending 3 February to be in the range of $1.14bn (£880m) to $1.15bn, up from its previous guidance of $1.115bn to $1.125bn.
Chief executive Calvin McDonald said: ”The momentum in our business remained strong throughout the holiday season, reflecting the ongoing success of our product offerings and our connection with guests around the globe.”
McDonald has increased investment in China and in December identified Asia as a key growth driver.
Last month the company said online traffic had surged in the third quarter and its e-commerce business in China had jumped 76 per cent.
The Nasdaq-listed retailer’s share price was up 5.6 per cent at $139.65 following the news.