Shares of Lululemon Athletica Inc. LULU, -0.43% rose 3% in the extended session on Wednesday after the athletic apparel company beats first-quarter profit and sales expectations from Wall Street. Analysts even said that the company is gaining “momentum” and is set to set record highs in their trading portfolio.
Lululemon earned $97 million, or 74 cents a share, in the quarter, compared with $75 million, or 55 cents a share, in the year-ago period. Revenue rose 20% to $782.3 million. Analysts made expectations of 71 cents a share on sales of $756 million. For the second quarter of fiscal 2019, the company said it expects revenue between $825 million and $835 million, and EPS between 86 cents and 88 cents. For the full fiscal year, the company said it expects revenue in a range between $3.73 billion and $3.77 billion and EPS between $4.51 and $4.58. The shares had ended the regular trading session down 0.4%.
Lululemon Athletica Inc. styled as Lululemon Athletica, is a Canadian athletic apparel retailer. Lululemon is a self-described yoga-inspired athletic apparel company for women and men. Founded in 1998 in Vancouver, Canada, the company released that it ended the first quarter of fiscal 2019 with $576.2 million in cash and cash equivalents compared to $966.6 million at the end of the first quarter of fiscal 2018. Inventories at the end of the first quarter of fiscal 2019 increased 19% to $443.0 million compared to $373.4 million at the end of the first quarter of fiscal 2018. The Company ended the quarter with 455 stores.
Calvin McDonald, Chief Executive Officer, commented: “Lululemon continues to see strong momentum across the entire business. I’m inspired by our teams who are executing at high levels, and I want to thank everyone across the globe for their passion and dedication to the brand. I look forward to the opportunities ahead of us, and delivering on our Power of Three five-year vision.”