NEW YORK – Lululemon‘s fiscal fourth-quarter performance beat Wall Street’s view, bolstered by strong holiday sales.
Its shares rose almost 8 per cent in morning trading Wednesday.
For the period ended Jan. 31, the Canadian yoga-wear company earned $117.4 million, or 85 cents per share. A year earlier it earned $110.9 million, or 78 cents per share.
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Analysts polled by FactSet predicted 80 cents per share.
Revenue climbed to $704.3 million from $602.5 million, topping the $692.6 million that analysts expected.
Sales at stores open at least a year, a key indicator of a retailer’s health, increased 5 per cent on a constant dollar basis. This figure excludes results from stores recently opened or closed.
Lululemon Athletica Inc. reported a full-year adjusted profit of $1.86 per share on revenue of $2.06 billion.
On a constant dollar basis, same-store sales rose 4 per cent.
Looking ahead, the chain anticipates first-quarter profit between 28 cents and 30 cents per share on revenue in a range of $483 million to $488 million. Lululemon expects fiscal 2016 profit between $2.05 and $2.15 per share on revenue in a range of $2.29 billion to $2.34 billion.
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Wall Street is looking for a first-quarter profit of 37 cents per share on revenue of $486.1 million and fiscal 2016 profit $2.16 per share on revenue of $2.32 billion.
Lululemon shares rose $4.73, or 7.8 per cent, to $65.97 in morning trading Wednesday. Its shares are up almost 2 per cent over the past year.
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