Net revenue up 17% in Q1 FY16 at Lululemon

Yoga-inspired athletic apparel company Lululemon posted rise of 17 per cent in net revenue in the first quarter of fiscal 2016, ended May 1, to $495.5 million as compared to $423.5 million in the corresponding quarter last fiscal.

Despite a rise in revenue, net income fell by 5.18 per cent in Q1 of FY 2016 to $45.33 million as compared to $47.81 million in the previous quarter, ended May 3, 2015.

Diluted earnings per share for the quarter stood at $0.33 as compared to $0.34 previously.

“We are pleased with our first quarter performance, delivering strong sales results and gross margin that exceeded expectations. We finished the quarter with our inventory levels rebalanced and on track to achieve our goals for the year,” Laurent Potdevin, CEO of Lululemon commented.

“By continuing to invest in our people and focus on product innovation, we are well on our way to deliver on our five year plan,” he added.

The company expects net revenue to be in the range of $505-515 million in the second quarter.

Diluted earnings per share should be in the range of $0.36-0.38 per share in Q2 FY16.