×
144
Fashion Jobs
PEEPAL HR ASSOCIATES (OPC) PVT LTD
Ceo Textile Business (Please Read The jd Before Applying)
Permanent · Hyderabad
VERUSCHKA
Social Media And PR Specialist
Permanent · MUMBAI
VERUSCHKA
E-Commerce Manager
Permanent · MUMBAI
H&M
E-Commerce Commercial Manager
Permanent · NEW DELHI
H&M
Area Facility Manager
Permanent · NEW DELHI
SAROJ JALAN
Marketing Strategist
Permanent · KOLKATA
ADD UR CO LLP
Production Manager
Permanent · Chennai
THE GLOBAL ZONE HR SERVICES
Production Manager/ Supervisor/ Incharge
Permanent · Pune
PUMA
Manager - Digital Marketing
Permanent · Bengaluru
THE BANYAN HR CONSULTS
Brand Manager For Leading Women's Wear Garments CO at Coimbatore
Permanent · Coimbatore
GLAN MANAGEMENT CONSULTANCY
Senior Buyer Lingerie (Knits Western Wear) - Retail Brand
Permanent · GURUGRAM
JOB INDIA
Asst. Manager E-Com Operations (Garments Retail) Gurgaon
Permanent · Faridabad
VASTRAKALA EXPORTS
Quality Manager
Permanent · CHENNAI
PEOPLE ALLIANCE WORKFORCE PRIVATE LIMITED
Manager / in Charge - Production/Quality/Cutting - Garments Industry
Permanent · Bhiwandi
MINT AND MILK COMMUNICATIONS
Senior Account Executive
Permanent · MUMBAI
PUMA
Manager- Buying (Apparel)
Permanent · Bengaluru
PUMA
Manager- Business Intelligence
Permanent · Bengaluru
PUMA
Manager- Trade Compliance
Permanent · Bengaluru
PUMA
Manager- Supply Planning
Permanent · Bengaluru
PUMA
Senior Manager - Performance Marketing- Marketplac…
Permanent · Bengaluru
PUMA
Regional Sales Manager- Mbo (South)
Permanent · Bengaluru
PUMA
Manager- Returns And Spf Operations
Permanent · Bengaluru
By
Reuters
Published
Jun 17, 2008
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-

Lululemon sees gross margin slightly up

By
Reuters
Published
Jun 17, 2008

By Aarthi Sivaraman

NEW YORK (Reuters) - Lululemon Athletica Inc , the high-end yoga wear retailer, expects overall gross margin to show slight improvement this year, its chief financial officer said on Tuesday.

"We even expect to see slight improvement on that this year," CFO John Currie said on a conference call at the Reuters Consumer and Retail Summit, referring to Lululemon's gross margin, which is at 53 percent.

"Inflationary pressure is being offset by our increasing volumes. Our merchandise markups are staying fairly constant ... and because we are in a better inventory position than we were last year, we don't expect to incur the same air freight and other additional costs," he added.

Lululemon is known for its trendy clothing, sold through its own stores, and yoga or workout studios in the United States and Canada.

Though it plans to expand -- 35 new stores in North America this year -- Lululemon will not consider licensing its brand to higher-end retailers like Saks Inc , CEO-designate, Christine Day, said at the summit.

"Number one, you start designing for their target customer ... the second thing that happens is if they are not doing well, then they are going to put your product on sale ... ," said Day, who was wearing the company's clothing.

CRYSTAL BALL?

Day, who takes over as the CEO at the end of June, said there was no sure-fire way to tell how high gasoline and food prices would affect Lululemon's expansion plans as it heads into the critical holiday selling season.

"I think it would be arrogant to say we won't be affected by that," Day said.

Day emphasized the importance of online sales in an environment where soaring gas prices have forced consumers to rethink the way they shop.

"Consumers are just more savvy." she said. "I think it's an economic reality. I think that's why it is important that we play in that space."

Though it was looking at expanding its retail reach overseas, such as in Europe, its biggest opportunities currently were in the United States and via e-commerce, Day said.

Lululemon cut its profit outlook earlier this month, citing costs related to hiring staff and strategic plans to expand its business.

Previously, it expected a full-year profit of 70 cents to 72 cents a share, but cut the view to a range of 68 cents to 71 cents when it reported that its quarterly profit more than doubled.

Pointing to its revised outlook, CFO Currie said "that hasn't changed."

Lululemon shares fell 3 percent to $27.60 on Nasdaq.

(For summit blog: summitnotebook.reuters.com/)

(See here for SHOP TALK -- Reuters' retail and consumer blog)

(Reporting by Aarthi Sivaraman, editing by Phil Berlowitz/Jeffrey Benkoe)

© Thomson Reuters 2022 All rights reserved.