Lululemon shares fell more than 6% in trading after Thursday hours after publication.
Here’s how the company did during its first fiscal quarter ended May 3:
- Earnings per share: 22 cents
- Revenue: $ 651.96 million
Net income was $ 28.6 million, or 22 cents per share, compared to $ 96.6 million, or 74 cents per share, a year ago.
Total revenue fell 17% to $ 651.96 million from $ 782.3 million a year ago.
The company said its online sales totaled $ 352 million, or 54% of total revenue, compared to $ 209.8 million, or 26.8% of total revenue a year ago.
Analysts had expected the company to earn 23 cents a share on revenue of $ 688.4 million, according to estimates from Refinitiv. However, the impact of the Covid-19 crisis makes these estimates difficult to compare with real profits.
Its gross margin fell to 51.3% of sales, compared to 53.9% a year ago. Lululemon said the decrease was due, in part, to higher costs to manage its distribution centers as online orders increased.
Lululemon said its inventory jumped 41% to $ 625.8 million in the quarter.
The company currently offers no prospects for 2020.
Lululemon’s shares have risen more than 33% this year. The company has a market capitalization of $ 40.2 billion.
Find the full press release on the results here.
This is a developing story. Please check back for updates.
