Upcoming AWS Coverage on UniFirst Post-Earnings Results
LONDON, UK / ACCESSWIRE / April 11, 2017 / Active Wall St. announces its post-earnings coverage on Lululemon Athletica Inc. (NASDAQ: LULU). The Company released its fourth quarter and FY16 financial results on March 29, 2017. The yoga gear seller exceeded top-line expectations. Register with us now for your free membership at: http://www.activewallst.com/register/
One of Lululemon Athletica's competitors within the Textile - Apparel Clothing space, UniFirst Corp. (NYSE: UNF), reported on March 29, 2017, its results for its Q2 FY17 which ended February 25, 2017. AWS will be initiating a research report on UniFirst in the coming days.
Today, AWS is promoting its earnings coverage on LULU; touching on UNF. Get our free coverage by signing up to:
For the fourth quarter ended January 29, 2017, Lululemon's net revenue increased 12% to $789.9 million from $704.3 million in Q4 FY15. The Company's revenue numbers surpassed analysts' consensus of $785 million. For FY16, Lululemon's net revenue increased 14% to $2.3 billion from $2.1 billion in FY15. On a constant dollar basis, net revenue increased 14%.
For Q4 FY16, the Company's total comparable sales, which includes comparable store sales and direct to consumer, increased 8%, or by 7% on a constant dollar basis. Comparable store sales increased 6%, or by 6% on a constant dollar basis. The Company's direct to consumer net revenue increased 12% to $164.3 million, or by 12% on a constant dollar basis.
During Q4 FY17, Lululemon's gross profit increased 21% to $427.9 million, and as a percentage of net revenue was 54.2% compared to 50.3% in Q4 FY15. For FY16, the Company's gross profit increased 20% to $1.2 billion, and as a percentage of net revenue was 51.2% compared to 48.4% in FY15.
Lululemon's income from operations increased 18% to $196.6 million, and as a percentage of net revenue was 24.9% compared to 23.6% in the year earlier same quarter. For FY16, the Company's income from operations increased 14% to $421.2 million, and as a percentage of net revenue, was 18.0% compared to 17.9% in FY15.
Lululemon's diluted earnings per share were $0.99 for Q4 FY16 compared to $0.85 in Q4 FY15. Excluding certain tax and related interest adjustments, diluted earnings per share were $1.00 up 18% compared to $0.85 for the prior year's same period. Lululemon's bottom-line was within the Company's guidance range of $0.96 per share to $1.01 per share; however it lagged behind Wall Street's estimates of $1.01. For FY16, Lululemon's diluted earnings per share were $2.21 compared to $1.89 in FY15. Excluding certain tax and related interest adjustments, diluted earnings per share were $2.14 compared to $1.86 in the year ago same period.
The Company ended FY16 with $734.8 million in cash and cash equivalents compared to $501.5 million at the end of FY15. Lululemon's inventories at the end of FY16 increased by 5% to $298.4 million compared to $284.0 million in the year ago same period. The Company ended the year with 406 stores.
Fiscal 2017 Outlook
For Q1 FY17, Lululemon is forecasting net revenue to be in the range of $510 million to $515 million based on a total comparable sales decrease in the low-single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $0.25 to $0.27 for the quarter.
For the full FY17, Lululemon is projecting net revenue to be in the range of $2.550 billion to $2.600 billion based on a total comparable sales increase in the low-single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $2.26 to $2.36 for the full year.
At the close of trading session on Monday, April 10, 2017, Lululemon Athletica's stock price rose 3.22% to end the day at $52.26. A total volume of 7.67 million shares were exchanged during the session, which was above the 3-month average volume of 2.84 million shares. Shares of the company have a PE ratio of 23.65. The stock currently has a market cap of $7.18 billion.
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