.lululemon’s winning streak continues both on the court and on Wall Street.
were closed during the first quarter and at least part of the second quarter. Still, the region generated double-digit revenue growth during the most recent quarter.
Additional headwinds include macro supply chain issues and inflationary pressures, which have impacted raw materials, labor costs and air freight prices. McDonald said some consumer price increases will help offset price increases the company is facing. In addition, first-quarter inventories rose 74 percent to $1.3 billion, compared with $700 million at the end of last year’s first quarter. Frank said on the call that the company “left profit on the table” by being under-inventoried last year.
Zachary Warring, an equity analyst at CFRA Research, added in a note that the heightened inventory levels aren’t a concern. brands [Lululemon] consistently grows into its inventory and has had no issues selling inventory at full price,” he wrote. “[Lululemon] continues to execute in dynamic times and we expect their margins will hold up better than peers and more in line with luxury goods as inflation surges and consumer sentiment drops.
Meanwhile, the CEO pointed out a number of tailwinds that have positively impacted the company, such as consumers’ desire for versatile apparel; healthy lifestyle trends, and the brand’s array of technical apparel.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Sanders Says Stop Busting People for Marijuana and Start 'Prosecuting Crooks on Wall Street'\u0022Now is the time for Congress and the federal government to end the war on drugs and legalize marijuana nationwide,\u0022 said the Vermont senator.
Read more »
Street Fighter 6's New, Colorful Art Style Is an Instant KOCapcom's new 3D fighter has never exuded such smokin' sexy style.
Read more »
Witness: Man Killed After Being Struck By Car, Thrown Into Wall Of BuildingA crash involving a man walking his bicycle across the street and a vehicle is being investigated by Englewood police.
Read more »
Settlement reached over private border wall, but experts say it won’t stop the environmental damageFederal authorities have reached a deal that gives builders of the privately funded fence control over where to inspect for damage and leeway over which issues they choose to repair.
Read more »
City Heights Street Food Festival returns after two-year pauseAll registration and ticketing proceeds for Friday night's event will be used to provide job assistance, food, housing, safer streets and other support to the City Heights community, spkcityheights reports.
Read more »
The ‘Wall of Wind’ Can Blow Away Buildings at Category 5 Hurricane StrengthThe test facility is helping engineers design safer homes—but it’s not powerful enough to mimic the stronger hurricanes fueled by climate change
Read more »