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Lululemon crushes expectations, raises guidance, and now the stock is up

Jun 9, 2015, 16:46 IST

Lululemon raised its expectations for revenues this year after reporting a strong first quarter.

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On Tuesday morning, the athletic apparel company reported earnings and revenues that beat analysts' expectations.

Adjusted earnings per share came in at $0.34, just above the consensus forecast for $0.33, according to Bloomberg.

The company reported sales of $423.5 million, beating estimates for $418.8 million.

It raised its outlook for full-year net revenues to the range of between $2 billion and $2.05 billion, with the expectation for comparable store sales "in the mid single digits on a constant dollar basis."

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For the second fiscal quarter, it expects net revenues of between $440 million and $445 million, with comp store sales in the high single digits on a constant currency basis.

For the first quarter, sales at stores open for more than one year fell 1%, excluding currency fluctuations.

In the earnings statement, CEO Laurent Potdevin said: "Our team's solid performance resulted in another improving quarter - coming in ahead of our revenue expectations. We drove positive trends in traffic, conversion, and brand engagement, along with a continued acceleration of our e-commerce business."

The stock rose more than 3% in premarket trading on Tuesday; it's up 38% over the past 12 months.

NOW WATCH: We tried Lululemon's 'anti-ball-crushing pants' to see if they lived up to their name

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