Lululemon outperforms estimates in Q4 after strong holiday season

VANCOUVER – Lululemon Athletica Inc. outperformed analyst expectations in its most recent quarter after a strong holiday season.

The Vancouver-based company says its net revenue increased 18 per cent to $928.8 million for its fourth quarter ended January 28, while its adjusted diluted earnings per share were $1.33 for the quarter compared to $1 in the same quarter the previous year.

Analysts expected the company’s revenue to be $912.44 million and earnings per share to be $1.27, according to Thomson Reuters.

In early January the company raised its sales and earnings guidance for the quarter after the holiday season with then-CEO Laurent Potdevin saying the athleisure retailer was “thrilled” with its performance.

The company said at the time that it expected its net revenue to fall between $905 million and $915 million.

Potdevin resigned in early February after a several instances in which he fell short of the retailer’s standards of conduct, including a relationship between him and a former designer at the company.

The company did not provide an update on its search for a new chief executive in a statement about its earnings.