Quarterly ResultJun 4, 2026, 04:13 PM
Lululemon Q1 Revenue $2.5B, EPS $1.69; Cuts FY26 Outlook
AI Summary
Lululemon announced its first quarter fiscal 2026 results, with net revenue increasing 4% to $2.5 billion and diluted EPS falling to $1.69 from $2.60 year-over-year. The company experienced a solid start but is now navigating headwinds, leading to a downward adjustment of its full-year 2026 net revenue and diluted EPS outlook. While international revenue grew strongly, Americas comparable sales decreased, and gross and operating margins saw significant declines.
Key Highlights
- Q1 2026 net revenue increased 4% to $2.5 billion.
- Q1 2026 diluted EPS was $1.69, down from $2.60 in Q1 2025.
- Comparable sales increased 1% (decreased 2% on a constant dollar basis).
- Americas net revenue decreased 3%, while International net revenue increased 22%.
- Gross margin decreased 410 basis points to 54.2%; operating margin decreased 730 basis points to 11.2%.
- Company repurchased 2.2 million shares for $358.3 million.
- Full-year 2026 net revenue outlook revised to $11.000B-$11.150B (decline of 1% to 0%).
- Full-year 2026 diluted EPS outlook revised to $10.95-$11.15.
Price Impact
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