| Metric | Value ($ M) | Q1 FY27 | Q2 FY26 |
|---|---|---|---|
| Revenue | 2.4K | 2.3% | 4.3% |
| Total Income | 2.4K | 2.3% | 4.3% |
| Expenditure | 2.0K | 10.6% | 2.0% |
| PBT | 467.35 | 63.4% | 12.4% |
| Net Profit | 329.22 | 68.8% | 11.2% |
| OPM | 18.78% | 7.58pp | 1.96pp |
| NPM | 13.63% | 5.74pp | 1.06pp |
| EPS | 2.92 | 72.8% | 5.8% |
lululemon athletica inc. Announces Second Quarter Fiscal 2026 Results
04 Sept 2026 · 2d ago, 1:58 am
Summary
Lululemon announced its second quarter fiscal 2026 results, reporting a 4% decrease in net revenue to $2.4 billion year-over-year. Comparable sales also saw a decline of 9%. Despite a decrease in gross profit, the gross margin improved by 200 basis points to 60.5%, partly due to $134.5 million in tariff refunds. Diluted earnings per share were $2.92, down from $3.10 in the prior year. Management expressed confidence in the brand's long-term growth opportunities and is focused on strengthening product offerings and marketing investments.
Key Highlights
- 1
Net revenue decreased 4% to $2.4 billion in the second quarter of fiscal 2026 compared to the second quarter of 2025.
- 2
Comparable sales decreased 9% in the second quarter of fiscal 2026, or 10% on a constant dollar basis.
- 3
Gross profit decreased 1% to $1.5 billion, while gross margin increased 200 basis points to 60.5% in Q2 FY26.
- 4
Income from operations decreased 13% to $453.7 million, and operating margin decreased 190 basis points to 18.8% in Q2 FY26.
- 5
Diluted earnings per share were $2.92 for the second quarter of 2026, down from $3.10 in the second quarter of 2025.
- 6
The Company opened nine net new company-operated stores during the second quarter, ending with 825 stores.
Management Comments
Meghan Frank
While we continue to navigate some challenging dynamics, we are taking a prudent approach with our revised full-year outlook. Our teams remain focused on accelerating growth by strengthening our product offerings, increasing our marketing investments, and maintaining disciplined expense management. Looking ahead, we have confidence in the strength of the lululemon brand, the deep connection we have with our guests and ambassadors, and the significant opportunities we see to drive long-term growth.
André Maestrini
We remain confident in our ability to take the right steps to strengthen our performance and deliver sustainable growth over time. I would like to thank our teams around the world for their focused efforts and continued commitment to lululemon. We look forward to welcoming our incoming CEO, Heidi O'Neill, next week as we begin an exciting new chapter for the company.
Informational and educational content only. Not investment advice.