Lululemon announced a $1.0 billion share repurchase program.
Lululemon earned $249 million in the third quarter, slightly lower than the previous year.
Lululemon expects fourth-quarter revenue to grow by 13% to 14% and 2023 revenue to grow by 18%.
The company forecasts holiday quarter sales to fall between $3.14 billion and $3.17 billion, lower than analysts' expectations.
Lululemon Athletica Inc. has reported strong results for its third financial quarter, despite a slight decrease in earnings compared to the previous year. The company earned $249 million in the third quarter, a figure that, while robust, is slightly lower than the previous year's earnings. However, the adjusted earnings per share exceeded expectations.
Despite the strong third-quarter results, the company's stock fell in after-hours trading due to a downbeat guidance for the holiday quarter. Lululemon forecasts sales to fall between $3.14 billion and $3.17 billion, with per-share earnings of up to $4.93. This is lower than what analysts were expecting, which was $3.18 billion in sales and up to $5.19 per share.
Looking ahead, Lululemon expects fourth-quarter revenue to grow by 13% to 14% and 2023 revenue to grow by 18%. This is despite the uncertain economy, which has led to the company warning of worse-than-expected profit and sales for the holiday quarter.
In addition to these financial forecasts, Lululemon also announced a $1.0 billion share repurchase program. This move is likely to be of interest to investors and could have an impact on the company's stock performance in the coming months.
The retailer forecasts sales to fall between $3.14 billion and $3.17 billion, with per-share earnings of up to $4.93, while analysts were expecting $3.18 billion in sales and up to $5.19 per share.
Lululemon also announced a $1.0 billion share repurchase program.
