Lululemon Athletica Inc. (NASDAQ: LULU) released fiscal second-quarter financial results after markets closed Wednesday. The company said that it had $0.74 in earnings per share (EPS) and $902.9 million in revenue, compared with consensus estimates that called for $0.55 in EPS and $842.49 million in revenue. In the same period last year, the company reported had $0.96 in EPS and $883.35 million in revenue.
Management noted that it was pleased with the overall results and the company’s increasing potential in the omnichannel. Management believes that 2020 is likely an inflection point for the company and retail in general.
The company noted that 492 of its 506 company-operated stores were open in the fiscal second quarter. Net revenue from company-operated stores decreased 51% year over year to $287.2 million.
Overall, revenues increased 2% year over year and 3% on a constant currency basis. Direct to consumer net revenue represented 61.4% of total net revenue, compared to 24.6% last year. Direct to consumer revenues increased 155% year over year to $554.3 million.
On the books, cash and cash equivalents totaled $523.0 million, and the capacity under its committed revolving credit facilities was $697.7 million.
Lululemon did not issue guidance for the coming quarter citing uncertainty regarding COVID-19. However, consensus estimates are calling for $0.94 in EPS and $981.84 million in revenue for the quarter.
Shares of Lululemon closed Tuesday at $349.80, in a 52-week range of $128.85 to $399.90. The consensus price target is $360.13. Following the announcement, the stock was initially down about 1% at $347.00 in the after-hours trading session.