VANCOUVER, British Columbia (AP) — Athletic apparel maker Lululemon Athletica Inc. on Wednesday posted strong results for its fiscal third-quarter and raised its forecasts for the full year, sending its stock jumping in after-hours trading.
CEO Laurent Potdevin said he’s “energized by our momentum” at the start of the key holiday shopping season.
The Vancouver, British Columbia-based company known for its yoga wear said it had profit of $58.9 million, or 43 cents per share, in the three-month period that ended Oct. 29. That was down from $68.3 million, or 50 cents a share a year ago.
Earlier this year, the company announced it was shuttering most of its Ivivva brand stores. Adjusted to exclude costs related to the closures and other non-recurring items, its earnings were 56 cents per share in the latest quarter.
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That topped Wall Street expectations. The average estimate of 16 analysts surveyed by Zacks Investment Research was for earnings of 52 cents per share.
The company posted revenue of $619 million in the period, up 14 percent from the $544.4 million a year ago. That also surpassed Street forecasts. Eleven analysts surveyed by Zacks expected $611.5 million.
Lululemon raised its forecasts for its profit and revenue for its fiscal year ending in January. It now expects adjusted earnings of $2.45 to $2.48 a share, up from a prior forecast of $2.35 to $2.42 a share. Revenue is expected in a range between $2.59 billion and $2.61 billion, up from $2.55 billion to $2.56 billion.
It also announced a $200 million stock buy-back program.
Its stock was up $4.34, or 6.4 percent, to $72 in after-hours trading following the release of the earnings report.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on LULU at https://www.zacks.com/ap/LULU