Alison BloomerLululemon Athletica shares were up 9.1% in Thursday premarket trading after the athletic company reported a higher-than-expected profit for the third quarter ended October 29, 2017.
Total comparable sales increased 8%, or increased 7% on a constant dollar basis and comparable store sales increased 2%, or increased 1% on a constant dollar basis.
Vancouver-based Lululemon said that its holiday season was off to a great start, with the company experiencing its highest traffic and largest sales ever on Black Friday and on Cyber Monday.
The company said it expects holiday-quarter sales of $870m to $885m and an adjusted profit of $1.19 to $1.22 per share.
Susquehanna Financial Group analysts, led by Sam Poser, said: "Lululemon is firing on all cylinders. Improvements up and down the supply chain, strengthening customer engagement, and a burgeoning digital presence are driving solid results across geographies."
CEO statement
Laurent Potdevin, CEO, lululemon, said: "Our teams powerfully delivered robust results across both store and digital channels this quarter, driving a further acceleration in our business. The strength of our Q3 earnings supports our unique position as the global brand defining an active, mindful lifestyle.
"As we start the holiday season, I'm energized by our momentum and we are increasing guidance to reflect this performance. I'm grateful for the enthusiasm I see every day across our collective as we remain on our path to delivering $4bn in revenue in 2020."
