Lululemon's stock soars 12% on revenue, earnings beat

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Lululemon's stock soars 12% on revenue, earnings beat
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Lululemon’s stock vaulted more than 12% in extended trading Tuesday after the clothing retailer reported quarterly results that topped analyst revenue and earnings estimates, and offered strong full-year revenue guidance.

Lululemon Athletica Inc.’s stock vaulted more than 12% in extended trading Tuesday after the clothing retailer reported quarterly results that topped analyst revenue and earnings estimates, and offered strong full-year revenue guidance.

Lululemon LULU, +0.97% reported fiscal fourth-quarter net earnings of $119.8 million, or 94 cents a share, compared with net earnings of $434.5 million, or $3.36 a share, in the year-ago quarter. Adjusted earnings were $4.40 a share.Analysts surveyed by FactSet had expected on average net earnings of $4.26 a share on revenue of $2.7 billion.

Lululemon offered full-year revenue guidance of $9.3 billion to $9.4 billion, topping the FactSet consensus of $9.1 billion. “As we enter 2023, we look forward to another year of strong momentum across the globe and delivering on our Power of Three ×2 growth plan,” Lululemon Chief Executive Calvin McDonald said in a statement announcing the results.

Shares of Lululemon are flat this year, while the broader S&P 500 index SPX, -0.16% has increased 3.4%.

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