Lululemon Q2 Earnings Beat Estimates Despite 6.5% Revenue Increase

Lululemon Athletica Inc. reported Q2 earnings of $370.91 million, or $3.10 per share, down from $392.92 million, or $3.15 per share, last year, but beating analyst estimates of $2.85 per share. Revenue rose 6.5% to $2.525 billion from $2.371 billion last year. The company provided guidance for Q3 and FY22, with EPS expected to be between $2.18-$2.23 and revenue between $2.47-$2.50 billion.

Lululemon Athletica Inc. (LULU) reported its second-quarter (Q2) earnings on September 2, 2025, with GAAP earnings per share (EPS) of $3.10, down from $3.15 in the same period last year. The company's total revenue for the quarter increased by 6.5% to $2.525 billion from $2.371 billion in Q2 2024, missing analysts' estimates of $2.54 billion [1].

The EPS result of $3.10 per share was higher than the analyst consensus of $2.85 per share, indicating a beat of $0.25 per share [2]. Lululemon's revenue of $2.525 billion fell short of the consensus estimate by $40 million [2].

For the third quarter (Q3) of 2025, Lululemon expects net revenue to be in the range of $2.470 billion to $2.500 billion, representing growth of 3% to 4%. Diluted earnings per share (EPS) are expected to be in the range of $2.18 to $2.23 for the quarter [2]. For the full year (FY) 2025, the company now expects net revenue to be in the range of $10.850 billion to $11.000 billion, representing growth of 2% to 4%, or 4% to 6% excluding the 53rd week of 2024. Diluted EPS are now expected to be in the range of $12.77 to $12.97 for the year [2].

Shares of Lululemon have experienced a change of +2.3% in the past month compared to the +1.9% move of the Zacks S&P 500 composite. With a Zacks Rank #4 (Sell), LULU is expected to underperform the overall market in the near future [1].

References:
[1] https://finance.yahoo.com/news/analyst-projections-key-metrics-reveal-131502727.html
[2] https://seekingalpha.com/news/4492465-lululemon-gaap-eps-of-3_10-beats-by-0_25-revenue-of-2_5b-misses-by-40m