lululemon investor presentation 2020 lululemon investor presentation 2020

Description. It seems like most of this is cyclical and much of this can be recovered fairly quickly as the supply chain begins to open up. We will soon introduce MIRROR to guests in Canada, where Lululemon has an impressive level of recognition. Any impact on their spend. Since our service providers are located around the world, please note that these disclosures involve cross-border transfers of your personal data as described in the Data Transfers section BELOW. The underlying demand for our brand is strong. Woodmere, Ohio. Our supply chain and product teams are working diligently to mitigate these risks by shifting production out of Vietnam where possible with our vendors who operate in multiple countries, prioritizing production to ensure key fall holiday styles are produced first, and strategically increasing our use of airfreight. It's made from a proprietary Ultralu fabric and expands our offering into the high-impact training category. Thank you, Brooke. Boxville is a very unique collection of shipping containers designed as a space for the community to gather and local businesses to engage in commerce. lululemon We are, as I mentioned, managing accordingly. boxer zchter saarland; neil postman: wir informieren uns zu tode errterung London, England, United Kingdom . Since our holding company, subsidiaries and affiliates are located around the world, please note that these disclosures involve cross-border transfers of your personal data as described in the Data Transfers section BELOW. Sustainable Product Innovation: Make 100 percent of our products with sustainable materials and end-of use solutions, toward a circular ecosystem by 2030. the End of the The next question comes from Matthew Boss with J.P. Morgan. Announces First Quarter Fiscal 2022 Earnings Conference Call. Sales1,2, Change in So it's pretty fluid, Matt, and we're comfortable -- sorry, Jay, very fluid and we're comfortable with sort of how we're positioned today in addressing it, but all and any pricing changes would be in Meghan's guidance and there's nothing of significant plan or that you should expect. So very excited about how -- any guest, any member that purchases it, is using it, and all the things we love about it, the versatility, the genre, and appeal to a number are all playing out, as well as our conversion numbers are very healthy. *Stock Advisor returns as of August 9, 2021. The summary below provides both GAAP and adjusted non-GAAP financial measures. The deleverage relative to Q2 2019 is the result of the consolidation of MIRROR's results this year, but not in 2019 and deleverage on foreign exchange. Burgoyne becomes the first executive to serve at the President level in her role. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. As you know, in our Impact agenda that we published, our first one last year on our Be Human, be well, be planet pillars in our Be Planet, our commitment is to make 100% of our products with sustainable materials by 2030, as well as investing into circularity, which is extending the life of our products and providing options and choices for our guests. And I'll start there because I think those to me are the most important and signal the health and the engagement of the community both with each other as well as near the product. I'll share some of the specific impacts of these issues with you as I take you through our Q2 financials and our guidance. Traffic was strong and increased over 150% versus last year. And we continue to see the members, you said MIRROR, number of sweats, number of members per households sweating increase and hold very high numbers. Combined, these give us a unique strength to keep growing MIRROR. Last October, we launched our Impact agenda, which outlines our strategies to address critical social environmental issues over a multi-year period. Please note that we provide different or additional privacy notices in connection with certain activities, programs, and offerings. I will also discuss specifics on our balance sheet, including our cash position, liquidity, and inventory. inc. And at the time, I sort of indicated that it would just be a matter of time, we didn't see anything systemic in our men's business that raised any concerns for us. Great. frP09,VPA kXshv-3S xg{'rz eP_lbIQ*bgK|5dbpdtO8kjQ*@+j*ffMuw/edeO:-^Iu{?9?cv!_(WMQ7U _7rl32!y=!_A|7c&86 hbb OFaFpoUzUz$}qWezu1wXc91 I was just curious where you've seen success, and then what you're excited about for the back half and into next year a bit leaning. This fair processing notice (Notice) explains how we process your personal data when you participate in the 10% Off Welcome Promotion (Promotion). Calvin McDonald -- Chief Executive Officer. When I graduated from the Ivey Business School in 2010, I did what all my peers were doing: I got a job at an . But taking profits now could be a very costly mistake. Turning to EPS. , A conference call to discuss fiscal 2019 results is scheduled for today, And just as you look forward, could you just talk about if you see any of the current issues leading into spring? See active subscriptions. lululemon athletica We will provide additional updates as the situation warrants. Some examples include digital sweat classes and community events were top drivers of overall program engagement. $881.3 million Beginning of A live webcast of the conference call will be available online at: http://investor.lululemon.com/events.cfm. Thank you so much. Yes. Given this strategic opportunity, we will suspend our membership tests that have been underway and apply the learnings to how we build out the MIRROR platform for guests. If you have any questions about the security of personal data collected by lululemon contact us HERE. Please go ahead. The company just reported solid results for the fiscal first quarter. And as this scale and as we continue to draw collections and learn, we are not anticipating, or how we factored in, margin pressure results. ICR, Inc. , Beauty Market . We continue to be pleased with the performance of MIRROR, and let me highlight several initiatives we have on track for this year. 5. We disclose your personal data to our holding company, subsidiaries and affiliates, including lululemon athletica inc.lululemon usa inc. and lululemon athletica canada inc., for the purposes described in the Use of Your Personal Data section ABOVE. Lorraine Hutchinson -- Bank of America Merrill Lynch -- Analyst. But I think it's fair to say that our business would have been even stronger without these challenges facing the industry. The Company repurchased 1.6 thousand shares of its own common stock at an average cost of. Auto Manufacturers. How are you doing? Please refer to Note 15 to the audited consolidated financial statements included in Item 8 of Part II of our Report on Form 10-K to be filed with the A right to object to processing:You have the right to request that we stop processing personal data about you. The reduction relative to last year is due primarily to deductions related to stock-based compensation. Lululemon's $500 million acquisition of high-tech fitness brand Mirror doesn't seem to be paying off. This is below our expectations for a 25% to 30% increase due to our top-line outperformance coupled with industrywide supply chain disruptions. McDonald continued: "I want to thank our people around the globe for the results they delivered in 2019, and for their perseverance and commitment to our brand each and every day.". Making the world smarter, happier, and richer. For more information about our privacy practices in another jurisdiction, please refer to the privacy policy available in our stores, or posted on our website, for that jurisdiction. For more information, visit www.lululemon.com. About Us. Actual results and the timing of events could differ materially from those anticipated in the forward-looking statements as a result of risks and uncertainties, which include, without limitation: our ability to maintain the value and reputation of our brand; the acceptability of our products to our guests; the recent COVID-19 coronavirus outbreak and related government, private sector, and individual consumer responsive actions; our highly competitive market and increasing competition; our reliance on and limited control over third-party suppliers to provide fabrics for and to produce our products; suppliers or manufacturers not complying with our Vendor Code of Ethics or applicable laws; the operations of many of our suppliers are subject to international and other risks; an economic downturn or economic uncertainty in our key markets; increasing product costs and decreasing selling prices; our ability to anticipate consumer preferences and successfully develop and introduce new, innovative and updated products; our ability to accurately forecast guest demand for our products; our ability to safeguard against security breaches with respect to our information technology systems; any material disruption of our information systems; our ability to have technology-based systems function effectively and grow our e-commerce business globally; changes in consumer shopping preferences and shifts in distribution channels; the fluctuating costs of raw materials; our ability to expand internationally in light of our limited operating experience and limited brand recognition in new international markets; global economic and political conditions and global events such as health pandemics; our ability to deliver our products to the market and to meet guest expectations if we have problems with our distribution system; imitation by our competitors; our ability to protect our intellectual property rights; our ability to source and sell our merchandise profitably or at all if new trade restrictions are imposed or existing trade restrictions become more burdensome; changes in tax laws or unanticipated tax liabilities; our ability to manage our growth and the increased complexity of our business effectively; our ability to cancel store leases if an existing or new store is not profitable; increasing labor costs and other factors associated with the production of our products in South and Making the world smarter, happier, and richer. Just last week, we continued to build out our yoga offering through the introduction of the Instill franchise. 41. I'm happy to be on the call today to speak to our omni guest experience pillar, and to share some additional details on our second-quarter performance. 8. North America This quarter, we launched the AirSupport Bra, our most tested bra to date, which was developed following five years of advanced research and development. Good afternoon, and let me add my congratulations. 1. February 2, 2020 Moving to SG&A. Achieving strong sales results through the team and . inc. lululemon athletica at the End of Thanks and congrats on another great quarter. Obviously, the environment's really dynamic and fluid today. When looking at SG&A for the full year, we now expect deleverage of 10 to 30 basis points versus 2020. Discover information about lululemon's quarterly results and find annual reports. And while we are navigating temporary headwinds in our supply chain, which are impacting both top line and gross margin, we are pleased with our momentum headed into the second half. If reasonably necessary or required to meet legal or regulatory requirements, resolve disputes, prevent fraud and abuse, or enforce our terms and conditions, lululemon may also keep personal data as required, after an account is closed or is no longer necessary to provide services. EVP Celeste Burgoyne makes a pledge to offer leading mental wellbeing benefits to employees. Currently, the category represents mid-single-digit penetration, and we see an opportunity to grow this category into the low to mid-teens in the coming years. Announces Third Quarter Fiscal 2022 Results, lululemon athletica inc. To the extent possible, the team is looking to multi-source and leverage other countries, as well as prioritize fall holiday key styles to the best of their ability, and airfreight is a muscle that as a growth company, we often leverage and we continue to do so as we navigate the supply chain challenges in the second half. 1931 0 obj <>stream Cost basis and return based on previous market day close. are compared to the 13 and 52 weeks ended Building on the Companys progress and learnings over the past two decades, lululemons Impact Agenda brings a new level of ambition that will guide the way the Company approaches and measures its work across all aspects of its business. We're playing the long game and have much to unlock in the coming years. The next question comes from Erin Murphy with Piper Sandler, please go ahead. lululemon athletica, 9 Allee Scheffer, Luxembourg L-2520. While women's products made up 69% of total revenue in fiscal 2020 . You told us you're on track to quadruple of revenues, but our -- maybe you could just give us some thoughts on the path to the profitability of the international business to go with that comment, just to bring us up-to-date. People Who Make Our Products: Achieve Fair Labor Association (FLA) accreditation, and make empowerment programs available to more than 100,000 makers across our supply chain by 2025. John Kernan -- Cowen and Company -- Analyst. , the Quarter, Number of Events & Presentations: Quarterly Reports: Annual Reports: SEC Filings: End of Day Stock Quote: Unsubscribe . The new Navigation Stretch Down Collection is technically designed to keep you moving comfortably in winter conditions. Yeah, thanks, Erin. Relative to 2019, our gross margin is benefiting from a higher e-com penetration and leverage on occupancy and depreciation. $1.1 billion Welcome to our website shipping to Europe. Let me now share more color on our second-quarter results, starting with product innovation. The Company repurchased 1.1 million shares of its own common stock at an average cost of. We continue to expect to open 45 to 55 net new company-operated stores in 2021. Comparable store sales reflects net revenue from company-operated stores that have been open for at least 12 full fiscal months, or open for at least 12 full fiscal months after being significantly expanded. The challenge right now with a variety of changes that have happened in the digital marketing space, is the cost -- CPM, the cost to get MIRROR, which has low awareness right now, and we're working toward in front of guests. Inspired from all areas of design and pursing the highest quality of creative work. Erin Hankinson I mean, these are just really stellar results. Let me shift now to our outlook for Q3 and the full-year 2021. EVP Celeste Burgoyne makes a pledge to offer leading mental wellbeing benefits to employees. $518.5 million [Operator instructions] I would now like to turn the conference over to Howard Tubin, vice president investor relations for Lululemon Athletica. This article is a transcript of this conference call produced for The Motley Fool. U!4j*54U3 , @nl @:}"eAzd&;Y:2;k/>2C DK;zc$aFCpHV4. We continue to monitor the situation and work closely with local authorities to prioritize the safety of our people and guests. At the end of the quarter, we had 245 million of availability remaining on our current share repurchase authorization. For the reasons set forth in this Privacy Policy, the personal data that we collect may be transferred to and stored or otherwise processed by our holding company, corporate affiliates, subsidiaries, and service providers outside of Switzerland and the EEA, including (but not limited to) in the United States, Canada or Australia. The next question comes from John Kernan with Cowen. To order presentation-ready copies of Toronto Star content for . The Investor Relations website contains information about Canada Goose Inc.'s business for stockholders, potential investors, and financial analysts. As I've said before, Lululemon remains in the early innings of our growth story, and I continue to be inspired and excited with the momentum we're seeing across the business. Let me now share with you the details of our Q2 performance. Excellent. We're also excited about how MIRROR can be the vehicle through which we offer long-term benefits to our guests, such as membership programs and special experiences. For example, if you decide to participate in certain interactive areas or features of our websites, such as creating a public profile and posting your goals, you consent to the disclosure of this information to other users of our websites. Oct 07, 2021. Thank you so much. Thank you. Operating margin was 22.3%, an increase of 80 basis points compared to fiscal 2018. lululemon Names Meghan Frank Chief Financial Officer, lululemon Appoints Celeste Burgoyne to President, Americas and Global Guest Innovation, lululemon Announces Leadership Appointments of EVP, International and VP, Global Head of IDEA, lululemons Latest Jackets and Outerwear Collection Stretches Beyond Expectations, Super Fine Face Mist is the Newest Addition to lululemons Selfcare Category, lululemon Partners with the Canadian Journalism Foundation and CBC/Radio-Canada to Create the Black Journalism Fellowship, Ice-Dyed Nulux: lululemons Newest One-of-a-Kind Run Collection, lululemon Partners with When We All Vote and Time to Vote, Keep Moving in Technical Loungewear this Fall, lululemon Expands On The Move Category with New Styles and Fabrics, lululemon Introduces New Light Support Bras This Summer, lululemon Acquires Home Fitness Innovator MIRROR, lululemon Commits to Inclusion, Diversity, Equity, and Action, lululemon Announces Global Gender Pay Equity Stats and Commitments, lululemon Announces Mental Wellbeing Commitments at the 2020 MAKERS Conference, lululemon Partners with Robert Geller on Second Collection, A Moment to Reflect, lululemon Appoints Nikki Neuburger Chief Brand Officer, Sorry, we don't ship to your country/region, lululemon athletica 1818 Cornwall Ave, Vancouver BC V6J 1C7, California Privacy Rights (Last Updated: 1/23/23). Q2 2023 Tapestry, Inc. Infographic. Lululemon stock took a beating after lowering guidance for the fourth quarter, falling 9%. Macy's, Inc. to Report Fourth Quarter and Full-Year 2022 Results on March 2, 2023 View Release or Welcome to our Investors page. As we've mentioned, we're seeing some delayed inventory receipts due to issues at the ports and also the recent COVID-related closures of certain factories in Southern Vietnam. I guess, I imagine it was a challenge to get reads on the tests given everything that's been going on in the last 18 months, but I mean do you still see an opportunity to have a loyalty program that exists outside of the MIRROR platform or what form might that take? And those scenarios played out. . Due to the 53rd week in fiscal 2018, comparable sales are calculated on a one week shifted basis in fiscal 2019. Fostered and maintained various relationships with athletic/wellness influencers and business owners in order to promote products, create and execute community events, find and maintain brand ambassadors and increase social media engagement. Meghan will have more to share regarding inventory and costs in a few moments. 6. The Motley Fool owns shares of and recommends Lululemon Athletica and Nike. Quarterly Infographic PDF. In And finally, I am pleased to share that our adjusted earnings per share for the quarter were $1.65 versus $0.96 in 2019, which is significantly ahead of our expectations. A right of erasure: You have the right to request that we delete personal data about you. And I think that combined with our ability to gain market share against our competitors is helping to fuel the business, and will continue as we look forward to the years. We prioritized our people and kept our teams intact by offering pay production, sick pay, and other key people investments. 2. These statements are based on current information which we have assessed, but which by its nature is dynamic and subject to rapid and even abrupt changes. Drivers of the deleverage versus 2019 include consolidation of MIRROR's results this year but not in 2019, increased investments in brand-building for our growth initiatives and higher depreciation due to accelerating investment to support our e-commerce business in 2020 and 2021. For more information about our privacy practices, please refer to our privacy policy available in our stores or on our website at https://www.lululemon.co.uk/en-gb/legal/privacy.html for UK residents or https://www.eu.lululemon.com/en-lu/content/privacy.html for EU resident (Privacy Policy). . 1-203-682-8200, Media: 2020 was a year unlike any otherand it presented both challenges and opportunities as world events shifted around us. Let me now shift to MIRROR. Excellent results. SG&A expenses were $541 million or 37.3% of net revenue, compared to 39.1% of net revenue in Q2 2020 and 36% of net revenue in Q2 2019. Hi, Mark. Lululemon management said as much in a 2019 analyst presentation, noting that it sees the company as being in business to solve guests' unmet needs, something that it is doing better than competitors. Direct to consumer net revenue increased 35%. Consider that in fiscal 1994, Nike sales declined 3.6% to $3.79 billion. Lululemon operates in a competitive industry, but it's certainly expanding like it wants to be the next Nike. From a performance standpoint, our momentum continued across categories with women's revenue increasing 26% and men's growing 31% on a two-year CAGR basis. lululemon athletica inc. If you would like to exercise any of these rights or if you have any questions or enquiries relating to our privacy practices or procedures, you may write to the Privacy Officer at the addresses provided below. And we always had visions of being able to bring that to the digital platform. Lululemon was reporting strong revenue growth before COVID-19 while also seeing improving margins and growing earnings. : For the fiscal year ended , This year, we will likely achieve the goal we set to double our men's business, and we remain on track to quadruple our international business by 2023, if not sooner. We're well-positioned within that TAM to address it in a very effective leading way. Welcome to Lululemon's second-quarter earnings conference call. And it's a reflection of building deeper relationships with our existing guys and spending more and continuing to acquire and bring in a new male guest into the business, and we will share the role men's plays in our future growth plans early next year when we sort of reset but it continues to be very strong across all markets around the globe, it's driven both by current spending more and our acquisition of new guests. And when you're going to air freight products, is that airfreight for upside or is that airfreight to potentially meet holiday demand? Good afternoon. Additionally . And when I look at the growth, it is balanced across all the categories, which is very healthy. Hi. b. That's right -- theythink these 10stocks are even better buys. 02/17/21. We believe continue to be unique differentiators and drivers of the brand and have obviously been in place and fuel the growth that we've seen so far. First, we grew total revenue 28% on a two-year CAGR basis to $1.5 billion. Employee Pay Equity: Expand gender pay equity to full pay equity by 2022. February 2, 2020 The strategy is organized into three interconnected areas of focusBe Human, Be Well, and Be Planetwith 12 goals to drive progress. lululemon makes major five commitments to support the Black Lives Matter movement and meaningful, lasting change in the world. The new Navigation Stretch Down Collection is technically designed to keep you moving comfortably in winter conditions. And for that, I'd like to say thank you. lululemon investor presentation 2020. lululemon investor presentation 2020. You can do so by contacting your countrys supervisory authority. It's Calvin. Working with lululemon has felt particularly important to us. f. Consent. I am proud of our leaders and teams for enabling us to meet and exceed these goals. So we are early innings of our growth. The next question comes from Brooke Roach with Goldman Sachs. To opt-in for investor email alerts, please enter your email address in the field below and select at least one alert option. And that has always driven our business. We continue to expect gross margin for the year to expand between 150 to 200 basis points compared to the modest increase we saw in 2020. are compared to the 52 weeks ended If investors had decided that Nike stock was overvalued and sold their shares, they would have missed a 4,000% gain over the next 25 years. The stock doesn't seem to slow down, and it is a . Mirror was on track to surpass US$100 million in revenue, according to a Lululemon investor presentation.) Markets, North America international, and channels online and stores. In general, we use your personal data to respond your requests, conduct your requested transactions, maintain and customize your account and our interactions with you and provide, maintain and improve our products and services. Canada-based Lululemon completed the acquisition July 7. Yeah, there are some large public companies that have bought leisure brands over the past couple of months. So excited about what the future continues to hold for our international business. Gross margin was 55.9%, an increase of 70 basis points compared to fiscal 2018. We've shared and continue to see our brand gaining market share across categories, men's and women's. A paid membership program focused on sweat. We only share with service providers the personal data that they need to perform services for us. Lululemon expects fiscal third-quarter revenue in a range of $1.4 billion to $1.43 billion, with adjusted earnings per share of between $1.33 and $1.38. Yes, I would say definitely view it as temporary in nature. inc. 24. Lululemon Subscribe . Blog. We do not share personal data about you with third parties except as follows: a.Our affiliates and subsidiaries. 10% WELCOME OFFER: Fair Processing Notice. "When you compare that to other brands, that is very high," McDonald said.