VANCOUVER – Shares of fashion retailer Lululemon Athletica Inc. (NASDAQ:LULU) are down in pre-market trading, dropping about eight per cent from Wednesday’s close, after the company issued a mixed earnings report.
Ahead of the open, Lululemon’s stock traded at US$63.80, down $5.22 from the previous close on Nasdaq.
The Vancouver-based company actually did better in the second quarter than analysts expected but it issued a revised estimate for the full year that raised investor concerns about the company’s future under a new leadership.
It’s now estimating between US$1.94 and US$1.97 per share of diluted earnings for 2013, down from the previous estimate of between US$1.96 to US$2.01.
Lululemon’s second-quarter revenue was US$344.5 million, up 22 per cent from the same time last year and ahead of analyst estimates, while diluted earnings per share also beat estimates at 39 cents.
Analysts had estimated 34 cents of net income, or 35 cents per share on an adjusted basis, and about $343 million of revenue in the third quarter.