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lululemon: it\'s all about the bra

by:Yufengling     2019-09-07
The strength of Bras ulemon in bra makes it a strong competitor for women\'s sportswear.
The brand is known for its yoga suits, especially yoga pants, but has performed strongly in the bra category.
Athletica Inc. of lulululemon.
At the company\'s third-quarter earnings call, the company\'s chief executive, Laurent Potdevin, said, \"We delivered a mid-term order --
In the women\'s category, our bra revenue has grown by more than 20%, both at the top and bottom.
Potdevin continues to make fun of the analyst\'s audience, saying, \"While I can\'t fully share the floor plan with you, what I can tell you is that we will be rolling out outstanding innovations in the bra category in 2017.
Potdevin says the company has managed to sell a layered combination of styling tanks, a lightweight top with some boost, but with an energy bra or a free Zen bra.
Free To Be bra is a key franchise for lulululemon and has updated a trendy multi-strap.
Lee Holman, the company\'s first creative director with Nike experience, seems to have paid off.
He commented on the improvement of the custom sports bra and the increase in the sales of the bra.
\"It really comes down to leading with sweat, innovation and balanced classification, from shelves to tanks without shelves,\" Holman said . \".
He said they looked at women sweating all day, an understanding that helped them produce a variety of fabrics.
Brian Tunick, capital market analyst at RBC, said, \"in 2017, due to the increased focus of the custom sports bra, the female category may get some extra juice.
He also pointed out that lulululemon did not appear to have received any resistance from customers to its high price.
As the stock has fallen 28% since lulululemon reported second-quarter earnings, expectations for earnings are low.
Analysts know the company will run counter to plans to successfully restart the yoga gas Wall last year.
These figures, coupled with weak store traffic and price cuts, have led to the belief that this quarter will not be encouraging.
Instead, lulululemon reported sales of $0. 544 billion, at the high end of the forecast range, with comparable store sales up 7% from the estimated 5. 2%.
The company has been working for some time to improve its logistics structure and supply chain, and these investments are now paying off.
Compared with last year, the company\'s gross profit margin increased by 420 basis points.
The improved system allows Lululemon to complete more online orders directly from the store, thus clearing the slower sales style faster.
In addition to the momentum of the bra, lulululemon has also seen great opportunities in the men\'s wear field.
Stuart Haselden, chief financial officer, said he expects men to account for 25% of his business by 2020.
Ike Borochow, an analyst at Wells Fargo, said,\"up mid-teens)
Lulululemon therefore continues to offer them this compelling opportunity.
He raised his estimate and reiterated that he was doing better.
It is also a happy holiday for the company.
Sales on Black Friday and Cyber Monday were particularly strong and continued until December, lulululemon said.
Potdevin said, \"on Black Friday, we have a plus 16 comp in the US and a plus 29 comp on network Monday.
I think the most exciting thing about these companies is the full price companies that are very similar to the whole company, which not only illustrates our ability to drive, but we also have the ability to continue to be a leading brand selling goods at full price.
\"It looks like there will be many trees.
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