LULULululemon Athletica
lululemon athletica inc. is principally a designer, distributor, and retailer of technical athletic apparel, footwear, and accessories. 10-K, Item 1
- Employees
- 39,000
- Headquarters
- Vancouver, A1
- CEO
- Calvin McDonald
- Next results
- around Dec 10, 2026
The biggest changes in the 10-K filed 2026-03-17, this fiscal year against the last, and the sentences in the MD&A (Item 7) where management explains them, quoted word for word. Tickdelta picks sentences that name the line, a direction and a cause. It does not write explanations of its own.
Operating margin
23.7% → 19.9% (-3.8 pts) Big change FY to 2026-02-01 vs 2025-02-02“Operating margin decreased 380 basis points and diluted earnings per share decreased by 9%, mainly due to the impact from increased tariff rates in the United States, and the removal of the de minimis provision.”
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“Selling, general and administrative expenses as a percentage of net revenue increased 110 basis points, primarily due to an increase in costs related to our operating channels of 90 basis points.”
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Cash from operations
-29.5% Big change FY to 2026-02-01 vs 2025-02-02“The decrease in cash provided by operating activities was primarily as a result of a decrease in cash flows from changes in operating assets and liabilities of $357.5 million, primarily driven by the timing of income tax payments due to timing of foreign tax installment payments, accounts receivable, and inventory purchases, partially offset by the timing of accounts payable and changes in accrued compensation.”
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“The decrease in cash provided by operating activities was also a result of decreased deferred income taxes and lower stock-based compensation expense, partially offset by increased depreciation and higher cash inflows related to derivatives.”
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Gross margin
59.2% → 56.6% (-2.6 pts) Big change FY to 2026-02-01 vs 2025-02-02“The decrease in gross margin was primarily due to:”
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“The decrease in gross margin was primarily due to lower product margin driven by higher tariffs and increased markdowns, as well as higher occupancy costs as a percentage of net revenue.”
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Net income
-13.0% Big change FY to 2026-02-01 vs 2025-02-02“The decrease in other income, net was primarily due to a decrease in interest income as a result of lower average cash balances and lower interest rates.”
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“The decrease in the effective tax rate was primarily due to lower tax rates on foreign-derived intangible income ("FDII") and tax benefits related to foreign exchange losses.”
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Revenue
+4.9% FY to 2026-02-01 vs 2025-02-02“Our international revenue growth was driven by a 29% increase in China Mainland, and a 16% increase in Rest of World.”
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“The decrease in net revenue was primarily due to a decrease in comparable sales, which decreased 3%.”
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Changes are computed from the XBRL figures in the same 10-K. Hover a number to see the line item. Open the 10-K ↗
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