• Q4 net revenue of C$161m
  • Q4 income up 158% to C$41.4m
  • Fiscal year net revenue up 28% to C$453m

Yogawear firm Lululemon has reportedthat gross profit for the quarter increased by 67.6% to $86.6m in the fourth quarter, but saw sales soar.

Fourth quarter net revenue results to 31 January, 2010 were CS$160.6m (US$157.5m), up from $104m in the comparable period last year.

Net revenue from corporate-owned stores was C$137.4m for the quarter, an increase of 52.2% from C$90.3m in the fourth quarter of fiscal 2008, while comparable-store sales increased by 29% on a constant-dollar basis.

Income from operations for the quarter increased by 158% to $41.4m and as a percentage of net revenue, was 25.8% compared to 15.4% of net revenue in the fourth quarter of fiscal 2008, which included a $4.4m asset impairment charge related to store assets and lease exit costs.

Net revenue for the fiscal year increased 28% to $453m from $354m in fiscal 2008. Net revenue from corporate-owned stores was $394m, an increase of 25% from $315.5 million in fiscal 2008, and comparable-store sales increased by 9% on a constant-dollar basis.

Gross profit for the fiscal year as a percentage of net revenue decreased to 49.3%, from 50.7% of net revenue in fiscal 2008.

Income from operations for the fiscal year increased by 53% to $86m and as a percentage of net revenue was 19% compared to 16% of net revenue in the fourth quarter of fiscal 2008, which included a $4.4m asset impairment charge related to store assets and lease exit costs.

The company ended fiscal 2009 with $159.6m in cash and cash equivalents compared to $56.8m at the end of fiscal 2008. Inventory at the end of fiscal 2009 totalled $44.1m compared to $52m at the end of fiscal 2008.

"We are very pleased with the growing sales momentum in our business which has accelerated as the economy has improved and with some of our key initiatives which have taken hold, such as expanding our running line, elevated product to give more value to our customers and our e-commerce launch, said Lululemon CEO Christine Day.

"Our 29% comparable-store sales increase reflects the strength of the Lululemon brand driven by our quality, design, product innovation and unique positioning."

The Yogawear company estimates net revenue for the first quarter of fiscal 2010 to be in the range of $125m-$130m based on a comparable-store sales increase in the upper 20% range on a constant-dollar basis.

Net revenue is forecast to be in the range of C$570m to C$585m.