Global Sales Lift Lululemon

lululemon is banking on international growth.

What’s happening: The Canadian activewear company recorded a bounce-back Q3:

• Revenue hit $2.4B, a 9% YoY increase vs. Q3’23.
• In-store revenue jumped 13%, aided by IRL activations.
• It raised guidance on a ~$3.5B Q4 and ~$10.5B FY24.

While North American sales remained tepid, international grew 33% — with China surging 39%.

No stretch. Resolving concerns about stagnation and supply chain mismanagement, the brand is eyeing $12.6B in revenue by 2026, 31% of which will be international.

Winning with an evolving Chinese wellness consumer, lululemon closed in on national rivals ANTA, XTEP, and Li-Ning.

With China as a driver, CEO Calvin McDonald envisions it becoming a “50/50 global brand.”

New horizons. As competition mounts, foreign markets are the new battleground.

Furthered by openings in Shanghai and London, Vuori aims for 50 international shops in five years, while Alo bolstered new London and Paris flagships with plans for Korea and Brazil.

Performance-minded, Rhone is partnering with the NBA and LPGA for international influence as UK brands Gymshark and Represent work on American appeal.

Punchline: The battle to become the next lulu has become a global fight, but lululemon is still betting on itself.