Lululemon closed fiscal 2025 with slower growth and softer margins but still delivered record annual sales, as international strength offset a tougher North America backdrop.
For fiscal 2026 , the Vancouver based brand is guiding to low single digit growth while prioritizing full price selling and brand health over chasing volume. Headline Results for Q4 and Full Year 2025 In the fourth quarter of 2025 , Lululemon’s net revenue rose 1% to $3.6 billion , with flat growth on a constant currency basis, as Americas
revenue fell 4% while international revenue jumped 17% . Comparable sales increased 3% overall, including a 1% decline in the Americas and a 20% gain internationally.
Gross profit for the quarter declined 8% to $2.0 billion , with gross margin contracting 550 basis points to 54.9% , while income from operations fell 22% to $812.3 million , compressing operating margin by 660 basis points to 22.3% .
Diluted EPS came in at $5.01 , down from $6.14 a year earlier, even as the company repurchased 1.4 million shares for $269.1 million and opened 15 net new stores, ending the year with 811 company operated locations . For the full 2025 fiscal year, net revenue increased 5% to $11.1 billion , powered by 22% international growth against a 1% decline in Americas revenue.
Comparable sales rose 2% , with a 3% drop in the Americas and a 15% increase internationally, highlighting a widening performance gap between home and growth markets. Margins Under Pressure as Mix and Markdowns Bite Despite higher sales, profitability stepped back in 2025…
