Lululemon Athletica Inc. posted first-quarter gains in both profits and sales.

For the three months ended May 3, the company said net income more than doubled to $47.8 million, or 34 cents a diluted share, from $19 million, or 13 cents, a year ago. Net revenues rose 10.1 percent to $423.5 million from $384.6 million. Comparable-store sales gained 6 percent.

Robert Drbul of Nomura Securities said the increase in revenue was “fueled by positive trends in traffic, conversion and brand engagement, along with continued acceleration of the e-commerce business.”

Randal J. Konik of Jefferies said that while there are some near-term headwinds that will impact margins and top-line trends, such as unfavorable foreign exchange and supply chain and information technology investments, the longer-term growth story remains compelling. He noted that global growth remains “highly compelling with international stores performing above expectations,” while other growth drivers that appear promising include e-commerce and men’s.

Laurent Potdevin, chief executive officer, said in a conference call with Wall Street analysts that the company “delivered first quarter revenues above the high end of our guidance generating overall comparable sales growth of 6 percent driven in part by a 31 percent increase in our e-commerce channel.”

He added that consumers responded well to the company’s assortment, “despite the impact to our product flows coming out of the port disruption. We have seen an acceleration in our business in the latter part of the quarter as our inventory positions began to improve, validating our new product flow and assortment.” Potdevin noted that the company also saw a ramp up in its men’s business, which had a 19 percent comps increase.

He told analysts that the company will continue to strengthen its omnichannel capabilities, both in-store and online. One example is the full global redesign of the Web site to “ensure we have a scalable transaction platform that will allow us to showcase a broader assortment of products online, better enable product reselling and deepen our product education capabilities. Some key features will include enhancement to the checkout process and targeted recommendations,” the ceo said. He added that phase 1 will occur in the latter part of the year and before the holiday selling season.

For the second quarter, the company guided diluted earnings per share in the range of 31 cents to 33 cents, on a net revenue range of $440 million to $445 million.

For full fiscal year 2015, the company is forecasting diluted EPS at between $1.86 and $1.91, on net revenues of between $2 billion and $2.05 billion.

Shares of Lululemon on Tuesday jumped 11 percent to close at $68.27 in trading Tuesday on the Nasdaq.

 

 

 

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