Lululemon Athletica Inc. (LULU)

Profitability ratios

Return on sales

Jan 28, 2024 Oct 29, 2023 Jul 30, 2023 Apr 30, 2023 Jan 29, 2023 Oct 30, 2022 Jul 31, 2022 May 1, 2022 Jan 30, 2022 Oct 31, 2021 Aug 1, 2021 May 2, 2021 Jan 31, 2021 Nov 1, 2020 Aug 2, 2020 May 3, 2020 Feb 2, 2020 Nov 3, 2019 Aug 4, 2019 May 5, 2019
Gross profit margin 58.33% 56.85% 56.62% 56.03% 55.19% 56.06% 56.32% 56.66% 57.73% 58.15% 58.00% 57.28% 56.09% 55.52% 55.25% 55.44% 55.89% 55.51% 55.38% 55.34%
Operating profit margin 22.18% 16.65% 17.47% 17.25% 16.32% 21.41% 21.31% 20.99% 21.33% 20.63% 20.91% 19.86% 18.66% 19.11% 19.35% 20.58% 22.35% 21.45% 21.34% 21.35%
Pretax margin 22.62% 16.97% 17.69% 17.39% 16.37% 21.42% 21.31% 20.99% 21.34% 20.62% 20.89% 19.83% 18.65% 19.17% 19.48% 20.77% 22.56% 21.69% 21.59% 21.61%
Net profit margin 16.12% 10.87% 11.37% 11.21% 10.50% 15.61% 15.55% 15.30% 15.60% 14.96% 15.06% 14.27% 13.41% 13.67% 13.93% 14.99% 16.23% 15.10% 14.93% 14.77%

Lululemon Athletica Inc.'s profitability ratios have displayed a generally positive trend over the periods analyzed. The gross profit margin has consistently been above 55%, indicating efficient cost management and strong pricing strategies. The operating profit margin has shown an upward trajectory, reaching 22.18% in the most recent period, reflecting the company's ability to control operating expenses and generate healthy profits from its core business activities.

Similarly, the pretax margin has also exhibited an increasing pattern, suggesting effective management of taxes and other pre-operating costs. The net profit margin, a key indicator of overall profitability, has gradually improved, with the most recent figure standing at 16.12%. This implies that Lululemon Athletica Inc. is enhancing its bottom line by efficiently managing both operating and non-operating expenses.

Overall, Lululemon Athletica Inc.'s profitability ratios reflect a solid financial performance and indicate that the company is effectively converting its revenues into profits, which is a positive signal for investors and stakeholders.


Return on investment

Jan 28, 2024 Oct 29, 2023 Jul 30, 2023 Apr 30, 2023 Jan 29, 2023 Oct 30, 2022 Jul 31, 2022 May 1, 2022 Jan 30, 2022 Oct 31, 2021 Aug 1, 2021 May 2, 2021 Jan 31, 2021 Nov 1, 2020 Aug 2, 2020 May 3, 2020 Feb 2, 2020 Nov 3, 2019 Aug 4, 2019 May 5, 2019
Operating return on assets (Operating ROA) 30.07% 25.46% 25.82% 26.37% 23.69% 30.22% 30.69% 29.80% 26.98% 26.26% 26.05% 22.66% 19.59% 21.46% 21.45% 24.77% 27.10% 28.16% 28.36% 29.65%
Return on assets (ROA) 21.86% 16.61% 16.81% 17.14% 15.25% 22.03% 22.39% 21.72% 19.73% 19.04% 18.76% 16.29% 14.07% 15.36% 15.44% 18.04% 19.67% 19.83% 19.83% 20.51%
Return on total capital 50.39% 43.48% 43.80% 44.26% 42.19% 52.79% 52.84% 52.47% 48.66% 45.17% 42.97% 37.16% 32.05% 36.00% 37.45% 43.20% 45.54% 48.77% 50.69% 53.44%
Return on equity (ROE) 36.63% 28.38% 28.51% 28.77% 27.15% 38.48% 38.55% 38.24% 35.60% 32.75% 30.94% 26.71% 23.02% 25.76% 26.96% 31.46% 33.07% 34.33% 35.46% 36.97%

Lululemon Athletica Inc. has demonstrated strong profitability performance over the periods indicated, as evidenced by its profitability ratios. The operating return on assets (Operating ROA) has consistently been robust, ranging from 22.66% to 30.69%, indicating efficient management in generating operating income relative to its assets.

The return on assets (ROA) has also shown stability and strength, varying between 14.07% and 22.39%. This metric illustrates the company's ability to generate profits from its total assets, with higher percentages indicating better efficiency in asset utilization.

The return on total capital reflects the overall return generated for both equity and debt holders. Lululemon's return on total capital has been consistently high, fluctuating between 32.05% and 53.44%, demonstrating the company's effectiveness in generating returns for its capital providers.

Additionally, the return on equity (ROE) has been impressive, ranging from 23.02% to 38.55%. This ratio signifies how well the company is utilizing equity investment to generate profit, with higher percentages indicating stronger performance in this aspect.

Overall, these profitability ratios suggest that Lululemon Athletica Inc. has been able to effectively manage its assets, capital, and equity to generate solid returns for its stakeholders across the periods analyzed.


See also:

Lululemon Athletica Inc. Profitability Ratios (Quarterly Data)