lululemon athletica inc. stock research
FY2022 Q4
lululemon athletica (LULU) Gross Margin — Quarter Ended Jan 29, 2023
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year. However, cost of revenue also rose, leading to a gross margin that was lower than both comparison periods.
Gross margin takeaway
Quarter ended Jan 29, 2023 · FY2022 Q4
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year. However, cost of revenue also rose, leading to a gross margin that was lower than both comparison periods.
- The primary observable factor was the relative growth of cost of revenue compared to revenue. Cost of revenue increased at a faster rate than revenue, causing gross margin to decline.
- Sequentially, revenue and gross profit were higher while gross margin weakened slightly. Year over year, revenue and gross profit were higher but gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
55.1%
Gross profit
$1.5B
Revenue
$2.8B
Cost of revenue
$1.2B
Quarter-over-quarter change
n/a
Year-over-year change
-2.9 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jan 29, 2023 | $2.8B | $1.5B | $1.2B | 55.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Jan 30, 2022
-2.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary observable factor was the relative growth of cost of revenue compared to revenue. Cost of revenue increased at a faster rate than revenue, causing gross margin to decline.
Sequentially, revenue and gross profit were higher while gross margin weakened slightly. Year over year, revenue and gross profit were higher but gross margin was lower.
Monitor the relationship between revenue growth and cost of revenue growth in upcoming quarters.