Lululemon Athletica announced its five-year growth plan, which will see the Canadian company double its men’s and digital sales, and quadruple international revenues by 2023.
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The athleisurewear company said it plans to fuel future growth through a three-prong strategic plan based on product innovation, omni-guest experiences, and expansion across key markets around the world.
In addition to men’s and digital, Lululemon’s women’s business and store formats in North America will remain focus areas, and are expected to generate revenue growth in the low double-digits annually for the next five years.
Lululemon said it plans to focus on its continued expansion in the women’s and accessories businesses. Both existing and new product categories are planned to grow across women’s accessories, with lines supporting yoga, running and training.
“We’re ready to build upon our success and embark on the next phase of growth at Lululemon to realize the full potential of our brand,” said CEO Calvin McDonald.
“We believe Lululemon has a unique opportunity to push beyond traditional expectations to develop innovative products and become a fully experiential brand that creates compelling experiences for guests who want to completely live into the sweatlife.”
The company also plans to continue its product collaborations, expand its popular office/travel/commute category, and pursue new opportunities, such as selfcare.
The company said is focusing on offering an integrated guest experience across channels such as events, dynamic new store formats, and its membership program that fosters connections among guests.
Market expansion is planned in the next five years, on the back of its recent international success. China, as well as the APAC and EMEA regions, will be continued areas of focus, while growth potential remains in North America, with plans to leverage its agile store formats, digital experience, and community connection in the U.S. and Canada.
“The three main growth pillars are consistent with our prior plan, and we will continue to grow our core business while expanding into new categories to drive earnings growth and shareholder return,” added said PJ Guido, the Company’s Chief Financial Officer.
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Looking ahead, the company is expecting to see first-quarter net revenue in the range of $740 million to $750 million, based on a total comparable sales increase in the low-double digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $0.68 to $0.70 for the quarter.
Lululemon ended 2018 with $3.3 billion in sales.