Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
lululemon athletica inc., profitability ratios (quarterly data)
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
The profitability ratios demonstrate a generally positive trend over the analyzed period, with some fluctuations. Initial values show strong performance, followed by a dip in profitability during the January 2023 quarter, and a subsequent recovery and continued growth through the end of the observed timeframe. The most recent quarters show some signs of stabilization or slight decline in certain metrics.
- Gross Profit Margin
- The gross profit margin exhibited relative stability between May 2021 and October 2022, fluctuating between approximately 56.25% and 57.80%. A noticeable decline occurred in January 2023, falling to 55.39%, before recovering and steadily increasing to a peak of 59.22% in February 2025. The margin then experienced a slight decrease, ending at 56.60% in February 2026. This suggests effective cost management and pricing strategies, with a temporary disruption followed by a strong rebound.
- Operating Profit Margin
- Similar to the gross profit margin, the operating profit margin showed initial strength, peaking at 21.49% in October 2022. A significant drop was observed in January 2023 (16.38%), mirroring the trend in gross profit margin. The operating margin then demonstrated a robust recovery, reaching 23.67% in February 2025, before settling at 19.91% in February 2026. This indicates that while core operations remained profitable, external factors or increased operating expenses impacted performance in early 2023.
- Net Profit Margin
- The net profit margin followed the same pattern as the gross and operating margins. It began at 14.17% in May 2021 and rose to 15.66% by October 2022. The substantial decrease to 10.54% in January 2023 was followed by a recovery, culminating in a peak of 17.14% in February 2025. The margin concluded at 14.22% in February 2026. This suggests that net income was sensitive to the same factors affecting gross and operating profitability.
- Return on Equity (ROE)
- Return on equity consistently increased from 26.71% in May 2021 to a high of 43.55% in October 2024. While still strong, ROE decreased to 41.97% in February 2025 and further to 31.83% in February 2026. This indicates a strong ability to generate profits from shareholder investments, although the recent decline warrants monitoring. The initial growth suggests efficient capital allocation and increasing profitability, while the later decrease could be attributed to increased equity or decreased net income.
- Return on Assets (ROA)
- Return on assets mirrored the trend in ROE, increasing from 16.29% in May 2021 to 24.50% in October 2024. Similar to ROE, ROA experienced a decline, ending at 18.67% in February 2026. This demonstrates an increasing efficiency in utilizing assets to generate profits, followed by a recent decrease. The decline in both ROE and ROA in the latest periods suggests a potential weakening in overall financial performance.
Overall, the analyzed period demonstrates a pattern of strong profitability followed by a temporary setback in early 2023 and a subsequent recovery. While recent quarters show some stabilization or slight decline in key ratios, the company generally maintained healthy profitability levels throughout the observed timeframe. Continued monitoring of these trends is recommended to assess the sustainability of the recovery and address any emerging challenges.
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Return on Sales
Return on Investment
Gross Profit Margin
lululemon athletica inc., gross profit margin calculation (quarterly data)
| Feb 1, 2026 | Nov 2, 2025 | Aug 3, 2025 | May 4, 2025 | Feb 2, 2025 | Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Gross profit | 1,997,888) | 1,425,916) | 1,477,202) | 1,383,126) | 2,181,952) | 1,401,606) | 1,412,185) | 1,275,068) | 1,903,425) | 1,256,664) | 1,298,511) | 1,150,805) | 1,527,619) | 1,038,852) | 1,055,476) | 870,393) | 1,236,172) | 829,393) | 842,686) | 700,314) | ||||||
| Net revenue | 3,640,801) | 2,565,920) | 2,525,219) | 2,370,660) | 3,611,497) | 2,396,660) | 2,371,078) | 2,208,891) | 3,205,103) | 2,204,218) | 2,209,165) | 2,000,792) | 2,771,838) | 1,856,889) | 1,868,328) | 1,613,463) | 2,129,113) | 1,450,421) | 1,450,618) | 1,226,465) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||||
| Gross profit margin1 | 56.60% | 58.41% | 59.10% | 59.34% | 59.22% | 58.85% | 58.54% | 58.34% | 58.31% | 56.97% | 56.75% | 56.16% | 55.39% | 56.25% | 56.53% | 56.88% | 57.68% | 57.80% | 57.62% | 56.87% | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Gross Profit Margin, Competitors2 | ||||||||||||||||||||||||||
| Nike Inc. | — | — | 41.13% | 41.94% | 42.73% | 43.82% | 44.60% | 44.84% | 44.56% | 44.30% | 43.96% | 43.52% | 43.52% | 43.85% | 44.59% | 45.38% | 45.98% | 46.20% | 45.96% | 45.28% | ||||||
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
1 Q4 2026 Calculation
Gross profit margin = 100
× (Gross profitQ4 2026
+ Gross profitQ3 2026
+ Gross profitQ2 2026
+ Gross profitQ1 2026)
÷ (Net revenueQ4 2026
+ Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026)
= 100 × (1,997,888 + 1,425,916 + 1,477,202 + 1,383,126)
÷ (3,640,801 + 2,565,920 + 2,525,219 + 2,370,660)
= 56.60%
2 Click competitor name to see calculations.
The gross profit margin exhibited a generally stable pattern over the analyzed period, with some notable fluctuations. Initially, the margin demonstrated a slight increasing trend from May 2021 to October 2021, peaking at 57.80%. Subsequent quarters showed a moderate decline through January 2023, reaching a low of 55.39%. A significant increase was then observed, culminating in a peak of 59.22% in February 2025. The final quarters analyzed show a slight decrease, ending at 56.60% in February 2026.
- Initial Stability and Peak (May 2021 - October 2021)
- The gross profit margin remained relatively consistent, fluctuating between 56.87% and 57.80%. This suggests a stable relationship between the cost of goods sold and revenue during this period. The peak in October 2021 indicates potentially favorable cost management or pricing strategies.
- Decline (November 2021 - January 2023)
- A gradual decline in the gross profit margin was observed over this period. This could be attributed to rising input costs, increased promotional activity impacting revenue per unit, or a shift in product mix towards lower-margin items. The decline, while moderate, warrants further investigation into the underlying cost structure.
- Significant Increase (February 2023 - February 2025)
- A substantial increase in the gross profit margin occurred, reaching its highest point in February 2025. This improvement could be the result of successful cost reduction initiatives, increased pricing power, a favorable shift in product mix towards higher-margin items, or a combination of these factors. The magnitude of the increase suggests a positive impact from strategic decisions.
- Recent Moderation (March 2025 - February 2026)
- The most recent quarters show a slight decrease in the gross profit margin. While not a dramatic decline, this trend suggests that the factors driving the previous increase may be moderating or facing counter-pressures. Continued monitoring is recommended to determine if this represents a temporary fluctuation or the beginning of a more sustained downward trend.
Overall, the gross profit margin demonstrates a dynamic relationship with underlying business conditions. While generally healthy, the observed fluctuations highlight the importance of ongoing cost management and strategic pricing to maintain profitability.
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Operating Profit Margin
lululemon athletica inc., operating profit margin calculation (quarterly data)
| Feb 1, 2026 | Nov 2, 2025 | Aug 3, 2025 | May 4, 2025 | Feb 2, 2025 | Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Income from operations | 812,290) | 435,886) | 523,814) | 438,625) | 1,042,168) | 490,661) | 540,226) | 432,642) | 913,890) | 338,115) | 479,257) | 401,414) | 314,426) | 352,427) | 401,208) | 260,347) | 590,556) | 257,947) | 291,031) | 193,821) | ||||||
| Net revenue | 3,640,801) | 2,565,920) | 2,525,219) | 2,370,660) | 3,611,497) | 2,396,660) | 2,371,078) | 2,208,891) | 3,205,103) | 2,204,218) | 2,209,165) | 2,000,792) | 2,771,838) | 1,856,889) | 1,868,328) | 1,613,463) | 2,129,113) | 1,450,421) | 1,450,618) | 1,226,465) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||||
| Operating profit margin1 | 19.91% | 22.04% | 22.88% | 23.36% | 23.67% | 23.35% | 22.27% | 22.02% | 22.17% | 16.69% | 17.51% | 17.29% | 16.38% | 21.49% | 21.38% | 21.07% | 21.31% | 20.50% | 20.78% | 19.71% | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Operating Profit Margin, Competitors2 | ||||||||||||||||||||||||||
| Nike Inc. | — | — | 6.54% | 7.36% | 7.99% | 10.30% | 11.18% | 11.83% | 12.29% | 11.61% | 11.76% | 11.32% | 11.55% | 12.17% | 12.99% | 13.25% | 14.29% | 15.21% | 15.48% | 15.79% | ||||||
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
1 Q4 2026 Calculation
Operating profit margin = 100
× (Income from operationsQ4 2026
+ Income from operationsQ3 2026
+ Income from operationsQ2 2026
+ Income from operationsQ1 2026)
÷ (Net revenueQ4 2026
+ Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026)
= 100 × (812,290 + 435,886 + 523,814 + 438,625)
÷ (3,640,801 + 2,565,920 + 2,525,219 + 2,370,660)
= 19.91%
2 Click competitor name to see calculations.
The operating profit margin exhibited a generally positive trend over the observed period, although with notable fluctuations. Initial values ranged between 19.71% and 20.78% in the first four periods, indicating a stable level of profitability. A subsequent increase was observed, peaking at 23.67% in February 2025, before experiencing a decline to 19.91% in February 2026.
- Overall Trend
- From May 2021 through October 2022, the operating profit margin demonstrated a consistent upward trajectory, increasing from 19.71% to 23.35%. This suggests improving operational efficiency or pricing power during this timeframe. However, the period from January 2023 to February 2026 shows increased volatility, with the margin fluctuating between 16.38% and 22.17% before concluding at 19.91%.
- Peak Performance
- The highest operating profit margin was recorded in February 2025, reaching 23.67%. This represents the company’s most profitable period within the analyzed timeframe. The preceding quarters also showed strong performance, with margins consistently above 22%.
- Periods of Decline
- A significant decrease in the operating profit margin was observed in January 2023, falling to 16.38%. This represents the lowest margin recorded during the period. A similar, though less pronounced, decline occurred in October 2023, dropping to 16.69%. These declines may warrant further investigation into potential cost increases or revenue pressures.
- Recent Performance
- The most recent periods show a decline from the peak in February 2025. The operating profit margin decreased from 23.67% to 19.91% in February 2026. This recent downward trend could indicate emerging challenges to maintaining profitability, potentially related to increased competition, rising input costs, or shifts in consumer demand.
The fluctuations in operating profit margin suggest the company’s profitability is sensitive to external factors or internal operational changes. Continued monitoring of this ratio, alongside related financial metrics, is recommended to understand the underlying drivers of these changes and inform strategic decision-making.
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Net Profit Margin
lululemon athletica inc., net profit margin calculation (quarterly data)
| Feb 1, 2026 | Nov 2, 2025 | Aug 3, 2025 | May 4, 2025 | Feb 2, 2025 | Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net income | 586,871) | 306,835) | 370,905) | 314,572) | 748,403) | 351,870) | 392,922) | 321,421) | 669,468) | 248,714) | 341,603) | 290,405) | 119,811) | 255,470) | 289,521) | 189,998) | 434,504) | 187,788) | 208,074) | 144,956) | ||||||
| Net revenue | 3,640,801) | 2,565,920) | 2,525,219) | 2,370,660) | 3,611,497) | 2,396,660) | 2,371,078) | 2,208,891) | 3,205,103) | 2,204,218) | 2,209,165) | 2,000,792) | 2,771,838) | 1,856,889) | 1,868,328) | 1,613,463) | 2,129,113) | 1,450,421) | 1,450,618) | 1,226,465) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||||
| Net profit margin1 | 14.22% | 15.72% | 16.38% | 16.82% | 17.14% | 17.05% | 16.34% | 16.09% | 16.12% | 10.89% | 11.40% | 11.24% | 10.54% | 15.66% | 15.60% | 15.36% | 15.59% | 14.87% | 14.96% | 14.17% | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| Net Profit Margin, Competitors2 | ||||||||||||||||||||||||||
| Nike Inc. | — | — | 5.43% | 6.23% | 6.95% | 9.43% | 9.98% | 10.60% | 11.10% | 10.14% | 10.28% | 9.82% | 9.90% | 10.82% | 11.47% | 11.96% | 12.94% | 13.06% | 13.32% | 13.17% | ||||||
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
1 Q4 2026 Calculation
Net profit margin = 100
× (Net incomeQ4 2026
+ Net incomeQ3 2026
+ Net incomeQ2 2026
+ Net incomeQ1 2026)
÷ (Net revenueQ4 2026
+ Net revenueQ3 2026
+ Net revenueQ2 2026
+ Net revenueQ1 2026)
= 100 × (586,871 + 306,835 + 370,905 + 314,572)
÷ (3,640,801 + 2,565,920 + 2,525,219 + 2,370,660)
= 14.22%
2 Click competitor name to see calculations.
The net profit margin exhibited a generally positive trend over the analyzed period, although with notable fluctuations. Initial values ranged between 14.17% and 15.66% from May 2021 through October 2022, indicating a relatively stable profitability. A significant dip to 10.54% was observed in January 2023, followed by a modest recovery in subsequent quarters. The margin then experienced a substantial increase, peaking at 17.14% in February 2025, before declining again towards the end of the observation window.
- Overall Trend
- The net profit margin generally increased from May 2021 to February 2025. However, the period from January 2023 to February 2025 shows more volatility than the earlier period. A decline is apparent in the most recent quarters, ending at 14.22% in February 2026.
- Short-Term Fluctuations
- A pronounced decrease in net profit margin occurred in January 2023, potentially indicating increased costs or decreased revenue relative to the prior period. This was followed by a recovery, suggesting these factors were temporary. The margin then demonstrated consistent growth through February 2025, before beginning a downward trend.
- Peak Performance
- The highest net profit margin was recorded in February 2025, at 17.14%. This represents the most profitable period within the analyzed timeframe, suggesting effective cost management or strong revenue growth during that quarter.
- Recent Performance
- The most recent quarters (February 2026) show a net profit margin of 14.22%, which is lower than the peak observed in February 2025, but still within the range of the earlier periods. This suggests a potential shift in the company’s profitability dynamics, warranting further investigation.
The observed fluctuations in net profit margin likely correlate with changes in revenue, cost of goods sold, and operating expenses. Further analysis, incorporating these underlying financial components, would provide a more comprehensive understanding of the drivers behind these trends.
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Return on Equity (ROE)
lululemon athletica inc., ROE calculation (quarterly data)
| Feb 1, 2026 | Nov 2, 2025 | Aug 3, 2025 | May 4, 2025 | Feb 2, 2025 | Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net income | 586,871) | 306,835) | 370,905) | 314,572) | 748,403) | 351,870) | 392,922) | 321,421) | 669,468) | 248,714) | 341,603) | 290,405) | 119,811) | 255,470) | 289,521) | 189,998) | 434,504) | 187,788) | 208,074) | 144,956) | ||||||
| Stockholders’ equity | 4,961,840) | 4,502,023) | 4,387,279) | 4,289,570) | 4,324,047) | 3,985,732) | 4,031,645) | 4,219,808) | 4,232,081) | 3,525,849) | 3,533,482) | 3,320,076) | 3,148,799) | 3,039,204) | 2,857,798) | 2,668,050) | 2,740,046) | 2,658,455) | 2,671,166) | 2,639,855) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||||
| ROE1 | 31.83% | 38.67% | 40.70% | 42.14% | 41.97% | 43.55% | 40.49% | 37.47% | 36.63% | 28.38% | 28.51% | 28.77% | 27.15% | 38.48% | 38.55% | 38.24% | 35.60% | 32.75% | 30.94% | 26.71% | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| ROE, Competitors2 | ||||||||||||||||||||||||||
| Nike Inc. | — | — | 17.92% | 21.50% | 24.36% | 32.18% | 34.81% | 38.02% | 39.50% | 36.77% | 37.46% | 36.16% | 36.20% | 37.70% | 36.89% | 35.65% | 39.57% | 41.30% | 41.34% | 42.41% | ||||||
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
1 Q4 2026 Calculation
ROE = 100
× (Net incomeQ4 2026
+ Net incomeQ3 2026
+ Net incomeQ2 2026
+ Net incomeQ1 2026)
÷ Stockholders’ equity
= 100 × (586,871 + 306,835 + 370,905 + 314,572)
÷ 4,961,840 = 31.83%
2 Click competitor name to see calculations.
The Return on Equity (ROE) demonstrates a generally positive trend over the analyzed period, with notable fluctuations. Initially, the ROE exhibited consistent growth, peaking in the first half of 2022, before experiencing a significant decline and subsequent recovery. A detailed examination reveals a more nuanced pattern.
- Initial Growth Phase (May 2021 – July 2022)
- From May 2021 through July 2022, the ROE increased from 26.71% to 38.55%. This period reflects a consistent improvement in profitability relative to shareholder equity. The increase suggests the company was becoming more efficient in generating profits from its equity base.
- Decline and Recovery (October 2022 – January 2023)
- A substantial decrease in ROE was observed from October 2022 (38.48%) to January 2023 (27.15%). This decline coincided with a period of lower net income. However, the ROE began to recover in subsequent quarters, reaching 37.47% by January 2024.
- Peak and Subsequent Moderation (February 2024 – November 2025)
- The ROE reached its highest point in the analyzed period at 43.55% in October 2024, driven by a significant increase in net income and a moderate increase in stockholders’ equity. Following this peak, the ROE experienced a slight moderation, decreasing to 38.67% by November 2025. This suggests that while profitability remained strong, the rate of increase slowed.
- Recent Trend (February 2026)
- The most recent value, as of February 2026, indicates an ROE of 31.83%. This represents a further decline from the peak observed in late 2024, potentially signaling a shift in the company’s profitability or equity structure. Further investigation into the underlying drivers of this change would be warranted.
Overall, the ROE demonstrates a pattern of growth, a temporary setback, a strong recovery, and a recent moderation. The fluctuations in ROE appear to be closely correlated with changes in net income, while stockholders’ equity generally increased throughout the period. The company’s ability to maintain a consistently high ROE, even with recent declines, suggests strong financial performance relative to its equity base.
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Return on Assets (ROA)
lululemon athletica inc., ROA calculation (quarterly data)
| Feb 1, 2026 | Nov 2, 2025 | Aug 3, 2025 | May 4, 2025 | Feb 2, 2025 | Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | 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 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||
| Net income | 586,871) | 306,835) | 370,905) | 314,572) | 748,403) | 351,870) | 392,922) | 321,421) | 669,468) | 248,714) | 341,603) | 290,405) | 119,811) | 255,470) | 289,521) | 189,998) | 434,504) | 187,788) | 208,074) | 144,956) | ||||||
| Total assets | 8,456,743) | 7,955,192) | 7,523,439) | 7,430,543) | 7,603,292) | 7,083,669) | 6,744,135) | 6,828,495) | 7,091,941) | 6,022,264) | 5,992,458) | 5,571,544) | 5,607,038) | 5,309,436) | 4,920,711) | 4,697,212) | 4,942,478) | 4,572,007) | 4,405,098) | 4,329,831) | ||||||
| Profitability Ratio | ||||||||||||||||||||||||||
| ROA1 | 18.67% | 21.88% | 23.74% | 24.33% | 23.87% | 24.50% | 24.21% | 23.16% | 21.86% | 16.61% | 16.81% | 17.14% | 15.25% | 22.03% | 22.39% | 21.72% | 19.73% | 19.04% | 18.76% | 16.29% | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| ROA, Competitors2 | ||||||||||||||||||||||||||
| Nike Inc. | — | — | 6.68% | 7.75% | 8.80% | 11.93% | 12.87% | 14.00% | 14.96% | 14.00% | 14.24% | 13.73% | 13.51% | 14.31% | 14.21% | 13.73% | 14.99% | 15.45% | 15.85% | 16.04% | ||||||
Based on: 10-K (reporting date: 2026-02-01), 10-Q (reporting date: 2025-11-02), 10-Q (reporting date: 2025-08-03), 10-Q (reporting date: 2025-05-04), 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02).
1 Q4 2026 Calculation
ROA = 100
× (Net incomeQ4 2026
+ Net incomeQ3 2026
+ Net incomeQ2 2026
+ Net incomeQ1 2026)
÷ Total assets
= 100 × (586,871 + 306,835 + 370,905 + 314,572)
÷ 8,456,743 = 18.67%
2 Click competitor name to see calculations.
The Return on Assets (ROA) exhibits a generally positive trend over the analyzed period, although with some fluctuations. Initially, the ROA demonstrates consistent growth, peaking in the latter half of 2024, before experiencing a slight decline towards the end of the observation window.
- Initial Growth Phase (May 2021 – May 2022)
- The ROA increased from 16.29% in May 2021 to 21.72% in May 2022. This period reflects a consistent improvement in the company’s efficiency in generating profit from its assets. The increase suggests effective asset utilization and strong profitability during this timeframe.
- Peak and Subsequent Moderation (July 2022 – October 2024)
- The ROA continued to climb, reaching a high of 24.50% in October 2024. This indicates a sustained period of strong financial performance. However, the rate of increase slowed compared to the previous period.
- Recent Decline (January 2025 – February 2026)
- Following the peak, the ROA experienced a moderate decline, falling to 18.67% in February 2026. While still representing a respectable level of profitability, this decrease warrants further investigation to determine the underlying causes. Potential factors could include increased asset investment without a corresponding increase in net income, or a decrease in net income relative to the asset base.
- Overall Trend
- Despite the recent decline, the overall trend for ROA remains positive when considering the entire period. The company generally demonstrates an ability to generate increasing returns from its asset base. The fluctuations suggest sensitivity to changes in net income and asset levels.
The ROA values consistently remain above 15% throughout the analyzed period, indicating a generally healthy level of profitability relative to the company’s assets. The most significant increase occurred between May 2021 and October 2024, followed by a more recent leveling off and slight decrease.
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