Revenues for the Irish division of athleisure brand Lululemon have more than doubled this year to €9.8 million.
Lululemon Athletica Ireland Limited’s 124% increase in revenue from €4.36 million to €9.8 million coincided with the first full year of operation of the brand’s new flagship store on Grafton Street, Dublin.
The luxury yoga apparel retailer popularized by supermodels Gisele Bündchen and Kendall Jenner has opened a standalone flagship store on Dublin’s Grafton Street in the final quarter of 2021.
This follows the Canadian-owned retailer signing a 10-year lease for 84 Grafton Street, a site previously occupied by retailer Pamela Scott.
Now, in the first full year of operation of the new store, Lululemon Athletica Ireland Ltd.’s new financial results show pre-tax profits of €109,210 to €255,312 in the 12 months to 31 January 2023. This shows an increase of 133%.
Revenues were also boosted by Lululemon Athletica opening a kiosk at Brown Thomas in Dundrum City Center on February 24, 2022. Before Lululemon opened at 84 Grafton Street, it operated a kiosk at Brown Thomas on the same street.
The brand also operates a kiosk at the Brown Thomas Patrick Street store in Cork city.
Directors say they are actively considering new business opportunities for the company.
Expansion here this year has almost doubled the number of employees, from 34 to 67, and increased staff costs by 135%, from €886,594 to €2.08 million.
The company’s profit was hit by expenses of 222,039 euros compared to 301,424 euros received under the “other operating income” item in the previous year.
The company’s profit takes into account non-cash depreciation and amortization of €214,021. Occupancy costs increased to €1 million and operating lease costs jumped from €128,577 to €373,465.
Management fee costs totaled €253,618 and miscellaneous expenses doubled from €218,784 to €406,238.
The company, which started trading here in 2017, recorded a profit after tax of 239,736 euros after paying a corporation tax of 15,576 euros.
As of the end of January last year, shareholder funds amounted to 1.35 million euros, with cumulative profits of 461,390 euros and investments of 896,996 euros.
The company’s cash reserves almost tripled from €1 million to €2.85 million.
Globally, Lululemon Athletica’s revenue increased 30% to $8.1 billion and pre-tax profit was flat at $1.33 billion for the 12 months ended January 29, 2023.
As of the end of January last year, the brand operated 655 stores, an increase of 81 stores compared to 574 stores as of the end of January 2022.
Report by Gordon Deegan