Lululemon posted Q2 results with net income down 11.2% to $329.22 million; diluted EPS fell to $2.92 from $3.10.
Net revenue dropped 4% to $2.42 billion; comparable sales declined 9%, led by a 12% slide in the Americas.
Operating income decreased 13% to $453.65 million; operating margin narrowed 1.9 percentage points to 18.8%.
Gross margin widened 2 percentage points to 60.5%, including a 5.6-point lift from $134.5 million of IEEPA tariff refunds.
Management cited reduced traffic, lower conversion, and lower average order value in the Americas; an action plan targets product, activation, and enablement.
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