Lululemon Q3 Performance Highlights Divergence Between U.S. and International Markets

Lululemon Athletica Inc. delivered a mixed third-quarter performance, with net revenue climbing 7% year-over-year to $2.6 billion. The growth was propelled by a 33% surge in international sales, offsetting a 2% decline in the Americas region.

International comparable sales jumped 18%, demonstrating the success of the company's global expansion strategy. This contrasted sharply with a 5% drop in Americas comparable sales. The divergence highlights shifting consumer dynamics across geographies.

Investors responded positively to Lululemon's $189 million share repurchase, viewing it as a signal of confidence despite regional challenges. The stock closed marginally lower at $187.01, down 0.33%, as markets weighed strong international growth against domestic softness.

Management maintained an optimistic outlook for continued international success through 2026, though acknowledged ongoing headwinds in the U.S. market. The earnings report underscores the growing importance of global diversification for retail brands.