Athletic apparel retailer Lululemon Athletica has reported a gross profit of $1.2bn in the first quarter (Q1) of fiscal year (FY) 2023, up 32% compared to the same period in FY22.

The retailer’s gross margin for the quarter rose 360 basis points to 57.5%.

During the quarter, lululemon athletica reported that its net revenue grew 24% to $2.0bn, driven by strong performance in North America and international businesses, with revenues of 17% and 60%, respectively.

The company’s total comparable sales rose by 14% in Q1 FY23 and its comparable store sales also increased by 13%.

Direct-to-consumer revenues also increased by 16%, accounting for 42% of total net revenue in Q1 FY23.

Lululemon Athletica’s quarterly income from operations was $401.4m, up 54% against the prior year’s quarter.

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By GlobalData

Its earnings per diluted share for Q1 FY23 were $2.28 against $1.48 in the same period a year ago.

Lululemon Athletica chief executive officer Calvin McDonald said: “We are pleased with our solid start to the year, delivering strong financial performance and continued momentum. Our results reflect the strength of our guest relationships, our innovative products and how our brand resonates across the globe.

“This year we celebrate our 25th anniversary and our community-based model remains one of our biggest competitive advantages. We are excited for the future and remain on track to deliver on our Power of Three growth plan.”

In the second quarter of 2023, the retailer expects net revenue to be in the range of $2.140bn to $2.170bn, an increase of approximately 15% against the same period of FY22.

Lululemon Athletica also expects EPS in the range of $2.47 to $2.52 for the quarter.

The retailer ended the quarter with 662 stores, including seven net new company-operated openings.