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Canada’s Lululemon posts 7% revenue growth in Q3 despite US slowdown

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Canada’s Lululemon posts 7% revenue growth in Q3 despite US slowdown



Canadian technical athletic apparel and footwear company Lululemon Athletica Inc has reported improved-than-expected results for the third quarter (Q3) of fiscal 2025 (FY25) ended November 2, with net revenue rising 7 per cent year-over-year (YoY) to $2.6 billion. The improvement in this quarter was supported by strong international momentum despite continued pressure in the Americas.

The gross profit increased 2 per cent to $1.4 billion, though gross margin contracted by 290 basis points (bps) to 55.6 per cent. The operating income fell 11 per cent to $435.9 million, with operating margin declining to 17 per cent. Diluted earnings per share (EPS) stood at $2.59, compared with $2.87 a year earlier.

Lululemon Athletica has reported better-than-expected Q3 FY25 results, with net revenue rising 7 per cent YoY to $2.6 billion, driven by a 33 per cent surge in international sales despite weakness in the Americas.
Gross margin and operating income declined, while EPS fell to $2.59.
The company expanded its store base, increased share buybacks, and maintained a cautious outlook amid tariff pressures.

Region-wise, Americas revenue declined 2 per cent, international revenue surged 33 per cent. Comparable sales increased 1 per cent, or 2 per cent on a constant-dollar basis, with international comparable sales jumping 18 per cent, offsetting a 5 per cent decline in the Americas, Lululemon Athletica said in a press release.

During the quarter, Lululemon opened 12 net new company-operated stores, ending with 796 stores globally. The company also repurchased 1 million shares for $189 million. In December, the board approved a further $1 billion increase in the share repurchase programme, taking remaining authorisation to approximately $1.6 billion.

Lululemon ended the quarter with $1 billion in cash and cash equivalents and $593 million available under its revolving credit facility. Inventories increased 11 per cent YoY to $2 billion, with unit inventories up 4 per cent.

“We delivered better-than-expected revenue and EPS in the third quarter as a result of our disciplined execution and ongoing strength internationally. Looking forward, we will continue to leverage our strong financial position to invest in our growth initiatives, while maintaining operational rigor,” said Meghan Frank, chief financial officer (CFO) at Lululemon.

Looking ahead, the company expects fourth quarter (Q4) FY25 revenue between $3.5 billion and $3.585 billion, with diluted EPS of $4.66 to $4.76. For full-year 2025, revenue is projected at $10.962 billion to $11.047 billion, with EPS of $12.92 to $13.02.

The outlook factors in an estimated $210 million reduction in operating income due to higher US import tariffs and the removal of the de minimis exemption, partially offset by mitigation measures. The guidance excludes the impact of any future share repurchases.

The outlook factors in an estimated $210 million reduction in operating income due to higher US import tariffs and the removal of the de minimis exemption, partially offset by mitigation measures. The guidance excludes the impact of any future share repurchases, added the release.

Fibre2Fashion News Desk (SG)



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Parcel tax: the e-commerce sector calls on France not to break ranks with its European partners

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Parcel tax: the e-commerce sector calls on France not to break ranks with its European partners


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December 16, 2025

As the European Union prepares to impose a €3 levy on small non-EU parcels valued at under €150, the French Senate wants to increase the proposed national charge from €2 to €5. E-commerce organisation Fevad says this would be a mistake that could cost France half a billion euros and is urging lawmakers to change course.

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The Fédération française de la vente en ligne, which backs the French flat-rate tax proposal, is campaigning for the national levy to remain aligned with those of its neighbours. Several countries, including Belgium, the Netherlands, and Italy, are preparing their own €2 taxes on small non-EU parcels. In Fevad’s view, France would be shooting itself in the foot by falling out of step with neighbouring markets.

“To circumvent the new €5 French tax, non-EU platforms such as Shein and Temu will have little difficulty routing their small parcels destined for the French market via neighbouring countries where they already have logistics infrastructure, notably Belgium,” the federation says.

Fevad also points out that a €5 tax would cost France more than €500 million in lost revenue, due to parcels being redirected to port and airport hubs in neighbouring countries rather than in France.

A temporary European tax

This stance comes just days after the EU adopted a €3 EU-wide levy on non-EU parcels under €150. The measure will come into force on 1 July, but it will be temporary.

This flat-rate tax, irrespective of the parcel’s value, will apply pending the introduction of standard parcel taxation, which will then follow the usual tariff rules for personal consumer goods.

“While this is a step in the right direction towards levelling the playing field between EU-based and non-EU-based businesses, companies will also need clear operational arrangements to ensure legal certainty and to adapt their compliance models and internal IT systems in time,” says Luca Cassetti, secretary general of the European confederation Ecommerce Europe, of which Fevad is a founding member.

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Louis Vuitton Watch Prize for Independent Creatives announces finalists and jury members for 2025-26 edition

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Louis Vuitton Watch Prize for Independent Creatives announces finalists and jury members for 2025-26 edition


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December 16, 2025

On December 16, Louis Vuitton unveiled its five finalists and five final jury members for the second edition of the Louis Vuitton Watch Prize for Independent Creatives, to be awarded at an exclusive celebration ceremony on March 24, 2026.

The five finalists for the Louis Vuitton Watch Prize for Independent Creatives – Louis Vuitton

 
Watch Prize finalist Daizoh Makihara of Daizoh Makihara Watchcraft Japan’s ‘Beauties of Nature’ wristwatch entry incorporates the delicate, traditional Japanese cut-glass technique ‘Edo Kiriko’ into watchmaking in a world first and his botanical design features an automatic petal mechanism, perpetual moon phase, and 25-jewel movement running at 18,000 vibrations per hour. Independent watchmaker Xinyan Dai of Fam Al Hut’s mechanical, manual-wind wristwatch named ‘Möbius’ presents the most compact bi-axis tourbillon conceived to date, blending tradition and future-facing innovation with over 200 hours of handcraftsmanship.
 
Victor Monnin and Alexandre Hazemann of Hazemann & Monnin’s ‘School Watch’ entry celebrates the Morteau school of watchmaking with a fully in-house made HM01 calibre, synchronising complex mechanics and precise poetry. Bernhard Lederer of Lederer’s wristwatch ‘CIC 39 mm Racing Green’ presents the first fully functional dual detent escapement in a wristwatch, highlighted by a transparent case back and sanded, matte dial.

Quiet Club’s Norifumi Seki has entered ‘Fading Hours,’ designed to innovate “new mechanics that respond to everyday needs,” according to the watchmaker. Created almost entirely in-house, the watch has a first-of-its-kind alarm with a vertically mounted hammer and minimalist, concealed elements.

'Beauties of Nature' by Daizoh Makihara
‘Beauties of Nature’ by Daizoh Makihara – Louis Vuitton

 
“Since the launch of the Louis Vuitton Watch Prize, our admiration for the dynamism of independent watchmaking has continued to grow,” said Louis Vuitton’s watch director Jean Arnault in a release. “These artisans create truly audacious timepieces, uniting extraordinary technical mastery with the boldness to challenge convention, and in doing so, they push the very boundaries of what is possible. As we celebrate this year’s finalists, I also want to thank the entire watchmaking community for the enthusiasm and support behind this initiative. I would also like to extend my gratitude to the members of the expert committee.”
 
After receiving submissions from around the world, Louis Vuitton’s five finalists were chosen from a group of 20 semi-finalists, whose work was evaluated by a Committee of Experts. The 65 watch enthusiasts, industry representatives, and global collectors measured the candidates’ timepieces against the principles of design, creativity, innovation, craftsmanship, and technical complexity to discern the five top entries.

Möbius by Xinyan Dai
Möbius by Xinyan Dai – Louis Vuitton

 
Carole Forestier-Kasapi, haute horlogerie and movements strategy director at Tag Heuer will take up the role of president of the Watch Prize’s jury after being nominated by the Committee of Experts. The jury also welcomes journalist Frank Geelen, founder and editor-in-chief of Monochrome Watches; Matthieu Hegi, La Fabrique du temps Louis Vuitton artistic director; watch enthusiast François-Xavier Overstake, founder and editor of Equation du Temps; and Kari Voutilainen, master watchmaker and owner of the Voutilainen workshops.
 
The winner of the Louis Vuitton Watch Prize for Independent Creatives will receive 150,000 euros and a one-year specially tailored mentorship by experts from La Fabrique du Temps and Louis Vuitton. “The future looks promising, and we’re excited to see what’s next,” said Jean Arnault.
 

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rag & bone names Swaim Hutson head of menswear design

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rag & bone names Swaim Hutson head of menswear design


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December 16, 2025

The upcoming January edition of Pitti Uomo will mark Swaim Hutson’s debut as head of menswear design at rag & bone, unveiling his first collection for the New York-based brand for the autumn/ winter 2026–27 season.

Swaim Hutson

“rag & bone has always stood for authenticity and innovation,” Hutson commented. “I want to build on these values, creating menswear that is both enduring and immediate, capable of expressing the spirit of New York and engaging with a global audience.”

Hutson brings nearly two decades of experience in international menswear to the role. After founding Obedient Sons in New York- a CFDA/ Vogue Fashion Fund finalist- he held creative director roles at 3.1 Phillip Lim, Club Monaco, and Generra. He later launched The Academy New York, a label that has established itself within the fashion, art, and music communities.

“Swaim brings an innovative vision of creativity and craftsmanship, strengthening the essence of the brand: the elegance of British tailoring combined with the authenticity of American sportswear,” said Andrew Rosen, executive chairman of rag & bone.

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