The first quarter revenues of Lululemon ended May 3, 2020, declined by 17 per cent to $652.0 million compared to $782.3 million in the prior-year period. The retailer’s sales in digital direct-to-consumer segment increased by 68 per cent representing 54.0 per cent of tota net revenue, compared to only 26.8% in the same period in the previous year. However, this growth could not compensate for sales lost due to widespread store closures. In response to the Covid-19 pandemic, Lululemon temporarily closed all of stores in mainland China in February, followed by all of its locations in North America, Europe and certain countries in Asia Pacific in March.

All of the company’s stores in China have now reopened, as well as 295 of its locations in other regions where closures were implemented. Lululemon’s quarterly net income declined to $28.6 million, or $0.22 per diluted share, from $96.6 million, or $0.74 per diluted share, in the first quarter of fiscal 2019.