Lululemon stock surges nearly 10% in premarket trading after beating earnings and providing a positive full-year profit forecast. CEO Calvin McDonald will step down in January, with Meghan Frank and André Maestrini serving as interim co-CEOs. In Q3, diluted profits reached $2.59 per share, exceeding expectations, with revenue up 7% to $2.6 billion.

International sales drove revenue growth, climbing 18% on a comparable basis, while same-store sales in the Americas declined by 5%. For Q4, Lululemon expects net revenue between $3.5 billion to $3.58 billion, in line with Wall Street estimates. The company forecasts full-year revenue of $10.96 billion to $11 billion, representing 4% growth.

Full-year earnings per share are expected to be between $12.92 to $13.02, surpassing Street expectations of $12.86 per share. Lululemon continues to make progress in its turnaround plan and anticipates more positive results in 2026.

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