Lululemon is considering selling the mirror three and a half years after purchasing it

Lululemon considers putting up a mirror fitness for sale sign. Canadian sportswear and equipment company Consider selling his smart home mirror, the manufacture of Mirror Fitnessaccording bloomberg.

lululemon, what Acquired Mirror Fitness for $500 Million in 2019faced $443 million in business impairment charges from the fitness equipment maker in the fourth quarter of 2022.

The Canadian company entered Mirror Capital after raising $34 million with the aim of boosting its growth. After that tour, it was .start It has already raised $72 million since September 2018.

The potential sale supports the company’s change in strategy, from hardware to A digital, app-based product christened Lululemon Studio. “We’re shifting Lululemon Studio’s focus from a customer-focused offering. hardware into a company that is also focused on app-based digital services for the future,” said Lululemon CEO Calvin McDonald.

With this change in its business model, the company hopes to reduce the impact of a flat tire home fitness after the pandemic. but hole home fitness Not only affected comp hardware Focused on fitness. Companies like Peloton have struggled as a bubble of exercises at home. In August 2022, Peloton announced it would raise prices and cut about 800 jobs, while Equinox-owned SoulCycle closed 19 of its 83 studios in the United States and Canada.

Lululemon recently announced it It ended its fiscal year 2022 (period ending January 29, 2023), bringing its sales to $8,100 million.Which represents growth of 29.6% compared to 2021, and meets the billings expectations it passed with an entry of $7,994 million.

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Despite its increased income, the Canadian company closed the course It cut its dividend by 14.1%, to $854.8 millioncompared to $975.3 million earned in the previous year.

By 2023, the company It expects sales of between $1,890 million and $1,930 million in the first quarter of the year. For the full year, Lululemon expects to get sales of between $9,300 million and $9,410 million, which would mean an increase of 15% compared to the figures obtained in 2022.

Lululemon is a sportswear brand that was founded in 1998 and initially aimed at yogis. The Canadian company has diversified its product range and currently offers sports items such as he ran or swim, which it distributes through its worldwide network of stores.

Amber Cross

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