How Omicron threatens fashion retail

14.01.2022
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How Omicron threatens fashion retail
Photo is illustrative in nature. From open sources.
A number of foreign public clothing and footwear manufacturers and retailers have been warned that they have not been able to meet previously announced revenue forecasts for the fourth quarter.Blame a new strain of CORONAVIRUS

Western fashion retailers have warned investors about the impact of the omicron strain of coronavirus on the results of the fourth quarter of 2021, which is usually “golden” for non-food trade: usually December and January are peak sales associated with holidays and the sales season.

Canadian sports retailer Lululemon Athletica (NYSE ticker LULU) has revised its guidance for its fourth quarter 2021 earnings report (the company will report its financial results in March 2022). Lululemon's net revenue will be at the lower end of the forecast range of $2.125-2.165 billion, which the company announced earlier. Adjusted earnings per share will also be closer to the lower end of the range of $3.25-3.32 compared to the consensus estimate of $3.34 on paper.

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