The Mirror Acquisition Is Already Exceeding Lululemon's Expectations
lululemon athletica (NASDAQ: LULU) is starting to return to its pre-pandemic growth levels. Over the last three quarters, the business has steadily improved with revenue growth reaching 24% in the most recent quarter. But one of the highlights of the recent earnings report was the performance of Mirror, the interactive fitness company that Lululemon acquired for $500 million last year.
"While the business is still in its early stages and represents less than 5% of our total revenue, Mirror sales exceeded our initial expectations in 2020," Lululemon CFO Meghan Frank said during the fiscal fourth-quarter earnings call.
Lululemon now sees an even greater growth opportunity for Mirror than it did at the time of the acquisition. During the call, management outlined how it plans to drive brand awareness and grow the Mirror business over the next year.
Source Fool.com
