Nomura reports Lululemon (LULU.O) posted FY2026 Q2 constant-currency revenue down 5% YoY to $2.42bn, missing the $2.46bn consensus. Operating income fell 13% YoY to $454m; operating margin dropped 1.9ppt to 18.8%. Management cut FY2026 revenue guidance to a 5–7% decline YoY, implying ~$10.35–10.5bn vs. market expected $10.98bn. Management flagged a slowdown in mainland China, saying negative social-media commentary on its China promotions and absence from post-618 discounting hurt e-commerce per

Nomura reports Lululemon (LULU.O) posted FY2026 Q2 constant-currency revenue down 5% YoY to $2.42bn, missing the $2.46bn consensus. Operating income fell 13% YoY to $454m; operating margin dropped 1.9ppt to 18.8%. Management cut FY2026 revenue guidance to a 5–7% decline YoY, implying ~$10.35–10.5bn vs. market expected $10.98bn. Management flagged a slowdown in mainland China, saying negative social-media commentary on its China promotions and absence from post-618 discounting hurt e-commerce performance; it expects intense competition in North America and China, will prioritize full-price growth in China and will participate normally in Double 11, and still views mainland China as an expansion opportunity. Within its China sportswear coverage, Nomura prefers Anta (02020.HK), citing structural upside from outdoor and emerging sports and a multi-brand strategy that should help navigate industry competition.