Yogawear retailer Lululemon Athletica reported a third-quarter profit that missed analysts’ estimates as sluggish sales forced the retailer to cut prices on more items.
Profit in the quarter ending Nov. 1 was 35 cents a share, the company said. Analysts estimated 37 cents a share. Sales rose 14 percent to $479.7 million, also trailing analysts’ average projection.
The results show increased competition from rivals such as Nike and Under Armour and unseasonably warm weather have Lululemon struggling to clear out a glut of seasonal products.
More price slashing may be necessary in the fourth quarter, the company said.