The Vancouver company now expects earnings to range $2.22 to $2.25 a share, up from its previous view of $2.10 to $2.13.
Revenue should come in at $1.37 billion to $1.38 billion in the quarter, up from its previous view between $1.32 billion and $1.33 billion, Lululemon estimated.
Analysts surveyed by FactSet are expecting the company to report earnings of $2.15 a share on revenue of $1.35 billion for the fourth quarter.
The company cited a strong holiday season as the reason for the rosier outlook. “We're excited by the momentum in our business over the holiday period, with guests responding well to our innovative merchandise offerings,” CEO Calvin McDonald said.
Lululemon shares have climbed nearly 80% over the past 12 months. The stock dropped below $114 in December 2018 but has doubled since then.
The shares closed Friday near $235 and at last check in the Monday premarket were up 2.6%.
For more coverage of Lululemon, check out Jim Cramer's take on the stock on RealMoney.com.