The Lulunatics’ much-publicized bottoms misstep that led to Breeze Through leggings being pulled off the market had a minor impact, but an overall lack of newness in women’s apparel hurt Q2 sales, which increased just 7% to $2,371,078,000 from $2,209,165,000 and were flat in the U.S. year-over-year. Net income was 15% higher at $392,922,000, up from $341,603,000, helped by expanding product margins and a small amount of SG&A leverage. Global comps increased 2%, and were up 3% constant currency.

Women’s product generated $1,476.1 million, a 6% increase, while men’s grew 11% to ... Log in to view full article.