Lululemon share price plummets 16.4 per cent

Plus, renting in the burbs and McKinsey meets Vancouver

Fraying shares
The stock price of Lululemon fell 16.4 per cent Thursday to US$53 after the company announced its latest quarterly earnings. This in spite of CEO Laurent Potdevin saying in a release that the company “exceeded our revenue targets for the past quarter.” But while net revenue for the quarter increased 16 per cent to $453 million from $391 million, income from operations fell 2 per cent.

Rent rant
British Columbians spend too much of what they earn on rent, and not just in Metro Vancouver, according to the Canadian Rental Housing Index, put together by a coalition of non-profit housing associations. Their interactive map tells the story: the highest average rents paid are in cities. In Vancouver, where average rent is $1,089 per month, nearly half (45 per cent) of households spend what’s considered to be more than they can afford—over 30 per cent—of their household income on rent and utilities. It may even be worse in suburbs like Burnaby, Coquitlam and West Vancouver, where fewer rental properties make units even less affordable. Add to that the fact that it’s harder to forgo a car outside Vancouver.
McKinsey debut
For the first time, international consulting giant McKinsey & Co. opened its doors for business Thursday in Vancouver. With oil and gas slumping, the timing may seem strange to build an office with expertise in commodities like mining and energy. But local (Chilliwack) boy Dominic Barton, global managing director at McKinsey & Co., told the Vancouver Board of Trade in a speech Wednesday that he remains “very bullish on commodities.”  The office is temporarily located at 650 West Georgia while their new digs are being completed. (via Vancouver Sun)