Lululemon reports sagging revenues, inventory overflow

Plus, Tofino real estate goes big, Vancouver ride service launches, and Trump tower builder responds

Profits down
Following on the heels of a not-at-all-glowing analyst report last week, Lululemon Athletica Inc. reported its own disappointing third-quarter results on Wednesday. Net income totaled $53.2 million, a 12 per cent drop from the same period in 2014. These numbers caused the company to reduce its annual revenue and profit forecast for 2015.

As the athletic wear giant continues an aggressive campaign to open new stores in Europe, Asia, and the U.S., it has been beset by challenges including weaker Canadian and Australian dollars and strong competition from other companies. CEO Laurent Potdevin told analysts on Wednesday that shopper traffic to its stores this fall was sluggish.

Tofino property high
 Long known as a remote haven for surfers and storm-watchers, Tofino is joining the world of blood-sport real estate with a recent $3.6-million sale. The 9,600-sq.-ft. post-and-beam home sits on a half-acre lot on Chesterman Beach. Amenities include an authentic pizza oven, a two-storey gazebo with sauna and hot tub, a caretaker’s cottage, a propane-fired back-up generator, a dedicated compost area, and a Totem pole.
The record may not last for long. Another Chesterman Beach property,  with a 4,600-sq.-ft home and 1.5-acre lot, is currently listed for $7.9 million. 

Ride ready 
Vancouverites willing to pay a bit extra for a luxury ride home from the Christmas party can now bypass the taxi lineup. Ripe Rides,  the brainchild of local tech entrepreneur Otis Perrick, launches today.
After extensive lobbying, Perrick won the right to operate his service from B.C.’s Public Transportation Board. His idea was sparked by his own desire to offer his clients a slightly better ride out to a restaurant, and his argument that the Cadillacs won’t compete with the same market as taxis eventually won out. His fleet of 20 Cadillac XTS cars can now be accessed by thumbs – punching mobile devices, not sticking out. 

Trump Stays
The CEO of the Holborn Group of Companies, the developer of the Trump International Hotel and Tower, has responded to yesterday’s Twitter campaign to remove the Trump name from the new building.
Joo Kim Tiah released the following statement:
“Holborn is a Vancouver-based private real estate development company that owns Trump Vancouver. When Trump Vancouver opens in 2016, we will create as many as 300 jobs. Holborn, a company that has contributed immensely to the growth of Vancouver, is not in any way involved in U.S. politics. As such, we would not comment further on Mr. Trump’s personal or political agenda, nor any political issues, local or foreign. Our efforts remain focused on the construction of what will soon be the finest luxury property in Vancouver and beyond.”