Summary (tl;dr)

Fabletics, the activewear brand co-founded by Kate Hudson, is trending in business and finance news due to its recent achievement of over $1 billion in annual revenue and an aggressive global expansion strategy, aiming to nearly double its revenue within five years.

Essential Background

Fabletics was founded in 2013 with a digitally native, membership-based model, offering activewear at a more accessible price point than many premium competitors. Over the past few years, the company has increasingly embraced an omnichannel approach, integrating its online membership platform with a growing physical retail footprint in the U.S.. This strategy, coupled with data-driven innovation and celebrity partnerships, has propelled consistent growth, even as some rivals faced challenges.

The Full Story

Fabletics is currently trending following major announcements regarding its financial performance and ambitious global growth plans. The company surpassed $1 billion in net revenue for the first time in 2025, demonstrating significant financial success with double-digit same-store sales growth in the U.S. for three consecutive years. Building on this momentum, Fabletics plans to open approximately 45 new stores worldwide over the next 12 months, including 25 in the U.S. and around 20 internationally. This international push will triple its global retail footprint and marks its entry into new high-growth markets such as India, the United Arab Emirates, Colombia, Peru, and Central America. The brand is also expanding its product offerings beyond traditional activewear into categories like denim, swimwear, and scrubs.

Why It Matters

This trend signifies Fabletics' successful transition from a digital-first brand to a formidable global retail player, challenging established activewear brands. Its strategy, which leverages a strong VIP membership program and data-informed decision-making, provides a blueprint for omnichannel growth in the competitive apparel market. The aggressive expansion, particularly into emerging international markets, indicates confidence in its business model and aims to nearly double its annual revenue to $2 billion within the next five years, which could have significant implications for market share and investment in the activewear and broader lifestyle apparel sectors.

Geographic Location

• El Segundo, Los Angeles County, California, United States (announcement of global growth strategy)
• United States (planned opening of 25 new stores)
• India (planned market entry and store openings)
• United Arab Emirates (planned market entry and store openings)
• Colombia (planned market entry and store openings)
• Peru (planned market entry and store openings)
• Central America (planned market entry and store openings across the region)
• Mexico (planned market entry and store openings)