Skip to main content
BoF Logo

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

Canada Goose Beats Estimates on China Strength; Shares Surge

The Toronto-based company reported revenue of C$358 million ($263 million) for the fiscal fourth quarter.
Canada Goose store with two large crest signs at the front of the black store windows.
The company's sales grew 22 percent from a year earlier. (Shutterstock)

High-end coat maker Canada Goose Holdings Inc. reported higher-than-expected sales growth on strong retail results in China and the US. The shares jumped more than 12 percent in early trading in New York.

The Toronto-based company reported revenue of C$358 million ($263 million) for the fiscal fourth quarter ended March 31, compared with the average analyst estimate of C$316 million.

Sales grew 22 percent from a year earlier.

The company, which sells parkas that cost as much as $2,000, has focussed on improving performance in Asia. The region is home to over 40 percent of Canada Goose stores and recovery there from the pandemic has been slow. The company has also been opening more locations, added three new permanent stores in the fourth quarter.

ADVERTISEMENT

Canada Goose issued a new outlook that sees slow growth in revenue but higher profitability in fiscal 2025. The company expects sales to grow in the low single digits compared with 2024 as it continues its shift away from the wholesale business to focus on selling products directly to consumers.

But it plans to increase prices, and margins should expand, the company said, projecting that adjusted profit per share will grow “by a mid-teen percentage” over a year ago.

The outlook “assumes global consumer spending will continue to be pressured amid persistently high interest rates and geopolitical uncertainty,” the company said in a statement. “Within our business, we assume continued operational discipline and execution of initiatives focused on delivering further cost efficiencies.”

Sales increased about 30 percent in greater China and nearly 25 percent in North America in the fourth quarter compared with the same period a year earlier.

Canada Goose shares had dropped 3.6 percent so far this year through Wednesday’s close.

By Monique Mulima

Learn more:

Haider Ackermann Is Canada Goose’s New Creative Director

The luxury parka maker is aiming to elevate its image as it faces strong competition.

In This Article

© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from Luxury
How rapid change is reshaping the tradition-soaked luxury sector in Europe and beyond.

Is Burberry a Victim of Its Own Strategy?

After a decade of turnaround attempts, the British trenchcoat maker’s efforts to thrive as a top luxury player continue to falter. The brand needs more accessible prices and marketing — and quick.


view more

Subscribe to the BoF Daily Digest

The essential daily round-up of fashion news, analysis, and breaking news alerts.

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON
The Business of Beauty Global Forum
© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions, Privacy Policy, Cookie Policy and Accessibility Statement.
The Business of Beauty Global Forum