Canada Goose Holdings Inc. reported a global ecommerce revenue growth of 80.8 percent for the first quarter. Total revenue rose to 56.3 millions Canadian dollars, compared with 26.1 million Canadian.
Commenting on the results, Dani Reiss, the company’s president & CEO said: “Our digital business continued at a rapid pace of growth globally, alongside improving retail trends. We are well-positioned for fiscal 2022, thanks to strong momentum and a less disruptive operating environment.
Review of Q1 financial performance of Canada Goose Canada saw a 126.1 percent increase despite high retail closings. However, there were 7 million Canadian dollars worth of temporary PPE sales during the comparable quarter.
The company’s DTC revenue in Mainland China increased by 188.7 percent. Canada Goose stated that total DTC revenue was 29.4 millions Canadian dollars. This was compared to 10.4million Canadian dollars. It was due to a lower level Covid-19 disruptions and e-commerce growth, new retail expansion and new retail expansion despite continuing store traffic headwinds.
The company added that wholesale revenue was 25.8 million Canadian dollars compared to 8.7 million Canadian dollars as a result of higher volume of shipments to wholesale and international distributor partners, driven by a lower level of Covid-19 disruptions. This decrease can be attributed to PPE sales in a comparative quarter. These were temporarily manufactured for Covid-19 response efforts.
Canada Goose reports Q1 net loss of 56.7 million Canadian dollars Comparatively, the operating loss was 60.7 millions Canadian dollars and 59.3million Canadian dollars.
The company reported net loss of 56.7 million Canadian dollars or loss of 0.51 Canadian dollars per diluted share compared to 50.1 million Canadian dollars or 0.46 Canadian dollars per diluted share. Non-IFRS adjusted net losses were 50 million Canadian Dollars or 0.45 Canadian dollar per diluted shares, compared to negative 38.4 Million Canadian Dollars or 0.35 Canadian dollar per diluted share.
Reiterating the fiscal 2022 outlook, the company said, for the second quarter, Canada Goose assumes low double digit Wholesale revenue growth, and DTC revenue at roughly one and a half times last year’s level.