Despite revenue growth: Canada Goose reports higher loss in second quarter

Canadian apparel retailer Canada Goose Holdings Inc. increased its revenue in the second quarter of the 2026/27 financial year. However, the Toronto-based down jacket specialist simultaneously recorded a higher loss.

According to an interim report published on Thursday, revenue in the most recent quarter ended September 27 totalled 274 million Canadian dollars (195.26 million dollars). This represented an increase of 5.9 percent year-over-year. Adjusted for exchange rate fluctuations, revenue rose by 4.9 percent.

Revenue developed most dynamically in the Greater China region, where it grew by 32.5 percent (up 28.2 percent at constant currency) to 68.5 million Canadian dollars. In the remaining Asia-Pacific markets, revenue increased by 5.5 percent (up 6.2 percent at constant currency) to 29 million Canadian dollars. In North America, the company achieved growth of 8.1 percent (up 7.5 percent at constant currency) to 107.6 million Canadian dollars.

Conversely, performance declined in the Europe, the Middle East, Africa and Latin America (EMEA) region. There, revenue contracted by 14 percent (down 13.9 percent at constant currency) to 68.9 million Canadian dollars.

Management confirms full-year guidance

The company increased its gross margin from 64 percent in the prior-year quarter to 66.8 percent. However, higher marketing expenses and increased costs associated with the opening of new stores caused the operating loss to widen by 22.7 percent to 21.6 million Canadian dollars.

The reported net loss rose from 17.4 million to 26.3 million Canadian dollars. The net loss from continuing operations attributable to shareholders—excluding the share of the now-divested footwear brand Baffin—increased from 15.2 million to 18.8 million Canadian dollars.

Management maintained its guidance for the current financial year. It continues to expect revenue growth in the low single-digit percentage range and an adjusted EBIT margin of between 11 and 12 percent.