After “Record Sales For The Year” Canada Goose Expects Losses Next Quarter
Canada Goose Holdings Inc. (TSX: GOOS) reported today its fiscal Q4 and full-year 2022 financial results ended April 3, 2022. The firm recorded a quarterly revenue of $223.1 million, up from Q4 2021’s $208.8 million.
But for fiscal Q1 2023, the company is expecting the topline figure to land between $60 – $65 million. This is partly due to the firm expecting that the first quarter will only contribute 5% of the annual 2023 revenue compared to 20% in Q2, 50% in Q3, and 25% in Q4.
“We closed fiscal 2022 with record sales for the year and confidence in our ability to accelerate earnings growth in Fiscal 2023 and beyond,” said CEO Dani Reiss.
The annual revenue for fiscal 2022 ended at $1.10 billion, up from $903.7 million last year. For 2023, the firm is guiding the revenue between $1.30 – $1.40 billion.
Further down, the company recorded a quarterly net loss of $9.1 million, down from last year’s net income of $2.5 million. This translates to $0.09 loss per share.
On an adjusted basis, adjusted EBIT came in at $12.5 million, up from last year’s $4.8 million. This yields to an adjusted income of $0.04 per share. However, the firm is guiding Q1 2023 to have adjusted EBIT at a loss between $75 – $80 million with adjusted loss per share between $0.60 – $0.64.
For fiscal 2022, net income ended at $94.6 million, up from last year’s $70.3 million. Adjusted EBIT came in at $174.6 million, also up from last year’s $132.6 million, while adjusted net income per share landed at $1.09 from last year’s $0.78.
The firm is eyeing the figures to go up in 2023, expecting adjusted EBIT to be $250 – $290 million and adjusted net income to be $1.60 – $1.90 per share.
Aside from the expected revenue shares to be contributed by each quarter in fiscal 2023, the firm’s guidance is said to be based on a number of assumptions, including regular trading levels in Mainland China and improved traffic and projected lower levels of operating disruptions globally.
Canada Goose last traded at $24.54 on the TSX.
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