Luxury parka maker Canada Goose posts bigger-than-expected quarterly loss (updated)

Canada Goose Holdings

31/07/2025 12:09

Updates shares in paragraph 9, adds analyst comment in paragraph 4, executive comment in paragraph 10

By Anuja Bharat Mistry

July 31 (Reuters) - Canada Goose GOOS.TO, GOOS.N posted a bigger-than-expected quarterly loss on Thursday, hit by higher costs from efforts to expand its retail presence and promotional campaigns that lifted demand for its puffer jackets and hoodies.

The luxury goods maker's collaboration with French designer Haider Ackermann and its push for fresh, fashion-forward styles have helped the brand connect more with customers, driving a 22.4% jump in sales in the first quarter.

The company has also diversified into eyewear, rainwear and summer-ready collections.

Canada Goose's efforts are clearly resonating with consumers around the world and this bodes well for the company's long-term prospects, said Sky Canaves, analyst with eMarketer.

Its quarterly revenue in the U.S., which accounts for a quarter of all sales, jumped 45.4%. It rose 18.7% in another key market in Greater China.

Total revenue of C$107.8 million ($77.86 million) easily topped analysts' estimate of a 5.36% rise to C$92.8 million, according to data compiled by LSEG.

Italy's Prada 1913.F also saw strong demand for its Miu Miu brand, while peers such as Gucci-owner Kering PRTP.PA and French luxury group LVMH LVMH.PA took a hit.

Canada Goose had withheld its fiscal 2026 forecast in May due to tariff uncertainty. But unlike the broader retail sector, it has been able to partly shield itself from tariff impacts, thanks to its domestically made products being exempt under the U.S.-Mexico-Canada trade pact.

The company, shares of which were down about 3%, produces 75% of its goods in Canada.

Canada Goose also plans to open new stores this year and views in-store labor as a key revenue-driving investment, Chief Operating Officer Beth Clymer said on a post-earnings call.

It posted an adjusted loss of 91 Canadian cents per share, bigger than the estimate of an 88-Canadian-cent loss, as it faced costs related to the expansion of its global retail network and increased marketing spending with Spring-Summer 25 and Snow Goose campaigns.

($1 = 1.3846 Canadian dollars)

 (Reporting by Anuja Bharat Mistry in Bengaluru; Editing by Sriraj Kalluvila and Shilpi Majumdar)

 ((AnujaBharat.Mistry@thomsonreuters.com;))