Canada's Goodfood Market Q1 net sales fall 21%, net loss widens

Goodfood Market

20/01/2026 11:43

Overview

Canada meal solutions firm's Q1 net sales fall 21%

Company reports Q1 net loss of C$3 mln, with improved gross margin

Company focuses on stabilizing core meal kit business and diversifying revenue

Outlook

Goodfood focuses on stabilizing core meal kit business amid challenging market conditions

Company aims to generate cash and protect margins through disciplined capital allocation

Goodfood sees acquisitions as key growth source, plans to accelerate efforts in 2026

Result Drivers

REVENUE STABILIZATION - Heat & Eat meal solutions and Genuine Tea helped stabilize revenue and cash flows sequentially

GROSS MARGIN IMPROVEMENT - Gross margin increased by 2.7% due to improved average order value and lower incentives as a percentage of net sales

LEADERSHIP FOCUS - New leadership is focusing on stabilizing the core meal kit business and diversifying revenue and profitability

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
C$28 mln
C$26.10 mln (1 Analyst)
Q1 Net Income
-C$3 mln
Q1 Adjusted EBITDA
C$1 mln
C$1 mln (1 Analyst)
Q1 Gross Margin
42.30%
Q1 Gross Profit
C$12 mln


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the online services peer group is "buy."

Wall Street's median 12-month price target for Goodfood Market Corp is C$0.25, about 24.2% below its January 19 closing price of C$0.33

Press Release: ID:nGNX2ZWhx7

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)