Brief: Roots Q2 EPS CAD -0.11

Roots

10/09/2025 11:59

Overview

Roots fiscal Q2 sales rise 6.3% yr/yr to C$50.8 mln

DTC sales grow 12.7%, driven by 17.8% comparable sales increase

Net loss improves to C$4.4 mln from C$5.2 mln last year

Outlook

Company continues to see positive trends in back-to-school period

Company focuses on creating long-term value and deepening customer engagement

Result Drivers

COMPARABLE SALES GROWTH - Roots attributes 17.8% increase in comparable sales to brand strength and product resonance

DTC SALES - 12.7% rise in DTC sales driven by innovative collaborations and enhanced customer experiences

P&O SALES DECLINE - Lower wholesale sales to international partners due to inventory optimization efforts

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
C$50.80 mln
Q2 EPS
-C$0.11
Q2 Net Income
-C$4.40 mln
Q2 Gross Margin
60.7%


Analyst Coverage

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

The average consensus recommendation for the apparel & accessories retailers peer group is "buy"

Wall Street's median 12-month price target for Roots Corp is C$3.75, about 15.5% above its September 9 closing price of C$3.17

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw8Jnj1Ca

(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.)