Canada Goose (GOOS.TO) shares fell over eight per cent Thursday morning after the company’s first-quarter earnings call reported a net loss of $125.5 million, widening from a $74 million loss in the same period last year.
As at 11:41 a.m. ET, Canada Goose was trading at $16.20 per share on the Toronto Stock Exchange, down 8.36 per cent.
On an adjusted basis, the Toronto-based luxury parka maker posted a loss of $1.29 per diluted share, compared to an adjusted loss of 80 cents per share in the previous year’s first quarter.
The company attributed the increase in selling, general and administrative expenses to a one-time financial award to a former supplier costing $149.5 million, the expansion of its global retail network, increased spending on its Spring-Summer 2025 collections and Haider Ackermann’s Snow Goose capsule collection campaigns, along with product design and merchandising expenses.
Canada Goose continued to hold back its financial outlook this quarter, citing uncertainty around tariffs as the U.S. and Canada race to establish a trade deal ahead of U.S. President Donald Trump’s August 1 deadline.
“I don’t want to pretend that I know what’s going to happen in three weeks because I don’t think any of us do,” CEO Dani Reiss told Yahoo Finance Canada in an interview.
In the absence of the financial outlook, Reiss says investors should focus on the company’s revenue increase of 22 per cent year-over-year, and 23 per cent growth in its direct-to-consumer channel.
“We’re an outlier and our brand is resonating on a pop culture level with consumers in a way that others perhaps aren’t. And, we’re really leaning into that momentum as we head into our busier seasons,” he said.
According to chief financial officer Neil Bowden, the company has remained relatively unscathed by tariffs so far. Roughly 75 per cent of products are manufactured in Canada, and comply with USMCA requirements, making them currently exempt from tariffs, he says.
For European products, the company pays modestly higher tariffs, “but they will continue to have a minimal financial impact,” Bowden says. The U.S. this month struck a deal with the European Union to impose a 15 per cent import tariff on goods — half of what Trump previously threatened.
