Canada Goose Holdings, Inc. reported that the company’s total revenue for the second quarter of fiscal 2026, ended September 28, increased 1.8 percent to CN$272.6 million, down 0.8 percent on a constant-currency (cc) basis.

  • DTC (direct-to-consumer) revenue increased 21.8 percent (+20.5 percent cc) to CN$126.6 million, driven by DTC comparable sales growth of 10.2 percent and revenue from non-comparable stores. Performance was reportedly driven by a combination of sharper DTC execution, a stronger mix of in-season product newness and more consistent marketing.
  • Wholesale revenue decreased 1.0 percent (-4.8 percent cc) to CN$135.9 million, which was described as “in line” with revenue in the comparative quarter.
  • Other revenue decreased 62.0 percent (-63.2 percent) to CN$10.1 million, reportedly due to a lower number of Friends & Family events as planned, and employee sales.

Canada Goose Holdings Inc. reports in Canadian (CN$) dollars.

“Our second quarter results reflect strong DTC performance and positive comparable sales growth – clear proof our strategy is working,” said Dani Reiss, chairman and CEO, Canada Goose Holdings Inc. “We’re exactly where we planned to be, investing with intention, elevating our product offering, brand, and consumer experiences, and entering peak season with confidence.”

Profitability and Expenses
Gross profit increased 3.7 percent to CN$170.1 million in the fiscal second quarter. Gross margin for the quarter was 62.4 percent of revenue in Q2, compared to 61.3 percent in the second quarter of fiscal 2025, primarily due to a higher proportion of DTC revenue, partially offset by higher product costs and a shift in product mix.

Selling, general and administrative (SG&A) expenses were CN$187.7 million, compared to CN$162.5m in the prior year period. The increase in SG&A was primarily driven by store execution ahead of peak season, including labor and training, as well as the expansion of the company’s global retail network and our planned increase in marketing spend for Fall/Winter 2025 campaigns.

Operating loss was CN$17.6 million, compared to operating income of CN$1.6 million in the prior year period.

Net loss attributable to shareholders was CN$15.2 million, or CN16 cents per basic and diluted share, compared with a net income attributable to shareholders of CN$5.4 million, or CN6 cents per basic and diluted share in the prior-year Q2 period.

Adjusted EBIT was negative CN$14.2 million, compared to positive CN$2.5 million in the prior-year period.

Adjusted net loss attributable to shareholders was negative CN$13.3 million, or negative CN14 cents per basic and diluted share, compared with an adjusted net income attributed to shareholders of CN$5.2 million, or CN5 cents per basic and diluted share in the prior-year Q2 period.

Balance Sheet Summary
Inventory of CN$460.7 million for the second quarter ended September 28 was down 3 percent year-over-year, reflecting higher demand and a continued proactive approach to managing inventory over the past year. Inventory turnover was flat.

The company ended the second quarter of fiscal 2026 with net debt of CN$707.1 million, compared to CN$826.4 million at the end of the second quarter of fiscal 2025. This reduction was primarily attributed to disciplined working capital management, cash generated from operating activities in recent quarters, and lower borrowings from the company’s credit facilities compared to the previous year. During the quarter, the company executed an amendment to refinance its existing term loan facility, resulting in a total principal amount outstanding of USD300 million with an interest rate of SOFR plus 3.50 percent, and a maturity date of August 23, 2032.

Director Retirement and Resignation
The company has also announced that Stephen Gunn has retired and resigned from the company’s Board of Directors. Gunn joined the company’s Board of Directors in 2017 and served as a member of the company’s Audit Committee. Effective upon Gunn’s resignation as a director, the size of the company’s Board of Directors went from 10 to nine directors.

Effective as of October 1, 2025, Belinda Wong, an independent member of the company’s Board of Directors, has been designated as an “audit committee financial expert” and has been appointed to the Audit Committee of the Board of Directors.

Early Renewal of Normal Course Issuer Bid
The company further announced that its renewed normal course issuer bid (NCIB) will commence on November 10, 2025, following the early termination of its current NCIB. The Toronto Stock Exchange (TSX) has approved purchases for cancellation of up to 4,578,677 subordinate voting shares of Canada Goose over the twelve-month period commencing on November 10, 2025, and ending no later than November 9, 2026. This represents approximately 10 percent of the 45,786,775 subordinate voting shares comprising the public float (Public Float) determined in accordance with TSX requirements as at October 27, 2025.

As at October 27, 2025, there were 46,066,744 subordinate voting shares issued and outstanding. The company’s current normal course issuer bid commenced on November 22, 2024, for a 12-month period that would have ended November 21, 2025, for a maximum of 4,556,841 subordinate voting shares. No subordinate voting shares were purchased under the current normal course issuer bid. As permitted by the TSX, the current normal course issuer bid will terminate early on November 9, 2025, the day prior to the effective date of the NCIB.

Canada Goose said it believes that the purchase of the company’s subordinate voting shares under the NCIB is an appropriate and desirable use of available excess cash-on-hand, as part of its broader capital allocation strategy. The NCIB will be conducted through the facilities of the TSX and the New York Stock Exchange (NYSE) or alternative trading systems in Canada and the U.S., if eligible, and will conform to their regulations. Subordinate voting shares will be acquired under the NCIB at the market price plus brokerage fees.

Purchases under the NCIB will be made through open market transactions or other means as permitted by a securities regulatory authority. If the company acquires subordinate voting shares by other means as a securities regulatory authority may permit, the purchase price of the subordinate voting shares may be different than the market price of the subordinate voting shares at the time of the acquisition. Purchases made under an issuer bid exemption order will be at a discount to the prevailing market price, as specified in the terms of the order. Furthermore, under the NCIB, Canada Goose may make, once per week, a block purchase (as such term is defined in the TSX company Manual) at market price, in accordance with TSX rules. Canada Goose will otherwise be allowed to purchase daily, through the facilities of the TSX, a maximum of 58,127 subordinate voting shares representing 25 percent of the average daily trading volume of 232,510 subordinate voting shares, as calculated per the TSX rules for the six-month period starting on May 1, 2025, and ending on October 31, 2025.

In connection with the NCIB, the company also re-entered into an automatic share purchase plan (ASPP) with the designated broker responsible for the NCIB, allowing for the purchase of subordinate voting shares under the NCIB at times when Canada Goose would ordinarily not be permitted to purchase its securities due to regulatory restrictions and customary self-imposed blackout periods.

Pursuant to the ASPP, before entering a blackout period, the company may, but is not required to, instruct the designated broker to make purchases under the NCIB in accordance with certain purchasing parameters. Such purchases will be made by the designated broker based on the specified purchasing parameters, without further instructions from Canada Goose, in compliance with the rules of the TSX, applicable securities laws, and the terms of the ASPP. The ASPP has been pre-cleared by the TSX and will be implemented concurrently with the initiation of the NCIB.

Pursuant to exemptive relief granted by the Ontario Securities Commission (OSC) to the company on January 24, 2025, Canada Goose is allowed to purchase up to 10 percent of its Public Float through the facilities of the NYSE and other U.S.-based trading systems as part of any NCIB implemented in the 36 months following the date of the decision, and will therefore not be limited on such trading platforms to purchasing 5 percent of its outstanding subordinate voting shares at the beginning of any 12-month period as Canadian securities laws would otherwise provide.

Image courtesy Canada Goose