Canadian Tire reported its SportChek segment delivered its fourth consecutive quarter of comparable sales growth, up 3.9 percent, driven by sales of sandals and athletic footwear as well as hardgoods categories, such as golf.

Hockey, and other team sports, as well as athletic clothing also contributed to the gains. The SportChek segment refers to owned and franchised operations under the SportChek, Sports Experts, Atmosphere, Sports Rousseau, Hockey Experts, and L’Entrepôt du Hockey banners.

SportChek segment’s net sales rose 6.8 percent to Canadian $471.5 million, up rom CDA$ 441.7 million a year ago. Retail sales, including sales from both corporate and franchise stores, were up 3.3 percent. The SportChek segment has 354 stores open across banners at the close of the quarter, up from 367 a year ago.

Companywide, revenue was CDA$4,201.9 million, up 5.2  compared to CDA$3,995.4 million in the same period last year; Revenue excluding petroleum was CDA$3,733.5 million, an increase of 8.4 percent compared to the prior year.

Consolidated comparable sales were up 5.6 percent, with growth in all banners and provinces led by CTR in Western Canada.

CTR comparable sales were up 6.4 percent in the company’s most discretionary quarter, with strong growth across CTR’s four largest divisions. Being ready for spring/summer drove growth of more than 8 percent in Seasonal and Gardening. Automotive grew for the 20th consecutive quarter.

Mark’s comparable sales were up 1.0 percent. Industrial footwear and workwear categories grew, partially offset by softer casualwear and outerwear sales.

Diluted EPS was CDA$2.04, down CDA$1.52 mainly due to the $1.03 loss on discontinued operations for results up to the May 31st completion of the Helly Hansen sale to Kontor Brands and expenses related to the company’s True North transformation.

Normalized for the True North expenses, diluted EPS (continuing operations) was CDA$3.57, down 15 cents. Normalized IBT (income before taxes) was down CDA$10.9 million to CDA$296.0 million. Growth in normalized retail IBT of CDA$17.6 million was more than offset by lower income from other segments, including lower Financial Services IBT due to investments in the business.

“In Q2, Canadians came to us for the great seasonal products and value they were seeking, driving strong sales and revenue growth. In a dynamic consumer environment, customers continued to turn to us for the items they need for life in Canada,” said Greg Hicks, president and CEO, Canadian Tire Corporation.

“Our True North strategy is underway and moving at pace. Since March, we have rolled out new store concepts, invested in transformative technology, expanded Triangle Rewards loyalty partnerships, and secured the considerable privilege of stewarding HBC’s great Canadian brands forward. Our team is committed to our Canadian prosperity, and I celebrate their efforts.” 

Strategic Highlights

  • During Q1 2025, CTC launched its True North transformative growth strategy, designed to drive core retail growth through four strategic cornerstones: disciplined capital investments in digital and store experiences; an expanded Triangle Rewards loyalty system; more personalized and data-driven customer relationships; and a more agile, tech-driven and efficient operating company.
  • The transformation is underway, with progress on a number of fronts.
    • At the end of June, 21 of the 54 store enhancement projects planned for 2025 had been completed across eight provinces and territories, with store enhancement representing approximately $116 million of operating capital expenditure1 in the first half. Projects completed included:
      • 14 CTR store refreshes, including a store relocation in Kingston, Ontario.
      • Five Mark’s store refreshes, including its ninth Bigger, Better, Bolder store in Ancaster, Ontario.
      • SportChek’s second Destination Sport store in Toronto, Ontario.
      • The company also extended its PHL presence into Saskatchewan, with the opening of a new store in Regina.
    • The revised go-to-market strategy for its Atmosphere business is well underway with 15 of 17 previous stand-alone sites now co-located within SportChek stores.
    • The expansion of Triangle Rewards remains on track, with the expected launch of loyalty partnerships with RBC (announced in March 2025) and WestJet (announced in May 2025) by the first half of 2026.
    • The company’s Owned Brands portfolio continues to be a fundamental element to its core retail portfolio and product assortment. On May 15, 2025, the company entered into a definitive agreement to become the home of iconic Canadian brands and other intellectual property of the Hudson’s Bay Company (HBC). This includes the HBC Stripes and various HBC company names, logos, designs, Coat of Arms and brand trademarks.
    • The previously-announced investments for the initiatives that underpin the True North strategy are underway, as is the implementation of the previously-announced operating structure to drive increased agility and efficiency. The reorganization of corporate teams under the new structure is expected to be completed by the end of Q3 2025, with initial savings beginning in Q4 2025.