Canada Goose cuts revenue growth outlook as coronavirus hits sales
The luxury coat maker says it now expects revenue growth of between 13 and 15%, down from the 20% it had previously said
TORONTO — Canada Goose Holdings Inc. has cut its outlook for the year because of the “material negative impact” of the coronavirus outbreak.
The luxury coat maker says it now expects revenue growth of between 13 and 15%, down from the 20% it had previously said, to reach revenue of between $945 million to $955 million.
It says the health crisis has resulted in a “sharp decline” in customer traffic and purchasing activity, both in store and online across China. It says travel disruptions have also affected sales in international shopping destinations in North America and Europe.
For the third quarter, the company says it had a net income of $118 million, or $1.07 per diluted share, up from $103.4 million or 93 cents for the same quarter last year. Adjusted net income for the quarter ending December 29 was $119.7 million, or $1.08 per share, up from $107.2 million or 96 cents per share last year.
Revenue for the quarter ending December 29 came in at $452.1 million, up from $399.3 million for the same quarter last year.
Analysts had expected revenue of $448.2 million and adjusted net income of $1.07 per share according to financial markets data firm Refinitiv.