Canada Goose shares surges on Q2 Earnings beat

Canada Goose Holdings Inc. (NYSE: GOOS) shares jumped by 13 percent on Thursday after beating analysts’ estimates, sending shares to an all time high since its went public back in March.

For the second quarter, Canada Goose reported a revenue of $172.3 million, increasing 34.7 percent year over year, and beating analysts’ estimates by $22.3 million. The company reported an EPS of $0.29, falling just slightly lower than the previous year’s same quarter of $0.33, but beat analysts’ estimates by $0.08.

Wholesale revenue was $152.1 million, increasing from last year’s same quarter of $122.4 million. Direct-to-consumer revenue was $20.3 million, increasing from last year’s same quarter of $5.5 million.

Revenue was drive by stronger growth in its North American e-Commerce business, which was not operating last year. New locations in Chicago and Tokyo was able to expand the retail brand into new demographic regions.

“With strong results across channels, geographies and categories, we continue to drive awareness and penetration while inspiring those who already know and love our brand. Most importantly, we remain deeply committed to building an enduring brand for the long term,” stated Dani Reiss, President & Chief Executive Officer.

The company projected in the fourth quarter of 2017 that annual revenue would increase in the mid to high teens on a percentage basis and adjusted net income per diluted share growth of 20 percent per year.

Based off the better than expected second quarter, Canada Goose now raises its 2018 full year outlook. The company only states that it expects 2018 financial results to beat the previous guidance provided.

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