Canada Goose Reports Second Quarter Fiscal 2027 Results

• Generated revenue of $274.0m, an increase of 5.9% (up 4.9% on a constant currency basis¹) versus the prior year
• Delivered adjusted EBIT margin² of (7.9)% compared with (5.5)% in the same period last year, primarily reflecting increased marketing investments ahead of the holiday season and our expanded store network, resulting in an adjusted EBIT² loss and operating loss of $(21.6)m
• DTC comparable sales decline³ was 7.5% in the second quarter, reflecting lower store comparable sales, partially offset by positive e-commerce comparable sales growth in North America and Asia Pacific
• Maintained strong balance sheet and well-positioned inventory levels, with inventory turnover³ up 8% year-over-year at 1.0x sales
• Closed the sale of Baffin Limited, reflecting our continued focus on simplifying the business and on our key strategic priorities. As a result, the financial results are presented on a continuing basis, excluding Baffin discontinued operations, and prior periods are reclassified accordingly

TORONTO--(BUSINESS WIRE)--Canada Goose Holdings Inc. (NYSE, TSX: GOOS) announced today financial results for the second quarter ended September 27, 2026 and reiterated its fiscal 2027 outlook. All amounts are in Canadian dollars unless otherwise indicated.

“Our second-quarter results demonstrate continued progress in building a stronger, more diversified Canada Goose,” said Dani Reiss, Chairman & CEO of Canada Goose. “We’re expanding our cultural relevance, building momentum across lifestyle categories, and strengthening the underlying economics of our business. As we enter our most important selling season, we’re confident in the strength of our brand, our product, and the opportunities ahead.”

Second Quarter Fiscal 2027 Business Highlights

In the second quarter, we advanced initiatives across product, brand, and channels that are strengthening our operating model and positioning the business for sustainable long-term growth.

• Expanded year-round relevance with Apparel, Rain wear and Wind wear delivering strong double-digit growth year-over-year, increasing their share of revenue within the product mix.
• Introduced our Fall/Winter 2026 collection, with stronger head-to-toe outfitting, refreshed core products, broader colour offerings, and new offerings.
• Expanded our cultural relevance while reinforcing our technical performance credentials through new partnerships with ARCH Motorcycle Racing, co-founded by Keanu Reeves and Gard Hollinger, marking our first venture into motorsport, and with Ewan McGregor, in his documentary series TRUE WIND, which features Canada Goose as its “Official Protective Gear Partner”, and showcases our Sea Mantra rainwear.
• Opened two net new stores, bringing the total permanent store count to 94 at the end of the second quarter of fiscal 2027.
• Closed the sale of Baffin Limited (“Baffin”) to L.P. Royer Inc. (“Baffin Sale”), reflecting our focus on simplifying the business and concentrating resources behind our highest-priority growth opportunities.

Second Quarter Financial Highlights⁴

Results from continuing operations following the sale of Baffin

All Year-Over-Year Comparisons Unless Otherwise Noted

• Total revenue increased 5.9% to $274.0m, up 4.9% on a constant currency basis¹.
  • DTC revenue increased 2.7% to $129.6m, up 0.6% on a constant currency basis¹ due to higher sales from non-comparable stores and e-Commerce. DTC comparable sales declined³ 7.5% reflecting softer comparable store sales, particularly in EMEA, partially offset by strong e-commerce growth in North America and Asia Pacific.
  • Wholesale revenue increased 4.6% on a reported and constant currency basis¹ to $128.2m reflecting higher order book shipments, healthy in-season demand, and growth from Travel Retail.
  • Other revenue increased 62.0% to $16.2m, or 63.0% on a constant currency basis¹ due to increased revenue from friends and family activity compared to the same prior year period.
• Gross profit increased 10.4% to $182.9m due to higher revenue and gross margin. Gross margin was 66.8% compared to 64.0% in the second quarter of fiscal 2026, reflecting favourable product mix, production efficiencies and lower freight and duty costs, partially offset by unfavourable channel mix.
• Selling, general and administrative (SG&A) expenses were $204.5m, compared to $183.3m in the prior year period, primarily reflecting increased investment in upper-funnel marketing and brand awareness initiatives, as well as costs associated with our expanded store network.
• Operating loss was $(21.6)m, compared to an operating loss of $(17.6)m in the prior year period, due to higher SG&A expenses, partially offset by higher gross profit.
• Net loss attributable to shareholders was $(18.8)m, or $(0.19) per basic and diluted share, compared with a net loss attributable to shareholders of $(15.2)m, or $(0.16) per basic and diluted share in the prior year period.
• Adjusted EBIT² was $(21.6)m, compared to $(14.2)m in the prior year period. Adjusted EBIT margin² was (7.9)%, compared to (5.5)% in the prior year period.
• Adjusted net loss attributable to shareholders² was $(19.3)m, or $(0.20) per basic and diluted share, compared with an adjusted net loss attributable to shareholders of $(13.3)m, or $(0.14) per basic and diluted share in the prior year period.

Balance Sheet Highlights

Inventory of $496.6m for the second quarter ended September 27, 2026 was up 8% year-over-year, primarily reflecting an expanded product assortment, lower than planned DTC sales, a larger wholesale order book, and planned production growth to support anticipated demand ahead of our peak season. Inventory turnover³ was 1.0x at the end of the second quarter of fiscal 2027, an 8% increase over the same prior year period.

The Company ended the second quarter of fiscal 2027 with net debt² of $781.9m, compared to $707.1m at the end of the second quarter of fiscal 2026 due to an increase in lease liabilities.

During the second quarter of fiscal 2027, the Company repurchased 2,092,572 subordinate voting shares for a total cash consideration of $23.7m, ending the quarter with a cash balance of $87.1m, compared to $94.2m at the end of the second quarter of fiscal 2026.

Fiscal 2027 Outlook

This outlook constitutes forward-looking information within the meaning of applicable securities laws. The purpose of this outlook is to provide a description of management's expectations regarding the Company's annual financial performance and may not be appropriate for other purposes. Actual results could vary materially as a result of numerous factors, including certain risk factors, many of which are beyond the Company’s control. Please see “Cautionary Note Regarding Forward-Looking Statements" below for more information.

Based on our current visibility into the business and the progress of initiatives already underway, we reiterate our fiscal 2027 outlook as set forth below. Our outlook incorporates the expected impact of the Baffin Sale and reflects our current assessment of operating conditions, underlying demand trends, and the level of execution we believe is achievable.

For fiscal 2027, we expect:

• Revenue to increase by approximately low-single digit percentage compared to the prior year.
• Adjusted EBIT margin² to be in the range of 11% to 12%.

Our outlook assumes:

• Revenue growth is driven by pricing actions already implemented, increased depth in our product assortment, a larger wholesale order book, and new store openings, partially offset by lower consumer demand relative to fiscal 2026, including softer traffic in key markets, reduced consumer confidence, and lower travel.
• Gross margin expands, reflecting the benefit of pricing actions and operational efficiencies embedded in fiscal 2026 production and favourable channel mix, partially offset by product mix, raw material inflation, and supply chain cost pressures from current disruptions.
• SG&A declines as a percentage of revenue, as we balance disciplined cost management with targeted investments across channels, marketing, and technology, driving operating leverage on a consolidated basis.
• U.S. tariffs announced on July 20, 2026 and effective as of August 22, 2026 to impact adjusted EBIT margin by approximately 100 basis points for fiscal 2027.

¹ Constant currency revenue is a non-IFRS financial measure. See “Non-IFRS Financial Measures and Other Specified Financial Measures” for more information.
² Adjusted EBIT, adjusted EBITDA, adjusted net loss attributable to shareholders of the Company, and net debt are non-IFRS financial measures, and adjusted EBIT margin, adjusted net loss per basic and diluted share attributable to the shareholders of the Company, and net debt leverage are non-IFRS financial ratios. Unless otherwise noted, these measures and ratios reflect continuing operations only and exclude amounts attributable to discontinued operations. See “Non-IFRS Financial Measures and Other Specified Financial Measures” for more information.
³ DTC comparable sales (decline) growth and inventory turnover are supplementary financial measures. See “Non-IFRS Financial Measures and Other Specified Financial Measures” for a description of these measures.
⁴ Comparisons to second quarter ended September 28, 2025.

Renewal of Normal Course Issuer Bid

The Company further announced today that its renewed normal course issuer bid (the “NCIB”) will commence on November 10, 2026. The Toronto Stock Exchange (“TSX”) has approved purchases for cancellation of up to 3,156,958 subordinate voting shares of Canada Goose over the twelve-month period commencing on November 10, 2026 and ending no later than November 9, 2027. This represents 10% of the 31,569,580 subordinate voting shares comprising the public float (the “Public Float”) determined in accordance with TSX requirements as at October 31, 2026. As at October 31, 2026, there were 43,230,772 subordinate voting shares issued and outstanding.

Canada Goose currently 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 United States, 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 by means of open market transactions or such other means as a securities regulatory authority may permit. In the event that 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 per 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 52,213 subordinate voting shares representing 25% of the average daily trading volume of 208,852 subordinate voting shares, as calculated per the TSX rules for the six-month period starting on May 1, 2026 and ending on October 31, 2026.

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 into 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 such purchasing parameters, without further instructions by 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% 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% of its outstanding subordinate voting shares at the beginning of any 12-month period as Canadian securities laws would otherwise provide. A copy of the decision from the OSC has been filed under Canada Goose’s SEDAR+ profile at www.sedarplus.ca.

Under the Company’s existing NCIB for the 12-month period beginning on November 10, 2025 and ending on November 9, 2026, Canada Goose is authorized to repurchase up to 4,578,677 subordinate voting shares, or 10% of its Public Float as at October 27, 2025. As at October 31, 2026, the Company had repurchased 3,487,620 of its subordinate voting shares at weighted average purchase price per subordinate voting share of CAD$11.30 through the facilities of the TSX and the NYSE and alternative trading systems in Canada and the United States.

Conference Call Information

The Company will host the conference call at 8:30 a.m. EST on November 5, 2026. The conference call can be accessed by using the following link: https://events.q4inc.com/attendee/566276627. After registering, an email will be sent including dial-in details and a unique conference call pin required to join the live call. A live webcast of the conference call will also be available on the investor relations page of the Company's website at http://investor.canadagoose.com.

About Canada Goose

Canada Goose is dedicated to empowering discovery and pushing boundaries in design, functionality, and style. Inspired by our Canadian heritage, we craft high-performance outerwear, apparel, footwear, and accessories that elevate craftsmanship and embrace individuality. Rooted in resilience and driven by a pioneering spirit, we embolden explorers to thrive in all environments while preserving the planet they roam. For more information, visit www.canadagoose.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of applicable securities laws, including statements relating to our fiscal 2027 financial outlook, the related assumptions included herein including the expected impacts of the recently enacted U.S. duties and developments related thereto, the NCIB and the ASPP and the intended repurchase of subordinate voting shares of the Company thereunder, our business strategy and our expected operating performance and prospects. These forward-looking statements generally can be identified by the use of words such as “believe,” “could,” “continue,” “expect,” “estimate,” “may,” “potential,” “would,” “will,” and other words of similar meaning. Each forward-looking statement contained in this press release is subject to substantial risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statement. Applicable risks and uncertainties include, among others, the impact on our operations of the current global economic conditions and international trade environment and their evolution, the expected impacts of the recently enacted U.S. duties on our operations as further discussed herein, as well as the other risk factors that are discussed under “Cautionary Note Regarding Forward-Looking Statements” and “Factors Affecting Our Performance” in our Management’s Discussion and Analysis (“MD&A”) for the year ended March 29, 2026 and for the second quarter ended September 27, 2026, as well as under “Risk Factors” in our Annual Report on Form 20-F for the year ended March 29, 2026. You are also encouraged to read our filings with the SEC, available at www.sec.gov, and our filings with Canadian securities regulatory authorities available on SEDAR+ at www.sedarplus.ca for a discussion of these and other risks and uncertainties. Investors, potential investors, and others should give careful consideration to these risks and uncertainties. We caution investors not to rely on the forward-looking statements contained in this press release when making an investment decision in our securities.

Although we base the forward-looking statements contained in this press release on assumptions that we believe are reasonable, we caution readers that actual results and developments (including our results of operations, financial condition and liquidity, the achievement of our targets, goals and commitments, and the development of the industry in which we operate) may differ materially from those made in or suggested by the forward-looking statements contained in this press release. Additional impacts may arise that we are not aware of currently. The potential of such additional impacts intensifies the business and operating risks which we face, and these should be considered when reading the forward-looking statements contained in this press release. In addition, even if results and developments are consistent with the forward-looking statements contained in this press release, those results and developments may not be indicative of results or developments in subsequent periods. As a result, any or all of our forward-looking statements in this press release may prove to be inaccurate. No forward-looking statement is a guarantee of future results. Moreover, we operate in a highly competitive and rapidly changing environment in which new risks often emerge. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. Consequently, all of the forward-looking information contained herein is qualified by the foregoing cautionary statements. You should read this press release and the documents that we reference herein completely and with the understanding that our actual future results may be materially different from what we expect. The forward-looking statements contained herein are made as of the date of this press release (or as of the date specifically indicated therein), and we do not assume any obligation to update any forward-looking statements except as required by applicable laws.

Investors: ir@canadagoose.com
Media: media@canadagoose.com