Shares of Aritzia (Aritzia Stock Quote, Chart, News, Analysts, Financials TSX:ATZ) are leading the TSX today after the company reported its third quarter results.
The Canadian apparel player delivered Adjusted EBITDA of $91.8-million on net revenue of $653.5-million, a topline that was up 4.6 per cent over the same period last year. In the quarter, 31.8 per cent of Aritzia’s sales were online.
“Aritzia delivered third quarter net revenue of $654-million, an increase of 5 per cent on top of outstanding growth of 38 per cent in the third quarter of fiscal 2023 and 63 per cent in the third quarter of fiscal 2022. Although the consumer environment remains mixed, we generated sales growth across all of our geographies and channels, as clients responded well to our new styles and outerwear offering,” said CEO Jennifer Wong. “As expected, we saw sequential margin improvement in the third quarter, and we made ongoing progress in executing against our fiscal 2024 priorities. Our new Toronto area distribution centre successfully ramped to accommodate record volume and we further improved our inventory position. As we continue to anniversary two years of unprecedented growth, resulting in a 33-per-cent three-year net revenue CAGR in Q3 of fiscal 2024, we remain focused on investing in the scalability of our business and setting the stage for our next level of anticipated growth. Looking ahead, we expect to launch spring 2024 with an improved product assortment and inventory position. We are also accelerating our real estate expansion strategy into fiscal 2025 and diligently working to increase our e-commerce momentum through strategic investments in leadership, digital marketing and technology.”
Aritzia Inc., a women’s fashion brand, was founded in 1984 in Vancouver, British Columbia. Known for its boutique experience and curated collection of contemporary brands and its own exclusive labels, Aritzia has become a prominent name in the fashion retail industry. The company, initially a single boutique in Vancouver, has since expanded its presence and passed 100 brick and mortar locations in 2021.
At press time, shares of Aritzia were up 21.4 per cent to $32.13.
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