Canada Goose Sells More Winter Coats in North America and China, and Stock Jumps

Shares of Canada Goose Holdings (GOOS) soared in intraday trading Thursday after the maker of fashion winter outerwear posted better-than-expected results as demand rebounded in North America and grew strongly in China.

The company reported fiscal 2024 fourth-quarter adjusted earnings per share (EPS) of 19 Canadian cents ($0.14), with revenue rising 22.1% to C$358.0 million. Both were better than forecasts.

Sales in North America jumped 24.5% to C$152.8 million after declining 13.6% in the previous quarter. Greater China sales climbed 29.7% to C$128.4 million.

Gross profit climbed 22% to C$233.0 million, and gross margin came in at 65.1%, up from 64.9% a year ago.

Chief Executive Officer (CEO) Dani Reiss said the performance was above the company’s guidance even while it was “navigating a difficult environment.”

Canada Goose noted that layoffs during the year generated about C$20 million in productivity improvements and cost savings. The company slashed its corporate workforce by 10% in August 2023, with an additional 17% reduction in March.

Canada Goose shares were trading up 16% at $13.24 as of 11:15 a.m. ET Thursday.