Agenda-setting intelligence, analysis and advice for the global fashion community.
Canada Goose Holdings Inc trimmed its full-year revenue and profit forecast on Wednesday as Covid-19-related restrictions weigh down on its luxury parka sales in China.
The Chinese government’s efforts to contain the spread of Covid-19 cases with zero-Covid policy has impacted luxury fashion retailers, who have taken a hit on their revenues due to store closures, inflated inventories and fall in demand as consumers turn more cautious in the region. The Toronto, Ontario-based company cut its fiscal 2023 sales expectation to C$1.2 billion ($882.74 million) to C$1.3 billion, compared with its prior forecast of C$1.3 billion to C$1.4 billion.
Canada Goose now expects fiscal 2023 adjusted profit to be between C$1.31 and C$1.62 per share, compared with its prior forecast of C$1.60 to C$1.90.
US-listed shares of the company fell about 1 percent in premarket trading.
ADVERTISEMENT
By Granth Vanaik; Editor: Krishna Chandra Eluri
Learn more:
Canada Goose Results Thrive as Luxury Demand Defies Inflation
Canada Goose Holdings Inc surpassed Wall Street targets for quarterly results after affluent consumers undeterred by decades-high inflation snapped up its luxury parkas and jackets.
