- Aritzia reported adjusted EPS of C$0.71, surpassing the estimate of C$0.62 and improving from C$0.47 year-over-year.
- Net revenue reached C$728.7 million, marking a 12% increase year-over-year, exceeding the estimated C$698.6 million.
- E-commerce revenue surged by 14% to C$242.1 million, beating the expected C$212.7 million.
- Retail revenue grew by 10% to C$486.6 million, slightly above the estimate of C$483.1 million.
- Adjusted EBITDA rose to C$136.4 million, a 49% year-over-year increase, ahead of the estimated C$117.9 million.
- Comparable sales improved by 6.6%, compared to a 0.5% increase year-over-year.
- The store count ended at 127, an 8.5% increase year-over-year, surpassing the estimate of 126.6.
- Aritzia anticipates a gross profit margin increase of approximately 400 basis points in Q4 Fiscal 2025 compared to Q4 Fiscal 2024.
- The company projects a decrease in SG&A expenses as a percentage of net revenue by approximately 100 to 200 basis points for the upcoming quarter.
- Strategic expansion included opening flagship stores in SoHo and on Michigan Avenue, contributing to the 12% net revenue increase.
- Market analysts have 8 buy ratings, 1 hold, and 0 sell ratings on Aritzia stock.
“`
A look at Aritzia Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Aritzia Inc. shows a mixed long-term outlook. The company scores high in Momentum, indicating strong potential for future growth and performance. This suggests that Aritzia is currently on a positive trajectory in terms of market sentiment and price trends. However, its scores in other areas such as Value and Dividend are lower, signaling potential concerns in terms of the company’s valuation and dividend payouts.
Aritzia Inc., a women’s fashion retailer operating in Canada and the United States, has displayed decent growth potential according to the Growth score. This indicates that the company may have opportunities for expansion and development in the future. While Aritzia demonstrates resilience in the face of challenges, certain aspects like value and dividends may need closer scrutiny to ensure a well-rounded investment decision.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
