Canada Goose just reported its first revenue miss since it went public

first_img Share this storyCanada Goose just reported its first revenue miss since it went public — and the stock is plunging Tumblr Pinterest Google+ LinkedIn Concerns that the luxury parka maker’s meteoric growth era is ending.Christinne Muschi/Bloomberg Bloomberg News Sandrine Rastello May 29, 20199:09 AM EDT Filed under News Retail & Marketing Recommended For YouSlack’s direct listing reference price is set at US$26 by NYSE for Thursday debutTrans Mountain construction work can go ahead as National Energy Board re-validates permitsDavid Rosenberg: Deflation is still the No. 1 threat to global economic stability — and central banks know itBank of Canada drops mortgage stress test rate for first time since 2016The storm is coming and investors need a financial ark to see them through Canada Goose also said that revenue would rise at least 20 per cent this fiscal year — less than analysts’ 26 per cent forecasts — and predicted eight new stores by the end of the winter selling season. Adjusted net income per share will rise at least 25 per cent, also short of the 29 per cent growth forecast from analysts.Key InsightsFourth-quarter gross margins of 66 per cent beat analysts’ expectations, easing concerns that arose in February, when the impact of Ontario’s minimum wage increase took investors by surprise and sent the stock lower. Canada Goose also updated longer-term guidance. It now expects margins before interest and taxes to grow by 100 basis point between 2019 and 2022 and average revenue growth of 20 per cent.Related Stories:Micron revenue beats, sees signs of improving demandSchlumberger Announces Second-Quarter 2019 ResultsWalgreens third-quarter profit falls 23.6%Market ReactionCanada Goose U.S. shares dropped 14 per cent in premarket trading in New York. While they’re up 12 per cent this year through Tuesday’s close, that’s still about 27 per cent below levels preceding news of the arrest of Huawei Technologies Co.’s finance chief in Vancouver, which sparked a diplomatic row between Canada and China.Bloomberg.com Canada Goose just reported its first revenue miss since it went public — and the stock is plunging Is the luxury parka maker’s meteoric growth era ending? Twitter Email More Canada Goose Holdings Inc. reported quarterly revenue that missed analysts’ estimates, reigniting concerns that the luxury parka maker’s meteoric growth era is ending. Shares plunged in early New York trading.The company reported fourth-quarter revenue of $156.2 million, below analysts’ average estimate of $158.9 million. That’s the first revenue miss since Canada Goose went public in 2017. While adjusted profit beat expectations, the rare revenue miss may raise concerns about the demand for its products. Facebook Comment Reddit Join the conversation → 3 Commentslast_img read more