For the fiscal year26, Aritzia anticipates the net income between CA $ 3.1 billion and CA $ 3.25 billion (~ $ 2.26-2.37 billion), which reflects a growth of approximately 13 to 19 percent of yoy. This projection includes contributions from retail expansion, with plans to open at least 12 new boutiques and reposition five existing, of which 11 new openings and two repositions in the United States are planned.
Aritzia awaits an income of CA $ 3.1–3.25 billion (~ $ 2.26-2.37 billion) and 15.5–16.5 percent of Ebitda margin in fiscal year 2016. Capital expenditure (CAPEX) is projected at CA $ 180 million, with plans for expansion and distribution updates boutique. The company reported a strong net income of CA $ 663.3 million (~ $ 484 million) in the first quarter of fiscal year 2016, increasing 33 percent year -on -year.
Ebitda adjusted as a percentage of net income is expected between 15.5 and 16.5 percent, compared to 14.8 percent year -on -year, backed by improved initial improvements (IMU), load savings, intelligent expense and cost efficiencies, although partially compensated for higher US rates.
Cash capital costs are estimated at approximately CA $ 180 million, with CA $ 110 million assigned to Boutique Development for FY26 and FY27, and CA $ 70 million for updates of the distribution center, including a new Vancouver installation and technological improvements, Aritzia said in a press release.
It is expected that depreciation and amortization cost around CA $ 110 million, and the company bases its guide on a USD change rate: CAD = 1.37.
Meanwhile, the company has registered solid net income of CA $ 663.3 million (~ $ 484 million) in the first quarter (Q1) of the FY26, raising 33 percent year -on -year. The growth was driven by a 19.3 percent increase in comparable sales, driven by two -digit profits in all channels and regions.
Retail revenues increased 34.2 percent to CA $ 480.3 million, while electronic commerce sales increased 30 percent to CA $ 183 million. In the United States, Aritzia's revenues increased 45.1 percent year -on -year to CA $ 413 million, which represents more than 62 percent of total revenues.
Comparable sales grew by 19 percent, fed by the growth of two digits in all channels and all geographies.
“Our results were promoted by the strong performance of our spring/summer product, which exceptionally resonated with our clients, as well as with our optimized inventory position, strategic marketing investments and our new and repositioned boutique openings,” he said Jennifer Wong, Executive Director (CEO) in Aritzia. “In addition, we generate a significant expansion of the gross profit margin and the leverage of SG & A, which resulted in an outstanding EPS growth of more than 90 percent. Our performance in the US. UU., Where net income increased by huge 45 percent, continued to drive our results.”
“The trends throughout the business are still strong, and we are satisfied with the beginning of our second quarter. We continue to browse the macro developments from a position of financial and operational strength, as we adapt to the environment that surrounds us and execute in our key strategic growth levers: geographical expansion, digital growth and greater brand knowledge,” Wong said.
The gross gain increased by 42.5 percent to CA $ 312.8 million, with a gross margin improving 320 basic points to 47.2 percent, backed by the leverage of the occupation of stores and cost efficiency. SG expenses and grew at a slower rate of 26.2 percent, which led to an improvement of 190 base points (BPS) in SG & A as part of the income.
The adjusted Ebitda rose 76.9 percent to CA $ 95.3 million, while the net income adjusted almost doubled to CA $ 49.3 million. The net income doubled more than CA $ 42.4 million, with profits per diluted action that increase to CA $ 0.36 of CA $ 0.14 in the same period last year.
Cash and effective equivalents increased to CA $ 292.6 million, significantly from CA $ 100.7 million a year ago, and the inventory increased by 3.2 percent to CA $ 409.5 million.
Fiber2Fashion News Desk (SG)
