Aritzia Inc. reported report outcomes for its fourth quarter , and hit its fiscal 2027 income goal one yr early, chief government Jennifer Wong mentioned on its convention name Thursday.
Wong mentioned the corporate continues to “captivate” consumers with its enlargement technique as new shops draw lineups and recoup prices sooner than anticipated.
The Vancouver-based style chain’s web income grew practically 33 per cent to simply shy of $1.2 billion for the three months ending March 1, beating each analysts’ forecasts and Aritzia’s personal steering for the quarter. Web earnings grew 35 per cent to $134 million.
Adjusted web earnings, which excludes the affect of one-time objects, elevated 41 per cent to $138 million. Adjusted earnings per share had been $1.15, up from $0.83 a yr earlier and above analysts’ forecasts of $1.03 per share.
“Robust double-digit development throughout new, current, and reactivated shoppers has been a key contributor to the excellent momentum in our enterprise,” Wong mentioned on the decision.
Aritzia now has 76 boutiques in the US , the place web income elevated 38 per cent to $755 million. The U.S. accounts for 64 per cent of Aritzia’s web income, and the retailer plans to open in 4 new markets this yr: Birmingham, Fort Price, New Orleans and St. Louis.
Chief monetary officer Todd Ingledew mentioned the corporate is at present paying a “international surcharge” of 10 per cent on imports from key sourcing markets, referring to new U.S. tariffs imposed by President Donald Trump in February.
The U.S. Courtroom of Worldwide Commerce deemed these duties illegal on Thursday, however the ruling solely applies to a few plaintiffs (two companies and the state of Washington).
Aritzia introduced final yr that it shifted fulfilment of all American orders to its Ohio distribution centre earlier than the de minimis exemption — the loophole that allowed low-value orders to ship to the U.S. duty-free — ended on Aug. 29.
Wong mentioned the corporate expects to start work on a second distribution centre within the U.S. later this yr or early subsequent.
Aritzia’s model consciousness is “rising quickly in the US at a time when different manufacturers comparable to Abercrombie, Lululemon, and Banana Republic are struggling,” Stifel Nicolaus Canada Inc. analyst Martin Landry mentioned in a observe.
“Aritzia appears to have discovered a distinct segment, providing top quality merchandise at worth factors above mainstream manufacturers,” he mentioned. “That is conferring a cachet to the model, which resonates with prospects.”
Double-digit comparable gross sales development in current shops and powerful gross sales at new and expanded boutiques helped general retail web income develop to $698 million, up 35 per cent from final yr.
Wong mentioned the brand new U.S. shops that opened in fiscal 2026 are monitoring to pay again in lower than a yr, beating Aritzia’s goal of 12 to 18 months.
“Our boutiques improve model recognition, drive new shopper acquisition, and help digital development, significantly in new markets,” she mentioned.
Whereas its U.S. enterprise continues to steer Aritzia’s development, gross sales within the mature Canadian market are holding up. Web income within the nation elevated 24 per cent to $431 million, pushed by robust comparable gross sales each in shops and on-line.
Wong mentioned Aritzia’s cell app, which launched on the finish of October, continues to see robust and constant week-over-week downloads and drives 20 per cent to 40 per cent of e-commerce gross sales . Total, digital web income elevated 29 per cent to $488 million.
Aritzia repurchased roughly 897,000 shares throughout the quarter and a complete of round 1.4 million shares in fiscal 2026.
The corporate had $592 million in money on the finish of the quarter, zero debt and no cash drawn on its $300-million revolving credit score facility.
Ingledew mentioned Aritzia’s extra money will go towards capital expenditures, together with $210 million associated to investments in new and repositioned shops over the subsequent two years, and for “opportunistically” repurchasing shares in fiscal 2027.
When requested about worldwide enlargement, Wong mentioned Aritzia is concentrated on U.S. development for now however is gathering details about worldwide prospects from its e-commerce website. She mentioned individuals from world wide additionally go to Aritzia’s U.S. shops.
“I feel that bodes very properly for our future internationally,” mentioned Wong. “We’ll share extra on our long-range plan coming this fall. You’ll hear extra then.”
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