The Toronto-based retailer saw its shares rise 6.2% to C$196.12 following a quarter where consolidated revenue grew 8.3% to C$4.55 billion. While headline net income fell to C$232.4 million due to the absence of a prior-year real estate gain, normalized earnings of C$4.47 per share significantly beat the C$3.80 consensus among analysts.

Banner Growth and Seasonal Tailwinds

Gains were primarily concentrated in the company’s specialized retail segments. SportChek benefited from high demand for outerwear and fan merchandise linked to the Blue Jays' post-season run and the World Cup. Meanwhile, Mark’s saw increased foot traffic during Black Friday, particularly within its industrial footwear and workwear categories.

Chief Executive Greg Hicks noted that favorable winter weather continued to bolster sales into late January and February. According to Hicks, the company expects international sporting events, including the Olympics, to help sustain this momentum through the first half of the year.

Overall same-store sales increased 4.2%, with growth distributed across all geographical regions. The company also clarified that its financial results now treat Helly Hansen as a discontinued operation following its 2024 sale, allowing for a clearer comparison of its core retail portfolio.