Canadian firm Aritzia's revenue climbs 6.2% to $2.33 bn in FY24

In the US, Aritzia saw a commendable 9.4 per cent increase in net revenue, reaching $1.23 billion compared to $1.12 billion in FY23. Meanwhile, net revenue in Canada grew by 2.9 per cent to $1.11 billion, compared to $1.07 billion in the previous fiscal, the company said in a press release.

Retail net revenue surged by 8.5 per cent to $1.55 billion, with new boutiques in the US leading the charge, though this was partially offset by softer comparable sales. E-commerce net revenue, on the other hand, witnessed a modest increase of 2.0 per cent, reaching $785.3 million.

Gross profit, however, saw a slight decrease of 1.6 per cent to $899 million, with the gross profit margin at 38.5 per cent compared to 41.6 per cent in fiscal 2023. Selling, general, and administrative expenses surged by 17.6 per cent to $708.8 million.

Net income took a hit, plummeting by 58 per cent to $78.8 million, with net income per diluted share at $0.69, a decrease of 57.7 per cent. Adjusted EBITDA also saw a significant decline of 38.2 per cent to $217.1 million, representing 9.3 per cent of net revenue. Adjusted net income stood at $105.6 million, down by 50.9 per cent, with adjusted net income per diluted share at $0.92, a decrease of 50.5 per cent.

In the fourth quarter of fiscal 2024 (Q4 FY24), net revenue surged by 7 per cent to $682 million, despite a 3 per cent decline in comparable sales. US net revenue increased by 9.4 per cent to $369.1 million, with retail net revenue witnessing a substantial 14.7 per cent increase to $416.4 million. However, e-commerce net revenue saw a decrease of 3.2 per cent to $265.6 million.

“As expected, we delivered further sequential margin improvement. Although the consumer environment remains mixed, clients responded well to our product launches and to the improved level of newness in our assortment," said Jennifer Wong, chief executive officer. "Throughout fiscal 2024, we focused on investing in the scalability of our business and improving our inventory position, enabling us to return to our proven operating model and setting the stage for our next phase of anticipated growth and margin recovery."

Fibre2Fashion News Desk (DP)