Reitmans (Canada) Limited, one of Canada’s leading specialty apparel retailers, today reported its financial results for the second quarter ended August 2, 2025, indicating net revenues were $215.9 million, above last year, despite three fewer stores.
Comparable sales decreased 1.3%. Gross profit margin decreased 220 basis points to 56.9%. Adjusted EBITDA was $21.4 million, $2 million below last year. Net earnings was $13.1 million, or $0.26 per share – down 16.6% from a year ago.
“Sales in the second quarter were among the best in the last few years, despite three fewer stores and the closure of Thyme Maternity. We were especially pleased with Reitmans’ performance and the customer response to our Summer collection,” said Andrea Limbardi, President and CEO of RCL. “Customers remained price-conscious, and we strategically moved inventory through focused promotions, which impacted year-on-year gross profit. Adjusted EBITDA was primarily impacted by foreign exchange, as we benefitted from a currency gain last year. We continued to focus on improving SG&A, achieving a reduction in costs of over $2.7 million.”
“Looking ahead, we’re progressing on our five-year strategic plan, which includes driving brand growth through targeted investments in our retail footprint. In Q2, our renovated stores outperformed the rest of the fleet. In October, RW&CO will open its doors at an 8,000 sq. ft. flagship in Saint-Bruno, Québec, and unveil a bold new experience that reflects the brand’s evolving identity and focus.”
Reitmans (Canada) Limited is one of Canada’s leading specialty apparel retailers for women and men, with retail outlets throughout the country. The company operates 386 stores under three distinct banners consisting of 219 Reitmans, 84 PENN., and 83 RW&CO.
Selected Financial Information
| (in millions of dollars, except for gross profit % and earnings per share) (unaudited) | Second quarter | Year to date fiscal | |||||
| 2026 | 2025 | Change | 2026 | 2025 | Change | ||
| Net revenues | $215.9 | $215.5 | 0.2 % | $374.7 | $381.3 | (1.7 %) | |
| Gross profit | $122.8 | $127.3 | (3.5 %) | $211.2 | $221.3 | (4.6 %) | |
| Gross profit % | 56.9 % | 59.1 % | (220 bps) | 56.4 % | 58.0 % | (160 bps) | |
| Selling, general and administrative expenses | $103.1 | $105.8 | (2.6 %) | $202.2 | $201.0 | 0.6 % | |
| Net earnings | $13.1 | $15.7 | (16.6 %) | $3.1 | $14.2 | (78.2 %) | |
| Adjusted EBITDA1 | $21.4 | $23.4 | (8.5 %) | $10.8 | $24.2 | (55.4 %) | |
| Earnings per share: | |||||||
| Basic | $0.26 | $0.32 | (18.8 %) | $0.06 | $0.29 | (79.3 %) | |
| Diluted | $0.26 | $0.32 | (18.8 %) | $0.06 | $0.29 | (79.3 %) | |
| 1 This is a Non-GAAP Financial Measure. See “Non-GAAP Financial Measures & Supplementary Financial Measures” for reconciliations of these measures. |
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