Leon’s Furniture Limited announced on Thursday financial results for the quarter ended September 30, 2025.
“Our team delivered another solid quarter in Q3, and I want to thank all of our associates – from our sales floors to our warehouses and delivery teams – for their continued dedication to driving our business forward and delivering an exceptional customer experience. System-wide sales grew 3.7%, with furniture generating particularly strong results and market share gains,” said Mike Walsh, President and CEO of LFL.
“This performance reflected our strategic decisions to focus our assortment and maintain higher in-stock positions on key items, supported by our omnichannel platform’s effectiveness in driving more ready-to-buy shoppers across channels. Gross margin expanded 79 basis points, reflecting both the favourable furniture mix and ongoing improvements across the business, including deeper vendor partnerships, enhanced sourcing, and an optimized promotional strategy. The strength of these results, along with continued operational discipline and favourable cost comparisons, translated to adjusted diluted earnings per share growth of 20.4%.”
“Looking ahead to Q4 and into early 2026, we expect the industry environment to remain promotional, with Canadians continuing to look for value from retailers they trust. We have a proven track record of navigating dynamic environments, gaining market share and delivering profitability. Our scale, distribution capabilities, sourcing advantages, and rock-solid balance sheet, including $549.6 million in unrestricted liquidity, give us the tools to execute consistently and continue delivering value for our customers and shareholders.”
Financial Highlights – Q3-2025
These comparisons are with Q3-2024 unless stated otherwise.
- System-wide sales for the quarter were $808.4 million, an increase of 3.7%.
- Q3 Revenue was $678.7 million, an increase of 4.1%, driven by strong performance in furniture, combined with strength in appliances led by the commercial channel.
- Same store sales increase of 3.9%.
- Gross profit margin was 44.59%, a 79-basis point improvement driven by favourable retail category sales mix and improved rate in the furniture category.
- Adjusted net income for the quarter totaled $44.3 million, an increase of 19.1%.
- Adjusted Diluted EPS for the quarter was $0.65, an increase of 20.4%.
- On September 30, 2025, unrestricted liquidity was $549.6 million, comprised of cash, cash equivalents, debt and equity instruments and the undrawn revolving credit facility.
Leon’s Furniture Limited is the largest retailer of furniture, appliances and electronics in Canada. Its retail banners include: Leon’s; The Brick; Brick Outlet; and The Brick Mattress Store. The Brick’s Midnorthern Appliance banner alongside with Leon’s Appliance Canada banner makes the company the country’s largest commercial retailer of appliances to builders, developers, hotels and property management companies. The company has 300 retail stores from coast to coast in Canada under various banners.
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