“We build. We ship. We grow. That’s the model, and it’s running at full speed. From entrepreneurs making their very first sale on Shopify every 26 seconds, to global icons like Estée Lauder, we’re powering growth across the full spectrum of commerce. That scale fuels relentless momentum: GMV up 32%, revenue up 32%, free cash flow margin at 18%. Retail’s busiest season is here, and, as always, Shopify merchants are built for it,” said Harley Finkelstein, President of Shopify.
Jeff Hoffmeister
“Our third quarter results show what’s possible when merchant ambition and success meet Shopify’s disciplined execution,” said Jeff Hoffmeister, Chief Financial Officer of Shopify. “We’re not just growing—we’re delivering consistent growth and profitability, quarter after quarter. Q3 was a standout quarter with revenue growth and free cash flow margins both surpassing our robust Q2 performance.”
For the fourth quarter of 2025, Shopify said it expects:
Revenue to grow at a mid-to-high-twenties percentage rate on a year-over-year basis;
Gross profit dollars to grow at a low-to-mid-twenties percentage rate on a year-over-year basis;
Operating expense as a percentage of revenue to be 30% to 31%;
Stock-based compensation to be $130 million; and
Free cash flow margin to be slightly above Q3 2025.
Rajay Shah, President, (left) and Sujay Shah, CEO of Scale Foods
Shashi Foods Group, one of North America’s key players in spice, grain, and cereal manufacturing, has unveiled a new $95-million flagship processing facility in Vaughan, Ontario, and officially rebranded as Scale Foods.
This unites its portfolio of companies, including Shashi Foods, Smile Natural Foods, and New York Spice, under a single, industry-leading banner.
With this rebrand and major investment, Scale Foods is raising the bar for end-to-end manufacturing, quality, and innovation across North America’s food supply chain. Family-owned since 2006, Scale Foods is now positioned as a one-stop, vertically integrated supplier for the continent’s most trusted food and retail brands. From spices, herbs, and seasonings to breakfast cereals, granola, muesli, and oatmeal, the company delivers purity and consistency across every aisle, explained the company.
Sujay Shah
“Scale Foods is the result of hard work and relentless drive, not just to grow, but to do business the right way,” said Sujay Shah, CEO of Scale Foods. “This new state-of-the-art production facility and headquarters represents the next chapter of growth. We’re proud to offer unmatched product purity, reliability, and global reach, all rooted in the values we’ve held for nearly twenty years.”
Shah has been recognized as an EY Entrepreneur of the Year finalist and Indo-Canada Chamber of Commerce Entrepreneur of the Year, while driving the company’s growth into a vertically integrated North American leader in spices, grains, and cereals.
The company said the rebrand comes with the launch of the $95-million, state-of-the-art production facility in Vaughan, Ontario, employing more than 150 people and “pushing the boundaries of what food manufacturing looks like in North America. It’s the only true end-to-end site of its kind, importing raw ingredients from 40+ countries worldwide and handling everything in-house: steam-sterilizing, milling, grinding, blending, baking, and packaging across industrial, foodservice, and retail formats. This allows unmatched control, consistency, and purity at every stage of the supply chain.”
“The rebrand unites the group’s brands and divisions under one bold identity, giving partners and customers more value, clearer alignment, and stronger trust. And Scale Foods isn’t stopping there; the company is gearing up to roll out new consumer-facing brands in the year ahead.”
“We’ve always believed in building for the long term,” added Shah. “Uniting under the Scale Foods name allows us to step out from behind the scenes and share our story with the world, while staying true to the values that got us here.”
The company was founded in 2006.
“The rebrand was about unifying everything we’ve built over nearly two decades. We had multiple divisions, Shashi Foods, Smile Natural Foods, and New York Spice, all operating successfully, but under different names. It was time to bring them together under one cohesive brand that truly represents who we are today: a vertically integrated, North American leader in spices, grains, and cereals,” said Shah.
“Scale Foods reflects our growth and our philosophy. “Scale” isn’t just about size; it’s about balance, precision, and progress. It’s a statement that we’re built for the future, ready to keep raising the bar for purity, transparency, and innovation across the food supply chain.
Shah said vertical integration has been at the core of the company’s success.
“We wanted to own every step, from importing to steam sterilizing, milling, blending, baking, and packaging, because it gives us control over purity, quality, and consistency. In an industry where most companies outsource at least one part of their process, that control is rare,” he said.
“By investing in this structure, we eliminate risk, improve traceability, and deliver unmatched freshness to our customers. It’s also how we future-proof the business. Supply chains have become unpredictable globally, so being vertically integrated allows us to stay agile and reliable no matter what’s happening in the world.”
Remaining family-funded has given the company the freedom to grow at its own pace and stay true to its values.
“We’re not solely driven by quarterly targets or short-term gains; we’re thinking in decades,” noted Shah.
“That independence has allowed us to reinvest heavily into our people, our technology, and our facility. It also means every decision we make comes from a place of integrity and long-term vision, not external pressure. We’ve built this company on trust and relationships, and being privately owned lets us protect that foundation.”
Photo: Scale Foods
He said the facility is both a milestone for the company and a signal of what’s possible for Canadian manufacturing.
“At a time when many companies are moving production offshore, we’re doing the opposite. We’ve invested locally because we believe in Canada’s potential to lead in food innovation and quality,” he shared.
“Our Vaughan headquarters is one of the most advanced facilities of its kind in North America. We’ve created hundreds of skilled jobs and are continuing to grow to 200+, strengthening our regional supply chain, and setting a new benchmark for transparency and capability in the Canadian food sector.
“At Scale Foods, we view growth through the lens of performance, partnership, and purpose. Our reputation has been built on relationships grounded in respect, consistency, and shared standards. In a market that prizes authenticity and sustainability, we remain focused on what endures: precision, integrity, and excellence in everything we do.”
“We delivered another quarter of responsible growth in Q3, highlighted by further share gains, continued same-store transaction growth and leverage on our supply chain investments,” said Greg Ramier, Chief Executive Officer of Pet Valu. “I am incredibly thankful for our people, whose dedication to serving our customers creates a meaningful point of difference in today’s environment.
“Our stores and digital channel are well set as we head into the holiday season, supported by a robust commercial plan that will thrill pet parents, while providing everyday value they can count on.
“With a great team, strong assets, and a clear strategy, Pet Valu is well positioned to deliver memorable moments and trusted expertise to devoted pet lovers, while driving long-term growth and value for all our stakeholders.”
Third Quarter Highlights
System-wide sales were $373.9 million, an increase of 4.4% versus Q3 2024. Same-store sales growth was 2.3%.
Revenue was $289.5 million, up 4.9% versus Q3 2024.
Adjusted EBITDA was $63.6 million, down 1.5% versus Q3 2024, representing 22.0% of revenue. Operating income was $41.9 million, up 3.9% versus Q3 2024.
Net income was $24.9 million, up 7.4% versus Q3 2024.
Adjusted Net Income was $27.6 million or $0.40 per diluted share, compared to $29.9 million or $0.41 per diluted share, respectively, in Q3 2024.
Opened 16 new stores and ended the quarter with 849 stores across the network.
Free cash flow was $24.7 million, compared to $30.8 million in Q3 2024.
Officially opened the new Calgary distribution centre.
Subsequent to Q3 2025, the Board of Directors of the Company declared a dividend of $0.12 per common share.
The company said it expects revenue between $1.175 and $1.185 billion, Adjusted EBITDA between $257 and $260 million, Adjusted Net Income per Diluted Share between $1.63 and $1.66 and Net Capital Expenditures of approximately $45 million in 2025.
Pet Valu is Canada’s leading retailer of pet food and pet-related supplies with over 800 corporate-owned or franchised locations across the country. It is headquartered in Markham, Ontario and has distribution centres in Brampton, Ontario, Surrey, British Columbia and Calgary, Alberta.
The $65 billion is the direct GDP from the industry. The full GDP impact from direct, indirect, induced channels is $131 billion. This is the total impact which includes the arts and culture supply chain and spending from the employees throughout the supply chain.
The research, commissioned by Business / Arts in partnership with the Canada Council for the Arts, demonstrates that Canada’s creative industries contribute not only to social cohesion, community and Canadians’ sense of meaning and purpose, but drive measurable economic growth and regional development.
Aubrey Reeves
“The arts and culture sector enriches every aspect of Canadian life. It fuels economic growth, attracts talent, fosters belonging, and strengthens our communities,” said Aubrey Reeves, President and CEO of Business / Arts. “With the release of the Artworks report, we are demonstrating culture’s measurable impacts and making a clear, evidence-based case for continued investment in the creative economy that keeps Canada competitive and connected.”
Over the past three years, GDP stemming from the arts and culture sector has grown almost 8%, outpacing Canada’s overall economic growth of 4%. Meanwhile, Canadian international trade in cultural goods and services reached an all-time high in 2022, with $25 billion sold to foreign customers. Cultural exports have doubled since 2011, with top categories including visual and applied arts, audiovisual and interactive media, and written and published works, said the Chamber.
Key economic impact findings:
The arts and culture sector supports 13 jobs for every million in output, which is more than oil and gas, manufacturing, or agriculture.
Since 2011, the sector has outpaced growth in key industries including oil and gas, wholesale trade, retail trade, construction, and manufacturing.
Economic impact is highest in Ontario, Quebec and British Columbia, supporting hundreds of thousands of jobs and over $100 billion in GDP.
The sector generates an estimated $17 billion in federal and provincial tax revenue.
Despite these exceptional economic returns, funding challenges threaten the sector’s continued growth. With typical arts organizations relying on equal parts government grants, earned revenue and private donations, declining support from public and private sources creates significant pressure. The federal government’s allocation to arts, culture and heritage is declining as a share of total federal spending, while Canadian private contributions lag at 0.8% of income — below both North American (0.94%) and global (1.04%) averages, according to a news release.
Andrew DiCapua
“The arts and culture sector generates $29 in economic activity for every dollar in federal investment— that’s an extraordinary return in addition to the social benefits that the sector generates,” says Andrew DiCapua, Principal Economist at the Canadian Chamber of Commerce. “Yet we’re seeing concerning trends in both public and private funding. If we want to maintain Canada’s cultural competitiveness and harness this sector’s full economic potential, we need sustained, strategic investment.”
The report also reveals significant social benefits, with higher per-capita arts grants generally associated with increased community sense of meaning and purpose. The arts build social cohesion, support newcomer integration, increase employability and improve skills development while positively impacting residential and property sectors.
With cultural exports at record highs and economic returns outpacing traditional industries, strategic investment in Canada’s arts and culture sector represents both an economic opportunity and a cultural imperative for maintaining Canada’s global competitiveness, say officials.
Canadian travel and lifestyle brand Monos has unveiled a striking new collaboration with Brooklyn Coachworks, the New York-based automotive studio renowned for restoring vintage Land Rover Defenders. The partnership has produced a one-of-a-kind Land Rover Defender 90 finished in Arles Blue alongside a coordinated Arles Blue Collection of premium Monos luggage.
To mark the launch, Monos has opened a North America-wide contest offering one winner the restored Defender, airfare and accommodations for a two-night stay in New York City, and a complete set of matching luggage. The campaign generated overwhelming interest, drawing more than 166,000 entries on the first day and surpassing 1.2 million entries to date from Canada and the United States.
The Monos Arles Blue Collection and custom Defender represent a meeting of two design philosophies. Brooklyn Coachworks’ custom-built Defender features a natural black mohair canvas soft top, saddle tan Italian leather interior, and a restored TD5 engine paired with a five-speed manual transmission. Every element of the vehicle has been rebuilt or refinished by hand, with Monos detailing integrated throughout, including embroidered seats, engraved metal plates, and custom trim elements that give the off-road classic a distinctive modern identity.
The Defender’s deep Arles Blue paint finish, a nod to the French town of Arles, extends to Monos’ accompanying luggage collection. Each suitcase echoes the vehicle’s tone and craftsmanship, with vegan leather accents, saddle tan interiors, and a high-gloss finish that mirrors the Defender’s refined exterior.
The Arles Blue Collection Launches in Canada and the U.S.
To coincide with the collaboration, Monos introduced its new Arles Blue Collection, a limited-edition lineup of luggage designed in the same colour palette as the custom Defender. The release includes six sizes from the brand’s Classic series, from carry-ons to full-sized checked luggage, as well as coordinated packing cube sets.
Each piece in the Monos Arles Blue Collection is constructed from aerospace-grade polycarbonate made with partially recycled materials. The suitcases feature TSA-accepted combination locks, whisper-quiet 360-degree wheels, and an anti-microbial lining made from 100% recycled polyester.
The collection officially launched on September 15, 2025, and is available exclusively through Monos’ online store and at the brand’s retail locations in Toronto and Vancouver. Prices range from $335 CAD for the Carry-On to $475 CAD for the Check-In Large.
Image: Monos
From Vancouver to the World: Monos’ Rapid Growth
Founded in 2018 in Vancouver by Victor Tam, Hubert Chan, and Daniel Shin, Monos has quickly become one of Canada’s most successful global lifestyle brands. The company was built around the Japanese concept of mono no aware, meaning “the beauty of transient moments,” and this philosophy has shaped its focus on intentional design and mindful travel.
Monos’ founders set out to create a line of travel goods that emphasize durability, sustainability, and timeless design rather than trend-driven aesthetics. Its luggage collections are made with German Makrolon polycarbonate, recycled fabrics, and high-performance components, supported by a lifetime warranty and a 100-day trial for all customers.
The company’s growth has been extraordinary. After launching online as a direct-to-consumer business, Monos expanded into the U.S. market, now accounting for about 75% of total revenue, and achieved $150 million in sales in 2024, a dramatic rise from just $8 million in 2020.
Monos store on Ossington Avenue in Toronto. Photo: Ste Marie Studio
Expanding Retail Presence in Canada and the U.S.
Monos began its move into physical retail in 2022, opening its first store in Vancouver. A Toronto boutique followed in June 2024, located at 111 Ossington Avenue in the city’s Little Portugal neighborhood. Designed as a creative and experiential hub, the store has served as a testing ground for future retail concepts focused on community engagement and design immersion.
In 2025, Monos accelerated its U.S. retail expansion with store openings on Newbury Street in Boston and Abbot Kinney Boulevard in Los Angeles, both among the most recognizable lifestyle retail districts in North America. Additional stores are opening in Chicago’s Fulton Market, New York City, and Washington, D.C. by the end of the year.
The Chicago store, at 2,800 square feet, introduces a new in-store concept called “Postcard” — a hospitality-driven space offering locally curated snacks, beverages, and cultural programming. The initiative signals Monos’ intent to redefine traditional retail by merging commerce, community, and experience under one roof.
Looking ahead, Monos plans to open eight U.S. stores by the end of 2025 and aims to reach 40 locations worldwide by 2030.
NielsenIQ, a leading consumer intelligence company, has released new insights into Canadian consumer sentiment and spending patterns heading into the holiday season.
Based on NIQ’s most recent inflation analysis, consumer surveys and Consumer Outlook: Guide to 2026report, Canadians are demonstrating resilience to economic pressures and uncertainty by adapting how and where they spend, prioritizing savings, promotions, and practicality over patriotic purchasing alone.
Mike Ljubicic
“As the holidays approach, Canadians are redefining what celebration looks like, choosing smarter spending over splurging and supporting local brands when it aligns with value,” said Mike Ljubicic, Managing Director, Canada, NielsenIQ.
“Retailer success will come from making products easy to find, affordable, and meaningful to consumers’ everyday lives.”
The survey found that Canadians are feeling financial strain but showing resilience with smarter spending and greater focus on relevance, not excess:
Fast-moving consumer goods (FMCG) inflation shifted between 2.1% – 3.1% from December 2024 to August 2025;
Smaller brands drive 38% of absolute dollar growth in FMCG;
Consumer confidence rose to 60.3 points in September, yet 36% feel financially worse off. Rather than halting spending, shoppers are cautiously spending;
49% will stock up on sale items, while 42% report only having money for essentials.
Canadian shoppers are still loyal to homegrown products but are more open to global alternatives that deliver affordability, added the report:
“Canadian Loyalists” dropped to 14% (–3 points from early 2025);
Avoidance of U.S. brands fell 7 points, now at 30%;
“Made in Canada” goods still outperform U.S. products (+5.3% vs. –7.9% respectively year to date, Sept 2025), but the gap is narrowing;
Retailers are balancing national origin with affordability, expanding private labels and discount options.
Photo: Leeloo The First
NIQ said Canadian retailers are rethinking their playbooks to meet consumers where they are, prioritizing value, convenience, and relevance over tradition.
More than 100 new discount stores have opened in the past two years, appealing to consumers’ need for value.
Smaller, agile brands drive 38% of FMCG dollar growth.
Consumers increasingly reward brands that deliver niche appeal and sustainability without sacrificing price.
Online FMCG sales exceed 10%, up 5 points in two years, as retailers invest in digital tools that simplify the path to purchase and save time.
NIQ’s Made in Canada report series and related insights can be accessed here and here.
Phillys, a brand-new quick-service restaurant (QSR) concept, has launched in Calgary, bringing gourmet sandwiches, Philly cheesesteaks, specialty hot dogs, and rice bowls to the city — all inspired by the street food culture of North America.
The first location is open at 5475 Falsbridge Dr NE, featuring a 1,300-square-foot space that’s bright, modern, and designed for speed and satisfaction, said the company.
“Phillys blends high-quality ingredients with bold, creative flavours — offering guests something familiar yet exciting,” said Julian Carreto, Operations Lead for Phillys.
“Our goal is to make great food fast, without compromise. From our gourmet hot dogs and hearty grinders to our fresh, customizable rice bowls, there’s truly something for everyone.”
Photo: Phillys
The first franchise is owned and operated by Harpreet Dhaliwal, who brings a decade of restaurant experience and a strong focus on quality and customer service.
“Phillys stood out to me because it hits that perfect balance between fast, fresh, and flavourful,” said Dhaliwal. “It’s the kind of place people can visit for a quick lunch or a relaxed family dinner and always leave satisfied. I’m proud to introduce this exciting new Calgary-born brand to our community.”
Phillyswill host itsofficial Grand Opening on Saturday, November 8, celebrating with aFree Classic Hot Dog for the first 100 gueststhrough the doors.
“Backed by a seasoned leadership team with deep roots in Canada’s restaurant industry, Phillys combines decades of operational expertise with a shared passion for food, innovation, and community,” said the company.
Photo: Phillys
Carreto has more than 25 years experience across various food service concepts.
“Created to fill a growing gap in the quick-service market, the brand delivers fresh, high-quality comfort food that’s both approachable and elevated. Its vision is to build a proudly Canadian company that supports local industry, creates meaningful jobs, and offers a flavour-forward dining experience worth sharing.”
Phillyssaid the menu was designed to offer variety and flexibility without overcomplicating the kitchen — a balance that makes the concept both crave-worthy and scalable.
Gourmet Hot Dogs transform a street-food staple into something special, with premium toppings and international influences.
Rice Bowls provide a healthier, customizable base ideal for vegetarians, vegans, and gluten-free guests.
Grinders (Subs) round out the menu with hearty, made-to-order sandwiches stacked with flavour and freshness.
Photo: Phillys
“With franchising already in development, including a second location secured in Airdrie, Phillys aims to become one of Canada’s next major names in the QSR category. The brand’s model is built for flexibility and efficiency, offering franchisees a compact footprint and a menu that balances creativity with operational ease and broad consumer appeal — from quick lunch breaks to late-night cravings,” it said.“The timing is ideal: Canada’s quick-service restaurant market continues to see strong growth, driven by demand for convenience and quality — a space where Phillys sees a major opportunity to lead.”
What was a multi-year AI gap is now approximately a one-year difference. This surge is accelerated by accessible AI platforms and their structural advantage: fewer approval layers and faster decision-making. More importantly, in specific use cases like marketing automation, they’re deploying AI at rates that rival large enterprises, a reversal of the typical enterprise technology adoption pattern.
According to a Thryv survey, U.S. SMB AI usage more than doubled from 39% in 2024 to 55% in 2025, a 41% year-over-year increase. A McKinsey report shows globally 78% of companies now use AI in at least one function, with companies with 10-100 employees moving from 47% to 68% adoption in one year, indicating that SMBs are approaching enterprise adoption levels faster than previous technology waves predicted.
Where SMBs Deploy AI
The functional distribution of AI use differs sharply between small businesses and large enterprises. Among firms already using AI, SMBs show leadership in almost half of the 17 tracked use cases, with marketing automation especially common among small businesses.
AI Deployment Plans:
77% of SMBs think AI for marketing and customer engagement would have a great impact
84% SMBs are willing to automate marketing content creation
59% are open to automating customer service using AI
By comparison, large enterprises deploy AI primarily for IT process automation (33%) and security or threat detection (26%). The data suggests not that SMBs lead across substantial use cases, but that they concentrate deployment in customer-facing functions while enterprises prioritize infrastructure and security.
Measurable Returns
Small businesses report productivity and revenue gains that justify their AI investments
91% SMBs report revenue boosts from AI
87% say it helps them scale operations
86% see improved margins
Small businesses are saving 20+ hours, $500-$2,000 in cost savings monthly.
51% of SMBs that adopted generative AI reported revenue increases of 10% or more, indicating substantial returns for businesses that move beyond experimentation to systematic implementation.
Anirudh Agarwal
“What sets successful SMBs apart is how quickly they translate AI from concept to daily utility. The ones integrating it into routine operations are not just saving time, they’re creating measurable, repeatable performance gains that strengthen long-term competitiveness,” noted Anirudh Agarwal, CEO, OutreachX.
Workforce Impact Favors Expansion
Contrary to widespread concern about AI-driven job losses, small businesses using AI report net positive workforce effects.
34% of AI-using entrepreneurs upskilled existing employees
82% of AI-using small businesses increased their workforce in the past year
Job posts from SMBs seeking AI expertise rose 44% between January and July 2025
The pattern suggests AI functions as a capacity multiplier rather than workforce replacement, at least in the current adoption phase. Small businesses appear to be using AI to handle increased workload rather than to eliminate positions.
Photo: OutreachX
The Training Problem Affects Everyone
Training gaps:
95% of SMB decision makers say they need more AI training, though 72% describe themselves as AI experts
90% of SMB employees who received AI training reported better performance
Companies adopting AI continue to lag in employee training and upskilling, creating a vulnerability that affects organizations of all sizes. For SMBs, this is the execution gap that decides who turns AI into repeatable gains: the businesses that formalize lightweight, role-based training and certify a handful of “power users” will convert early experiments into durable, margin-positive workflows. In other words, close the skills gap, and the small-team advantage compounds.
From Catch-Up to Competitive Edge
Whether the one-year gap continues to close, stabilizes, or widens depends on factors that remain in flux: enterprise acceleration of AI investment, SMB access to increasingly sophisticated tools, and which segment addresses the training deficit first. What the current data establishes is that small businesses are adopting AI faster than conventional technology diffusion models predicted, and concentrating that adoption in the functions most directly tied to revenue generation. In AI, speed beats scale, and right now, small businesses are winning because they’re moving first.
Retail Insider is streamlining its Canadian retail news from around the web to include a handful of top news stories that can be viewed quickly during the day. Here are the top stories from the past 24 hours.
“Our strong financial performance this quarter reflects the health of our portfolio and the efforts of our team as we continue to make meaningful additions to our asset base,” said Kevin Salsberg, President and Chief Executive Officer, CT REIT. “CT REIT continues to execute on its strategy while providing Unitholders with an attractive combination of growth and stability.”
CT REIT is an unincorporated, closed-end real estate investment trust formed to own income-producing commercial properties located primarily in Canada. Its portfolio is comprised of over 375 properties totalling more than 31 million square feet of GLA, consisting primarily of net lease single-tenant retail properties across Canada. Canadian Tire Corporation, Limited, is CT REIT’s most significant tenant.
New Investment Activity
CT REIT announced two new investments which require an estimated $19 million to complete. The investments are, in aggregate, expected to earn a going-in yield of 6.45% and represent approximately 50,000 square feet of incremental gross leasable area.
The table below summarizes the new investments and their anticipated completion dates:
Property
Type
GLA (sf.)
Timing
Activity
Fort Saskatchewan, AB
Third Party Acquisition
20,000
Q4 2025
Acquisition of the freehold interest underlying a ground lease that CT REIT had an interest in, as well as a multi-tenant commercial retail building
Collingwood, ON
Intensification
30,000
Q2 2027
Expansion of an existing Canadian Tire store
Update on Previously Announced Investments
CT REIT invested $72 million in previously disclosed projects that were completed in the third quarter of 2025, adding 351,000 square feet of incremental GLA to the portfolio as detailed in the table below.
Property
Type
GLA (sf.)
Timing
Activity
Calgary (Northpointe at Country Hills), AB
Third Party Acquisition
197,000
Q3 2025
Third party acquisition of a Canadian Tire anchored property
Winkler, MB
Redevelopment
154,000
Q3 2025
Redevelopment of an existing enclosed mall
Financial Highlights
Net Income – Net income was $117.1 million for the quarter, an increase of $22.7 million, compared to the same period in the prior year, primarily due to increases in the fair value adjustment on investment properties, and higher revenues from the Property portfolio, partially offset by higher interest expense.
Net Operating Income (NOI) – Total property revenue for the quarter was $151.2 million, which was $6.6 million or 4.5% higher compared to the same period in the prior year. In the third quarter, NOI was $119.9 million, which was $6.2 million or 5.5% higher compared to the same period in the prior year. This was primarily due to the acquisition, intensification and development of income-producing properties completed in 2024 and 2025, which added $4.1 million, and rent escalations from Canadian Tire leases, which contributed $1.6 million.
Same store NOI was $115.1 million and same property NOI was $115.8 million for the quarter, which were $2.3 million or 2.0%, and $3.0 million or 2.6%, respectively, higher when compared to the prior year. Same store NOI increased primarily due to the increased revenue derived from contractual rent escalations and the recovery of capital expenditures. Same property NOI increased primarily due to the increase in same store NOI noted, as well as from the intensifications completed in 2024 and 2025.
Funds from Operations (FFO) – FFO for the quarter was $80.5 million, which was $2.4 million or 3.1% higher than the same period in 2024, primarily due to the impact of NOI variances discussed earlier, partially offset by higher interest expense. FFO per unit – diluted (non-GAAP) for the quarter was $0.338, which was $0.007 or 2.1% higher, compared to the same period in 2024, due to the growth of FFO exceeding the growth in weighted average units outstanding – diluted (non-GAAP).
Adjusted Funds from Operations (AFFO) – AFFO for the quarter was $75.4 million, which was $2.8 million or 3.9% higher than the same period in 2024, primarily due to the impact of NOI variances discussed earlier, partially offset by higher interest expense. AFFO per unit – diluted (non-GAAP) for the quarter was $0.317, which was $0.009 or 2.9% higher, compared to the same period in 2024, due to the growth of AFFO exceeding the growth in weighted average units outstanding – diluted (non-GAAP).
Operating Results
Leasing – CTC is CT REIT’s most significant tenant. As at September 30, 2025, CTC represented 92.2% of total GLA and 90.9% of annualized base minimum rent.
Occupancy – As at September 30, 2025, CT REIT’s portfolio occupancy rate, on a committed basis, was 99.4%.
