The Consumer Price Index (CPI) increased 2.8% year over year in April, up from an increase of 2.4% in March, reported Statistics Canada on Tuesday.
Higher energy prices, most notably gasoline prices, drove the acceleration in the headline CPI. The removal of the consumer carbon levy in April 2025, which resulted in monthly declines for gasoline and natural gas, has now fallen out of the 12-month movement, putting upward pressure on the all-items CPI. Excluding gasoline, the CPI rose at a slower pace year over year in April (+2.0%) compared with March (+2.2%), explained the federal agency.
Moderating faster price growth in the all-items CPI was a year-over-year decline in prices for travel tours and a slowdown in rent prices. The CPI was up 0.4% month over month in April. On a seasonally adjusted monthly basis, the CPI increased 0.3%, it said.
“In April, energy prices rose 19.2% year over year, following a 3.9% increase in March. Gasoline prices continued to increase year over year in April, rising sharply by 28.6% after a 5.9% gain in March. The removal of the consumer carbon levy on April 1, 2025, resulted in a monthly price decline in that month, which put upward pressure on the year-over-year gasoline movement in April 2026. In addition to the accelerating base-year effect, prices were pushed higher by supply uncertainty (caused by the conflict in the Middle East), as well as by the switch to the more expensive summer blend. Moderating the increase was the temporary suspension of the federal fuel excise tax that went into effect on April 20,” explained Statistics Canada.
“Similarly, prices for fuel oil and other fuels increased 41.3% year over year in April, amid higher oil prices linked to the conflict in the Middle East. A smaller year-over-year decline in prices for natural gas in April (-2.4%) compared with March (-18.1%) also contributed upward pressure to energy prices. Natural gas prices were impacted by the removal of the consumer carbon levy in April 2025.”
After declining 0.4% year over year in March, prices for clothing and footwear rose 2.0% in April. The increase was led by higher prices for clothing, in particular women’s clothing (+1.4%). Prices for men’s clothing also contributed to the acceleration, falling less in April (-1.2%) compared with March (-2.9%), noted Statistics Canada.
“As expected, higher oil prices lifted Canadian inflation in April, but we are not yet seeing much of a knock-on effect to non-energy related goods or services. Core inflation pressures were actually softer than expected in April. There is little argument yet for Bank of Canada rate hikes here, and market pricing for rate hikes this year has come down a bit this morning,” said Leslie Preston, Senior Economist, TD Economics.
Leslie Preston
“Oil prices have remained high in May, so energy prices are likely to keep headline inflation elevated for some time. Given a generally soft economic backdrop in Canada, we expect the effect on core prices should be more modest. Core inflation is expected to stay reasonably close to the 2% target on a year-on-year basis this year (see details in today’s report).”
Douglas Porter
Doug Porter, Chief Economist, BMO Capital Markets, said: “Looking beyond the nasty business at the gasoline pumps, this report is unambiguously soft. It appears that the sizeable and growing output gap is prompting ongoing disinflationary pressure in many other sectors. The risk is that still-rising energy prices disrupt that calming trend over the next few months. However, near-term Bank of Canada rate-hike speculation—which has ratcheted up in recent weeks—should calm on this friendly report. This cool core inflation backdrop reinforces our bias that rate hikes would be a big mistake in the current Canadian economic landscape. Still, the reality is that as long as oil prices continue to grind higher, the rate-hike chatter will remain.”
Aritzia at CF Toronto Eaton Centre in Toronto. Photo: Aritzia
A widening gap is emerging across the North American apparel sector.
As consumer spending becomes more selective, some fashion retailers are struggling to maintain momentum while a smaller group of brands continues pulling further ahead. Promotional activity remains elevated across much of the industry, yet consumers are still showing a willingness to spend on brands that feel differentiated, emotionally resonant, and culturally relevant.
Aritzia increasingly appears to fall into that second category.
The Vancouver-based retailer reported another quarter of exceptionally strong growth this week, posting record fourth quarter net revenue of $1.2 billion, up 33% year-over-year, alongside comparable sales growth of 28%. The company also raised its fiscal 2027 outlook while signaling continued momentum across both Canada and the United States.
The financial results were impressive, though the more revealing story may have come through management’s commentary during the earnings call. Executives offered a clearer look at how Aritzia is evolving at a time when many apparel retailers are fighting harder simply to maintain consumer attention.
Aritzia’s ‘Everyday Luxury’ Positioning Continues to Resonate
Aritzia increasingly occupies a space between mainstream apparel and traditional luxury, a positioning that appears to be strengthening as consumer purchasing habits evolve.
Throughout the earnings call, Chief Executive Officer Jennifer Wong repeatedly referenced the company’s “Everyday Luxury” strategy, describing an assortment centered around high-quality products offered at “obtainable price points.”
Jennifer Wong
That positioning matters in the current retail environment. Consumers continue to spend on fashion, though increasingly with greater scrutiny around quality, identity, and perceived value. Retailers operating in the middle of the market without a clearly differentiated proposition have faced mounting pressure over the past several years.
Aritzia, meanwhile, appears to be benefiting from stronger brand affinity and growing cultural relevance, particularly among younger and digitally engaged consumers.
Importantly, management indicated that momentum is not being driven by one isolated category or seasonal trend. Wong described demand as broad-based across regions, channels, styles, and product categories, suggesting the company’s strength increasingly lies with the overall brand itself rather than individual fashion cycles.
That broader positioning was also highlighted in a recent research note from Stifel analyst Martin Landry, who argued that Aritzia continues gaining traction while several major apparel brands experience slower momentum. Landry said the retailer has successfully carved out a niche by offering elevated product and strong brand identity while remaining accessible relative to luxury competitors.
Boutiques Are Evolving Beyond Traditional Retail Stores
One of the more significant themes emerging from Aritzia’s growth story is the changing role of its physical stores.
Rather than functioning strictly as transactional retail spaces, boutiques are increasingly operating as awareness engines that drive customer acquisition, digital engagement, and long-term loyalty simultaneously.
“Our boutiques enhance brand recognition, drive new client acquisition, and support digital growth, particularly in new markets,” Wong said during the earnings call.
That philosophy reflects a broader shift taking place across premium retail. Increasingly, successful stores are expected to reinforce brand identity, create experiences, and deepen customer engagement rather than simply maximize short-term sales productivity.
For shopping centre owners and landlords, that distinction has become increasingly important. Following years of department store closures and apparel sector consolidation, many top-tier malls are becoming more concentrated around a smaller group of highly productive fashion tenants capable of driving both traffic and cultural relevance.
Aritzia increasingly appears to be emerging as one of those tenants.
Over the past year, the retailer opened 14 new boutiques and repositioned four existing locations, with most expansion concentrated in the United States. Management said the newest U.S. boutiques are tracking to pay back their investment in less than one year, significantly ahead of the company’s original 12-to-18-month target.
The company also suggested newer markets are ramping faster than they did historically.
“In the past, several years ago, we would talk about a ramp,” Wong said. “Right now, we see lineups before the day we open.”
That level of anticipation speaks to the degree of awareness Aritzia is now generating before physically entering a market. Social media visibility, influencer engagement, digital marketing, and existing e-commerce penetration appear to be helping establish demand well in advance of store openings.
Aritzia Chicago flagship on Michigan Avenue. Photo: BLDUP.com
U.S. Expansion Continues to Accelerate
Aritzia’s U.S. growth strategy has become one of the company’s most important long-term growth drivers.
The retailer plans to open another 12 to 13 boutiques this fiscal year, primarily in the United States, including entries into Birmingham, Fort Worth, New Orleans, and St. Louis. Additional openings are planned across markets including Atlanta, Las Vegas, Cleveland, Dallas, and California.
Management also confirmed plans for additional flagship stores in fiscal 2028.
The scale of the runway remains substantial. Wong noted that Aritzia currently operates only 76 boutiques in the United States despite previously discussing long-term potential for roughly 180 to 200 stores nationally.
What appears increasingly notable is how quickly the retailer is establishing traction in newer markets.
Executives repeatedly emphasized that strong performance is not isolated to major coastal cities or traditional fashion hubs. Instead, demand appears broad-based across regions, suggesting Aritzia’s appeal is becoming more nationally distributed throughout the United States.
That evolution is important because it signals the company may be transitioning from a highly successful Canadian retailer into a much larger North American fashion platform.
Digital and Physical Retail Are Becoming Increasingly Interconnected
At the same time, Aritzia’s digital business continues accelerating alongside physical expansion rather than replacing it.
The company reported a 29% increase in digital revenue during the quarter following 48% growth during the same period last year. Executives repeatedly emphasized the interconnected nature of the retailer’s ecosystem, with boutiques, marketing initiatives, mobile engagement, and e-commerce increasingly reinforcing one another.
The company’s mobile app has emerged as a particularly important engagement tool. Wong said customers are now using the app multiple times per week for both browsing and purchasing, while app users are converting at higher rates than traditional e-commerce shoppers.
She also noted that the app is already contributing incremental high single-digit growth to the company’s e-commerce business.
Aritzia is simultaneously expanding its full-funnel marketing strategy, blending brand awareness campaigns with performance marketing and digital acquisition initiatives. Wong said the retailer has been able to grow awareness while keeping marketing spend at a relatively modest low single-digit percentage of revenue.
The retailer’s acquisition of the Fred Segal brand earlier this year may also reflect a broader ambition to deepen its cultural positioning in key U.S. markets. Wong described the Los Angeles-based brand as “brand propelling” for Aritzia and emphasized the emotional response generated by the announcement in California.
Rendering of the future four-level 41,800 sq ft Aritzia store at Robson and Howe in Vancouver. Rendering: Aritzia
Aritzia Reflects a Broader Shift in Apparel Retail
For the broader retail industry, Aritzia’s momentum may ultimately reveal more than the success of a single retailer.
Apparel spending increasingly appears to be concentrating around brands that offer stronger identity, deeper emotional engagement, and clearer differentiation. At the same time, top-tier retail environments are becoming more dependent on tenants capable of generating both productivity and relevance in an increasingly competitive landscape.
Consumers are still spending on fashion. The difference is that spending appears to be becoming more intentional.
Retailers capable of creating stronger brand ecosystems across stores, digital platforms, marketing, and customer experience are increasingly separating themselves from the broader field. Aritzia’s recent performance suggests the future of premium apparel retail may belong to a smaller group of brands able to consistently command consumer attention across every part of that ecosystem.
Shoppers Drug Mart at Londonderry Shopping Centre (Image: Londonderry)
Luxury beauty retail in Canada is becoming increasingly experiential as brands look for new ways to bring consumers into stores. That shift is now extending into the fragrance category as L’Oréal Canada and Shoppers Drug Mart launch what the companies say is the country’s first multi-brand fragrance refill fountain concept.
Installed inside select Shoppers Drug Mart Beauty Boutique locations, the refill fountains allow customers to replenish luxury fragrances directly in-store using their existing perfume bottles. The sleek installations feature illuminated displays and refill vessels positioned above prestige fragrance bottles, creating a retail environment that feels part luxury beauty counter, part experiential activation.
The concept is now available in 16 Shoppers Drug Mart stores across Canada and includes fragrances from Lancôme, Giorgio Armani, Prada, and Yves Saint Laurent.
The launch reflects several broader shifts currently reshaping the beauty industry. Luxury fragrance brands globally have increasingly embraced refillable packaging as consumers become more conscious of waste and long-term product use. At the same time, retailers are investing more heavily in interactive in-store experiences that encourage repeat visits and deeper engagement with physical retail environments.
Unlike many beauty categories that have seen stronger migration online, fragrance remains highly dependent on in-person discovery. Consumers often prefer to test scents physically before purchasing, particularly in the prestige segment where emotional connection, gifting, and sensory experience continue to drive sales.
Photo: L’Oréal Canada
Refill Programs Expand in Prestige Beauty
Refillable fragrance concepts have steadily gained traction internationally among luxury beauty brands, though large-scale retail implementation in Canada has remained relatively limited until now.
Refill systems encourage consumers to reuse the original packaging while replenishing the fragrance contents over time. The approach allows brands to maintain premium positioning while aligning with evolving consumer expectations around waste reduction and responsible consumption.
According to L’Oréal Canada, refilling directly through the fountain system can reduce glass packaging weight by up to 83 per cent compared to purchasing a new bottle. Consumers can also save up to 25 per cent when choosing refill options instead of purchasing a completely new fragrance package.
Participating fragrances currently include Lancôme Idôle, Giorgio Armani Acqua di Giò, Prada Paradoxe, Yves Saint Laurent LIBRE, and YSL MYSLF.
The refill fountains are located in stores across Montreal, Toronto, Calgary, Ottawa, Vaughan, Rocky View County, Burnaby, Winnipeg, Brampton, London, St. Albert, Grande Prairie, and Fort McMurray.
Beauty Boutique Continues Premium Evolution
For Shoppers Drug Mart, the initiative also signals the continued evolution of its Beauty Boutique concept, which has increasingly emphasized prestige beauty, elevated merchandising, and experiential retail environments over the past several years.
Many Beauty Boutique locations now feature expanded luxury cosmetic assortments, premium fragrance departments, and upgraded store designs intended to compete more directly with department stores and specialty beauty retailers.
Experiential fixtures such as refill stations may also help physical retail differentiate itself from e-commerce by giving consumers reasons to return beyond simple replenishment purchases. In categories such as prestige beauty, where presentation and product discovery remain important, interactive installations can strengthen customer engagement while reinforcing premium brand positioning.
Leith Sinker, Vice-president Prestige at Shoppers Drug Mart, said the refill fountain concept reflects changing customer expectations around luxury beauty retail.
“Shoppers Drug Mart is evolving the in-store experience to meet changing customer expectations. The launch of the multi-brand fragrance fountains in collaboration with L’Oréal Luxe helps deliver more accessible and sustainable luxury, elevating discovery while making it easier to shop and replenish favourites more responsibly,” Sinker said.
L’Oréal Canada executives described the initiative as part of the company’s broader efforts to integrate more circular retail practices into the luxury beauty sector.
“Together, we are not just introducing a new way to shop, we are establishing a new standard for responsible luxury,” said Xavier Dubruil, Vice-president of the Luxe division at L’Oréal Canada.
The initiative also includes a reforestation component. L’Oréal Canada says it will plant one tree in the Northwest Territories for every refill purchased through a partnership with Tree Canada as part of its “Refill & Reforest” program.
As traditional party retailers continue to struggle, Michaels is moving aggressively to capture a larger share of the growing celebration retail market through an expanded merchandise assortment, experiential in-store concepts, and value-focused offerings designed to drive more frequent customer visits.
The retailer announced a major expansion of “The Party Shop at Michaels,” growing its in-store party assortment by 60 per cent while introducing interactive customization bars intended to transform stores into destinations for birthdays, graduations, weddings, baby showers, and other milestone occasions.
The move signals a broader evolution for Michaels as the company pushes beyond its traditional arts-and-crafts roots into categories tied to entertaining, gifting, seasonal events, and social gatherings.
It also comes during a period of major disruption in the North American party retail sector following the bankruptcy filings and widespread store closures at Party City in the United States, creating opportunities for larger retailers with national scale and established store networks to absorb market share.
With more than 1,250 stores across North America, including a significant Canadian presence, Michaels has steadily broadened its merchandise strategy in recent years as retailers increasingly pursue categories capable of generating recurring visits and emotionally driven purchases.
Michaels Expands Its Party Business
Michaels said it has already expanded its party business to more than 4,500 party supplies and balloons spanning over 60 themes, with nearly 600 additional products set to launch throughout 2026.
The expanded assortment includes licensed children’s merchandise featuring characters such as Bluey, Hello Kitty, and Stitch, alongside elevated entertaining collections, balloons, candy products, and a newly introduced piñata category featuring sports themes, smiley faces, and trend-driven designs.
The strategy could help Michaels generate more consistent store traffic throughout the year as consumers continue spending on birthdays, graduations, holidays, and family gatherings even while remaining more cautious in other discretionary categories.
Unlike traditional crafting purchases that may happen periodically, event-driven shopping often generates repeat visits and larger baskets as customers purchase balloons, decorations, candy, gift wrap, party favours, and entertaining accessories together for a single occasion.
“With nearly 600 new products being added throughout 2026, the expanded selection offers an unmatched variety of licensed themes, piñatas, balloons, and DIY décor at an incredible value for every occasion,” the company said in its announcement.
Experiential Retail Becomes Central to the Strategy
One of the most distinctive aspects of the expansion is Michaels’ growing emphasis on experiential retail, an area where physical stores continue to hold advantages over e-commerce competitors.
Beginning this month, Michaels is rolling out new customization bars across North America, including Canadian locations, allowing shoppers to personalize elements of their celebrations in-store and in real time.
The concepts include a “Favour Bar” where customers can build custom party favours, a “Candy Bar” featuring colourful sweets for personalized dessert tables and gift bags, and a “DIY Banner Bar” that allows shoppers to create felt banners using interchangeable letters, numbers, and icons.
The additions reflect broader retail trends favouring interactivity, personalization, and social-media-friendly experiences that encourage consumers to visit stores rather than simply order products online.
Retailers increasingly recognize that consumers want shopping experiences worth leaving home for, particularly as online shopping continues handling more routine purchasing. Michaels’ customization bars appear designed to create a more participatory and visually engaging store environment while reinforcing the company’s long-standing connection to creativity and DIY culture.
Michaels CEO David Boone said the company wants the planning process itself to feel creative and enjoyable.
“At Michaels, we believe the joy of celebrating should begin the moment you start planning,” Boone said in the release. “As North America’s ultimate celebration destination, we are committed to being the true one-stop shop, delivering a differentiated selection and exclusive experiences.”
Michaels Canada on John Street (Image: Dustin Fuhs)
Value and Convenience Remain Key
Alongside the expanded assortment, Michaels is also emphasizing affordability as consumers remain increasingly price-conscious amid ongoing economic uncertainty.
The retailer recently lowered pricing on its in-store birthday party packages to $149 and continues expanding balloon services that now include pickup, delivery, reservations, and pre-made bouquets.
Michaels said it inflated more than 17 million balloons over the past year alone, underscoring both the scale of its balloon business and the growing importance of celebration-related categories within the company’s broader retail strategy.
The company is also introducing new “5 for $5” packaging promotions allowing shoppers to mix and match select gift wrap, bows, gift bags, tissue paper, and tags.
Michaels added that customers can access the expanded assortment through stores, buy online pick-up in-store services, same-day delivery, and balloon reservation programs.
Redefining the Michaels Store Experience
Since being acquired by Apollo Global Management in 2021, Michaels has steadily broadened its positioning beyond traditional arts and crafts retail.
The latest expansion suggests the company increasingly sees long-term opportunity in becoming a broader destination for celebrations, entertaining, gifting, and personalization under one roof.
That evolution also reflects a wider shift taking place across physical retail as stores increasingly function as experiential environments rather than simply places to purchase products.
For Michaels, the growing focus on celebrations may represent more than a merchandise expansion. In an increasingly digital retail environment, the company appears to be betting that creativity, personalization, and shared experiences will keep consumers coming back to stores.
Nick Di Donato (right) and Nadia Di Donato. Photo: Liberty Entertainment
Toronto was still finding its identity in 1986.
The city had not yet developed the international reputation it holds today for luxury dining, nightlife, entertainment, and large-scale hospitality experiences. Much of the hospitality landscape remained traditional and fragmented, with restaurants, bars, and nightlife venues operating separately from one another. The Entertainment District was still in its early stages, downtown warehouse conversions had only begun to emerge, and the Toronto International Film Festival had yet to transform into the global cultural event that would eventually reshape how the city presented itself to the world.
That same year, Nick Di Donato and Pat Di Donato opened P.M. Toronto, the first venue under what would eventually become Liberty Entertainment Group. Over the next four decades, the company would grow alongside Toronto itself, helping pioneer a more immersive, design-driven style of hospitality centred around atmosphere, entertainment, architecture, and social experience long before terms such as “lifestyle hospitality” and “experiential dining” became widely used across the industry.
Today, Liberty Entertainment Group’s portfolio includes Casa Loma, Liberty Grand Entertainment Complex, Don Alfonso 1890 Toronto, DaNico, Cibo Wine Bar, Blue Bovine Steak + Sushi House, Bovine Wine Club, Paris Texas, and Martucci Miami.
More significantly, the company helped shape many of the hospitality formats and social environments that later became synonymous with Toronto’s rise as a more cosmopolitan and internationally connected city.
Casa Loma. Photo: Liberty Entertainment Group
A Changing City and a New Style of Hospitality
During the 1990s and early 2000s, Toronto entered a period of rapid urban and cultural transformation.
Former warehouse and industrial districts were evolving into entertainment corridors, downtown intensification accelerated through condominium development, and the city’s financial, fashion, media, and cultural sectors were becoming increasingly international. Toronto was also gaining confidence in its identity as a global city, supported by growing tourism, expanding luxury retail, and the rising international influence of TIFF.
Liberty Entertainment Group became one of the hospitality operators helping define that era.
One of the company’s most influential projects was the Rosewater Supper Club, which opened in 1996 inside a restored 19th-century heritage building. At a time when Toronto still lacked many sophisticated nightlife environments, Rosewater introduced a different type of social experience, blending dining, music, nightlife, dramatic interiors, and late-night culture within a multi-level heritage setting illuminated by candlelight and theatrical design.
The venue quickly became associated with Toronto’s corporate, entertainment, fashion, and media scenes during an era when the city was becoming more globally connected and culturally ambitious. Rosewater helped establish the idea that hospitality could function as social theatre, where atmosphere and experience carried as much importance as food and beverage itself.
That approach later became common across major North American cities, though Liberty Entertainment Group was among the earlier operators helping establish the model in Toronto.
The company also contributed to the growth of Toronto’s Entertainment District through venues such as the Phoenix Concert Theatre, which became part of the city’s expanding live entertainment and nightlife ecosystem.
Before that period, much of Toronto nightlife was divided between conventional bars and grittier club environments. Liberty Entertainment Group helped introduce a more polished and professionally managed hospitality model that raised expectations around design, guest experience, atmosphere, and large-scale venue execution throughout the industry.
Photo: Liberty Entertainment
Reimagining Heritage Buildings as Social Destinations
Adaptive reuse became another defining aspect of the company’s evolution.
With a background in engineering, Nick Di Donato developed a reputation for recognizing long-term potential in large and often underutilized heritage properties. Rather than focusing solely on conventional restaurants or standalone nightlife venues, Liberty Entertainment Group increasingly pursued ambitious projects connected to architecture, tourism, entertainment, and placemaking.
That philosophy became particularly visible in 2001, when the company transformed the long-vacant Ontario Government Building at Exhibition Place into the Liberty Grand Entertainment Complex.
The redevelopment converted the historic Beaux-Arts structure into one of Toronto’s premier event destinations while preserving a significant piece of the city’s architectural heritage. Years before adaptive reuse became a widely embraced urban development trend, the project demonstrated how historic buildings could successfully evolve into large-scale hospitality and entertainment environments.
The company later applied a similar philosophy to Casa Loma, helping transform the historic castle into one of Canada’s most recognizable tourism and hospitality destinations.
Once viewed primarily as a seasonal attraction, Casa Loma evolved into a year-round destination featuring concerts, dining experiences, seasonal installations, large-scale public activations, and immersive entertainment programming. Today, the property attracts more than 800,000 visitors annually.
The evolution of Liberty Grand and Casa Loma reflected broader changes occurring across Toronto itself, where hospitality increasingly became intertwined with tourism, culture, placemaking, and experience-driven commerce.
Don Alfonso restaurant in Toronto. Photo: Liberty Entertainment Group
TIFF, Celebrity Culture, and Toronto’s International Profile
By the mid-2000s, Liberty Entertainment Group venues had become closely associated with the glamour and visibility surrounding the annual Toronto International Film Festival.
As TIFF expanded into one of the world’s most influential film festivals, Toronto experienced a surge of international media attention, celebrity activity, luxury sponsorships, and cultural tourism. Each September, downtown streets filled with global entertainment executives, actors, filmmakers, fashion brands, and media organizations as the city increasingly projected the image of a sophisticated international destination.
During that period, Liberty venues regularly hosted studio parties, celebrity gatherings, entertainment industry events, and high-profile corporate activations that became part of Toronto’s evolving social and cultural identity.
For many international visitors, those experiences helped shape their perception of the city during a pivotal period in Toronto’s evolution.
The company’s growth also paralleled the rise of luxury retail, upscale residential development, and highly designed hospitality spaces throughout Toronto. As consumer expectations evolved, the city increasingly embraced environments where atmosphere, design, and social experience became central to dining and entertainment culture.
“People once looked to New York or London to understand where hospitality was going. We believed Toronto didn’t need to follow — it could define its own path and lead that conversation,” said Nick Di Donato in the company’s anniversary announcement. “We’ve always asked what this city deserved — and then built it.”
Blue Bovine Steak + Sushi at Union Station in Toronto. Photo: Liberty Entertainment
A Legacy Built Around Experience and Atmosphere
Today, Liberty Entertainment Group welcomes approximately 1.75 million guests annually across more than 500,000 square feet of restaurants, nightlife venues, event destinations, and tourism properties.
Recognition from organizations including Michelin, 50 Top Italy, the DiRōNA Award of Excellence, and the World Luxury Awards has further elevated the company’s international profile over the years.
In 2019, Nick Di Donato was also knighted by the Italian government, a distinction rarely awarded outside Italy and seldom within the hospitality industry.
Alongside the company’s operational growth, Nadia Di Donato played a major role in shaping the visual identity and emotional atmosphere behind Liberty’s venues, helping establish a consistent design language across the company’s portfolio over multiple decades.
“Every decade brought a different Toronto, a different guest, and a new definition of luxury,” Nadia Di Donato said in the anniversary announcement. “Our role has always been to stay ahead of that — to understand what people will want before they know it themselves.”
The next phase of Liberty Entertainment Group is also beginning to emerge through Luca Di Donato, representing a new generation of leadership as the company continues expanding domestically and internationally.
Throughout 2026, Liberty Entertainment Group plans to celebrate its 40th anniversary across its venues, including the release of a private-label 2019 Fumanelli Amarone wine commemorating the milestone.
Four decades after opening its first venue, Liberty Entertainment Group’s influence remains deeply embedded within Toronto’s hospitality landscape. From heritage landmarks and entertainment districts to luxury dining rooms and large-scale social destinations, the company helped shape many of the experiences, environments, and gathering places through which Toronto evolved into a more confident and internationally recognized city.
Atlanta-based The Home Depot, the world’s largest home improvement retailer, reported on Tuesday sales of $41.8 billion US for the first quarter of fiscal 2026, an increase of $1.9 billion, or 4.8% from the first quarter of fiscal 2025.
Comparable sales for the first quarter of fiscal 2026 increased 0.6%, and comparable sales in the U.S. increased 0.4%. For the first quarter of fiscal 2026, foreign exchange rates positively impacted total company comparable sales by approximately 55 basis points, it noted.
Net earnings for the first quarter of fiscal 2026 were $3.3 billion, or $3.30 per diluted share, compared with net earnings of $3.4 billion, or $3.45 per diluted share, in the same period of fiscal 2025, it said.
Adjusted diluted earnings per share for the first quarter of fiscal 2026 were $3.43, compared with adjusted diluted earnings per share of $3.56 in the same period of fiscal 2025, added the retailer.
Ted Decker
“Our first quarter results were in line with our expectations. The underlying demand in our business was relatively similar to what we saw throughout fiscal 2025, despite greater consumer uncertainty and housing affordability pressure,” said Ted Decker, chair, president and CEO.
“As always, our associates provided excellent customer service during the quarter, and I would like to thank them for their continued hard work and dedication to serving our customers.”
Fiscal 2026 Guidance
The company reaffirms its fiscal 2026 guidance:
Total sales growth of approximately 2.5% to 4.5%
Comparable sales growth of approximately flat to 2.0%
Approximately 15 new stores
Gross margin of approximately 33.1%
Operating margin of approximately 12.4% to 12.6%
Adjusted operating margin of approximately 12.8% to 13.0%
Effective tax rate of approximately 24.3%
Net interest expense of approximately $2.3 billion
Diluted earnings-per-share to grow approximately flat to 4.0% from $14.23 in fiscal 2025
Adjusted diluted earnings-per-share to grow approximately flat to 4.0% from $14.69 in fiscal 2025
Capital expenditures of approximately 2.5% of total sales.
At the end of the first quarter, the company operated 2,361 retail stores and over 1,280 SRS locations across all 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, 10 Canadian provinces and Mexico. The Company employs over 470,000 associates. The Home Depot’s stock is traded on the New York Stock Exchange (NYSE: HD) and is included in the Dow Jones industrial average and Standard & Poor’s 500 index.
“While industry demand remained soft and profitability was impacted by expected pressure in used vehicle margins, we are encouraged by improving trends in used vehicle sales productivity, used vehicle profit per retail unit, operational efficiencies achieved through organizational changes implemented during the quarter, and the continued resilience of our collision platform.
“We also advanced several important strategic initiatives, including progress on the divestiture of our U.S. dealership portfolio, expansion of our collision operations, and the successful amendment and extension of our syndicated credit facility. We believe these actions position the Company to reduce leverage and create a stronger operational foundation as we move through 2026.”
First Quarter 2026 Financial Highlights
Revenue from continuing operations was $1.19 billion as compared to $1.24 billion in the prior year
Gross profit of $169.1 million, compared to $198.0 million in the prior year
Gross profit percentage of 14.2%, compared to 16.0% in the prior year
Net loss from continuing operations of $(3.3) million, compared to net income of $9.7 million in the prior year
Diluted net loss per share from continuing operations of $(0.15), compared to diluted net income per share of $0.37 in the prior year
Adjusted EBITDA from continuing operations of $31.0 million, compared to $43.0 million in the prior year
Adjusted EBITDA margin of 2.6%, compared to 3.5% in the prior year
Operating expenses before depreciation decreased (14.1)% year-over-year to $138.5 million
Total Net Funded Debt to Bank EBITDA Ratio2of 3.96x at March 31, 2026
Cash and available revolving credit capacity totaled approximately $357.5 million at quarter-end
The company said Canadian new light vehicle demand remained soft into the early part of the second quarter, extending trends observed in Q1 2026. Preliminary April industry data indicates a continued year-over-year decline in sales volumes (mid-single digit range), reflecting persistent macroeconomic headwinds, including elevated vehicle pricing, higher fuel costs, and ongoing consumer uncertainty. On a seasonally adjusted basis, national sales volumes remain below prior expectations and continue to normalize following demand pull-forward in early 2025, it added.
“Despite these conditions, management is encouraged by early signs of operational stabilization and sequential improvement across key dealership performance indicators. Since the appointment of new leadership in mid-February 2026, the Company has taken decisive actions to enhance its operating model, improve structural efficiencies, and refocus the organization on execution fundamentals. While momentum is building, management expects that achieving consistent target performance across all dealership operating categories will require sustained execution through the balance of 2026 and into early 2027, it said.
Small-business wages in Canada continued to rise faster than inflation in April, while hiring in hospitality, retail and tourism accelerated ahead of the summer season, according to new data released recently by Employment Hero.
The employment software company said wages among small and medium-sized businesses rose 4.2 per cent year-over-year in April, compared with inflation of 2.4 per cent, even as overall SMB employment declined 0.9 per cent nationally.
The figures come as Statistics Canada’s latest Labour Force Survey showed the broader labour market was largely unchanged in April amid ongoing economic uncertainty.
Employment Hero said its findings are based on data collected from nearly 3,000 Canadian SMBs through a newly launched first-party data platform intended to provide a real-time view of labour market activity among smaller businesses.
Consumer-facing sectors showed stronger hiring trends than the broader market, the company said.
Employment across retail, hospitality and tourism rose 3.8 per cent year-over-year, while wages in those industries climbed 10.6 per cent, the highest wage growth recorded among sectors tracked by the company.
The company linked the hiring activity to increased seasonal demand as patios reopen and festivals approach.
KJ Lee
“Canadian small businesses aren’t shutting down hiring, they’re getting far more selective about where they place their bets,” said KJ Lee, CEO of Employment Hero Canada.
“Businesses tied to consumer demand don’t have the luxury of waiting things out. If patios are filling up, festivals are around the corner and customers are spending, employers need people on the ground now.”
Employment Hero also reported growth in more flexible staffing arrangements, with casual employment increasing 12.7 per cent year-over-year.
“SMBs are under pressure from every direction: wage expectations, operating costs and an economy that still feels unpredictable,” Lee said.
“That doesn’t mean hiring stops. It means businesses become sharper and far more pragmatic about how they build teams.”
The company’s regional data showed mixed employment conditions across the country.
Saskatchewan posted some of the strongest gains, with employment and wages both rising 5.7 per cent year-over-year. Alberta recorded employment growth of two per cent and wage growth of 5.4 per cent.
Nova Scotia saw employment rise 4.7 per cent, while employment increased 2.5 per cent in New Brunswick and 3.8 per cent in Quebec.
Ontario recorded a 1.8 per cent decline in employment, although wages still rose 3.3 per cent. In British Columbia, employment fell 4.4 per cent, while wages in Vancouver increased 5.5 per cent.
“National headlines rarely tell the whole story,” Lee added.
Employment Hero website photo
“What this data shows is that Canada’s SMB economy isn’t moving in one direction. Some regions and sectors are still growing aggressively, while others are becoming more cautious and many businesses are trying to balance both realities at once.”
Employment Hero said smaller businesses are often among the first to react to changes in consumer demand, operating costs and business confidence, making the company’s data an early indicator of broader labour market trends.
CRAFT Beer Market is rolling out a new summer menu across its Canadian locations as the restaurant chain looks to sharpen its food offering under recently appointed Director of Brand Innovation Josh Dyer.
The menu, launching May 20, marks the first full seasonal lineup developed under Dyer since he joined the company in January. The Calgary-based chef previously served as executive chef at The Dorian Hotel, where he oversaw multiple dining concepts including The Wilde on 27.
The company said the menu reflects a renewed focus on seasonal Canadian ingredients and pairings designed to complement its craft beer selection as it continues to expand its presence across British Columbia, Alberta and Ontario.
Dyer built his reputation in several Canadian kitchens before moving to Alberta, where he became known for developing restaurant programs centred on seasonal and producer-focused menus. At The Wilde on 27, the restaurant received recognition from Michelin Guide and Canada’s 100 Best for its approach to regional ingredients.
Josh Dyer for Good Mood, Good Food – CRAFT Beer Market 2026 (CNW Group/Craft Beer Market)
CRAFT said Dyer’s approach to sourcing from Alberta producers, British Columbia farms and East Coast fisheries aligns with the company’s broader emphasis on Canadian suppliers and provenance across its menu offerings.
The new menu includes dishes such as Burrata Margherita, Rigatoni Bolognese and Steak Wedge Salad, which the company said were developed to pair with its rotating selection of Canadian craft beers.
“We’re grounded in authenticity, driven by integrity, and unapologetically true to who we are. This menu is a return to what makes CRAFT special — food that reflects our roots while elevating the guest experience. Good Mood, Good Food,” said Dyer.
CRAFT said the menu represents what it described as a return to core offerings focused on familiar dishes, seasonal ingredients and broader guest appeal.
Dyer’s culinary career has included work in Ontario and South America before relocating to Western Canada. The company said his experience building culinary programs from the ground up informed the development of the new menu strategy.
“This isn’t about reinvention, it’s about refinement. We’re focusing on flavours that feel honest and relevant, food that reflects who CRAFT is while giving guests something to genuinely look forward to. When you sit down with a great beer and a dish that’s been thought through with that pairing in mind, that’s the experience we’re building,” added Dyer.
CRAFT Beer Market operates restaurant locations in British Columbia, Alberta and Ontario and describes its business as focused on craft beer and chef-driven food offerings.
Good Mood, Good Food – CRAFT Beer Market 2026 (CNW Group/Craft Beer Market)
LARK LAGREE & SOCIAL WELLNESS CLUB DEBUTS IN CANADA WITH FLAGSHIP STUDIO OPENING IN PENTICTON, BC
A new fitness and wellness business has opened its first Canadian location in downtown Penticton, B.C., as independent operators behind the venture look to expand beyond traditional gym offerings with a community-focused studio concept.
Lark Lagree and Social Wellness Club opened at 233 Main St. in Penticton earlier this month, marking the debut of the brand in Canada with a 3,800-square-foot facility featuring Lagree fitness equipment, social spaces and wellness amenities.
The founders say the studio was developed to serve a broader range of customer needs while creating a destination that blends fitness programming with wellness and social gathering spaces.
The location includes 10 Lagree Megaformers, a coffee and tea bar, athleisure apparel, private infrared sauna facilities, custom-tile showers, lounges and grooming amenities. The business said the studio’s design incorporates locally sourced furnishings, architectural lighting and materials intended to reflect the surrounding Okanagan Valley environment.
Vanessa Jahnke
Founders Vanessa Jahnke and Carl Nystrom said the project was shaped by their experience operating gyms and by what they viewed as changing expectations among consumers seeking more than conventional fitness services.
“As longtime gym owners, we wanted Lark to reflect a calm, grounded environment where people have space to connect, move together, and feel part of a supportive community,” said the local entrepreneurs.
Carl Nystrom
The company worked with Texas-based Barbara Chancey Design Group on the project. The design firm, which specializes in fitness facilities, has completed more than 200 projects globally, according to the release.
The Penticton project represents another example of wellness-oriented businesses investing in multi-use spaces that combine fitness, hospitality and lifestyle services under one roof.
“By creating an original brand and challenging what has been accepted in fitness, we wanted to connect with the local community with a purpose-built space that was generous, tactile, and delivered a sense of care and quality,” said Chancey.
The company said the branding for Lark Lagree and Social Wellness Club was inspired by Penticton’s outdoor environment and the symbolism associated with larks, which it described as social birds associated with confidence and freedom.
According to the release, the studio aims to provide fitness instruction based on the Lagree Method while also offering infrared sauna services and communal wellness spaces designed around natural light and open interiors.
The opening adds another independent wellness business to Penticton’s downtown core, where operators continue to invest in experiential retail and service-oriented concepts tied to tourism, lifestyle and health-focused consumer spending.
Lark Lagree and Social Wellness Club said additional information about classes and programming is available through its website and social media channels.
