Aritzia Inc., a global fashion retailer, announced Thursday its financial results for the first quarter ended May 31, with net revenue increasing 43.4% from a year ago to $951 million and comparable sales growth of 35.1%
“We delivered exceptional net revenue growth of 43% in the first quarter of Fiscal 2027, including an outstanding 35% increase in comparable sales. Our momentum was broad-based across the business – spanning all geographies, channels and categories. Robust demand for our Spring and Summer product, supported by our healthy inventory position, fueled this phenomenal performance. Our digital initiatives, new boutique openings and strategic marketing investments continued to drive increased awareness and widespread affinity for the Aritzia brand. Notably, our digital business gained significant momentum, with net revenue growth accelerating to 56%, while the United States remained our largest growth market with a 55% top line increase,” said Jennifer Wong, Chief Executive Officer. “In addition, we expanded our adjusted EBITDA margin by 410 basis points to a first quarter record of 20%. All of this culminated in a 96% increase in adjusted net income per diluted share.”
“Importantly, our strong momentum has carried into the second quarter of Fiscal 2027 as we consistently deliver against our three strategic growth levers – geographic expansion, digital growth and increased brand awareness. We also continue to invest in world-class infrastructure to ensure we remain well-positioned to capitalize on our long runway for growth in the United States and beyond. The strength of the Aritzia brand has never been more evident, and we look forward to executing on our strategic vision for the future.”
First Quarter Highlights
For Q1 2027, compared to Q1 2026:
- Net revenue increased 43.4% to $951.0 million, with comparable sales growth of 35.1%
- United States net revenue increased 54.5% to $638.1 million, comprising 67.1% of net revenue
- Canada net revenue increased 25.0% to $312.9 million, comprising 32.9% of net revenue
- Retail net revenue increased 38.7% to $666.3 million, comprising 70.1% of net revenue
- Digital (formerly “eCommerce”) net revenue increased 55.5% to $284.7 million, comprising 29.9% of net revenue
- Gross profit margin increased 310 bps to 50.3%
- Selling, general and administrative expenses as a percentage of net revenue decreased 150 bps to 32.0%
- Adjusted EBITDA increased 80.5% to $191.6 million. Adjusted EBITDA as a percentage of net revenue increased 410 bps to 20.1%
- Net income increased 176.6% to $117.3 million. Net income as a percentage of net revenue increased 590 bps to 12.3%. Net income per diluted share increased 175.0% to $0.99 per share, compared to $0.36 per share in Q1 2026
- Adjusted Net Income increased 98.3% to $113.9 million. Adjusted Net Income per Diluted Share increased 95.9% to $0.96 per share, compared to $0.49 per share in Q1 2026
| First Quarter Results Compared to Q1 2026 | ||||||
| (unaudited, in thousands of Canadian dollars, unless otherwise noted) | Q1 2027 | Q1 2026 | Change | |||
| % of net revenue | % of net revenue | % | bps | |||
| Retail net revenue | $ 666,344 | 70.1 % | $ 480,306 | 72.4 % | 38.7 % | |
| Digital net revenue | 284,665 | 29.9 % | 183,010 | 27.6 % | 55.5 % | |
| Net revenue | $ 951,009 | 100.0 % | $ 663,316 | 100.0 % | 43.4 % | |
| Gross profit | $ 478,025 | 50.3 % | $ 312,797 | 47.2 % | 52.8 % | 310 |
| Selling, general and administrative (“SG&A”) | $ 304,634 | 32.0 % | $ 222,483 | 33.5 % | 36.9 % | (150) |
| Net income | $ 117,263 | 12.3 % | $ 42,391 | 6.4 % | 176.6 % | 590 |
| Net income per diluted share | $ 0.99 | $ 0.36 | 175.0 % | |||
| Adjusted EBITDA | $ 191,572 | 20.1 % | $ 106,132 | 16.0 % | 80.5 % | 410 |
| Adjusted Net Income | $ 113,875 | 12.0 % | $ 57,424 | 8.7 % | 98.3 % | 330 |
| Adjusted Net Income per Diluted Share | $ 0.96 | $ 0.49 | 95.9 % | |||
Aritzia said it expects the following for Fiscal 2027: Net revenue in the range of $4.55 billion to $4.75 billion, representing growth of approximately 23% to 28% from Fiscal 2026. This includes the contribution from retail expansion with 12 to 13 new boutiques and four to five boutique repositions. Eleven to 12 new boutiques and two to three repositions are expected to be in the United States with the remainder in Canada.
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