TORONTO — Lower store traffic and sales in some markets contributed to a $26.3 million net loss in Canada Goose Holdings Inc.’s most recent quarter.
The apparel company, which is based in Toronto, announced its second-quarter results Thursday, saying it compared with a loss of $17.4 million a year earlier.
Weighing on the quarter was a 7.5 per cent drop in comparable sales linked to the company’s direct-to-consumer business.
Chief executive Dani Reiss told analysts on a conference call that his first priority moving forward “is to deepen brand desire and turn it into more consistent demand.”
Canada Goose has been working for several years to draw customers in beyond its typical busy season — winter, when sales of its luxury parkas are the briskest.
To highlight the year-round nature of its business, Canada Goose recently partnered with actor Keanu Reeves’ bespoke motorcycle company and outfitted actor Ewan McGregor on a transatlantic sailing expedition filmed for the documentary series True Wind.
Canada Goose has also been more aggressively pushing its rainwear, sunglasses and shoes and boots.
Its entry into the footwear market years ago was aided heavily by its purchase of Baffin Ltd., a bootmaker dating back to 1979, which Canada Goose bought in 2018 for $32.5 million.
It ran Baffin as a stand-alone subsidiary based in Stoney Creek, Ont., until it sold it to Sherbrooke, Que.-based L.P. Royer over the summer. Canada Goose did not disclose terms of the deal at the time.
“Baffin played an important role in supporting our entry into footwear and provided valuable expertise that continues to inform our long-term strategy for the category,” chief financial officer Neil Bowden said on the same Thursday call as Reiss.
“We made the decision to divest the business to focus our resources on our highest strategic priorities.”
Baffin generated about $35 million in fiscal 2026 revenue, primarily in the company’s second and third quarters and through its wholesale division.
To make comparisons easier, Canada Goose excluded it from its current year and prior-year results.
Zeroing in specifically on the second quarter, Canada Goose said its loss amounted to 27 cents per diluted share for the quarter ended Sept. 27 compared with a loss of 16 cents per diluted share a year ago.
On an adjusted basis, it lost 20 cents per diluted share in its latest quarter compared with an adjusted loss of 14 cents per diluted share a year earlier.
Revenue totalled $274 million, up from $258.8 million in the same quarter last year.
Direct-to-consumer revenue amounted to $129.6 million, up from $126.2 million a year ago, while wholesale revenue reached $128.2 million, up from $122.6 million.
Other revenue for the quarter amounted to $16.2 million, up from $10 million in the same quarter last year.
Bowden said the company’s gross margins were a particular highlight of the quarter because they grew significantly. They were aided by production efficiencies, higher pricing and favourable freight and duty costs.
The quarter also brought a wave of new tariffs in the spat between Canada and the U.S., but he said Canada Goose was able to mitigate the impacts, so they had an “immaterial” effect on the company.
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Tara Deschamps, The Canadian Press
This report by The Canadian Press was first published Nov. 5, 2026.
