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The North West Company (NWC) investor relations material

The North West Company Q3 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q3 2025 earnings summary10 Dec, 2025

Executive summary

  • Net earnings increased 12.9% year-over-year to $41.1 million, driven by improved gross profit rates and lower expenses despite a 0.5% decrease in sales.

  • The Next 100 initiative contributed to margin gains, operational efficiency, and improved profitability.

  • Sales were impacted by reduced government funding in Canada and a lower Permanent Fund Dividend in Alaska.

  • A quarterly dividend of $0.41 per share was declared, payable January 15, 2026.

Financial highlights

  • Consolidated sales decreased 0.5% year-over-year to $634.3 million, with same-store sales down 1.7%.

  • Gross profit rose 1.4% to $217.1 million, with the gross profit rate up 64 basis points year-over-year.

  • Net earnings grew 12.9% to $41.1 million; diluted EPS was $0.82, up from $0.72 last year.

  • Expenses decreased by 1% and were down 13 basis points as a rate to sales.

  • EBIT increased 8.5% to $58.7 million; EBITDA rose 6.5% to $88.9 million.

Outlook and guidance

  • Sales in Q4 are expected to remain pressured by continued reductions in government funding, with some offset from First Nations child and care settlement payments.

  • Settlement payment distribution is expected to ramp up in 2026 and continue for several years.

  • Next 100 program initiatives, including private label expansion and supply chain optimization, are expected to deliver further benefits through 2027.

  • Management expects continued value delivery to customers and shareholders from the Next 100 strategy.

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Frequently asked questions

The North West Company Inc. (Northwest) through its subsidiaries, is a retailer of food and everyday products and services to rural communities and urban neighborhood markets in Canada, Alaska, the South Pacific, and the Caribbean. The Company's segments include Canadian operations, which includes it full-service chain under the Northern banner, as well as other formats under the trading names Giant Tiger, Arctic Co-operatives Ltd., Cost-U-Less, and North Mart; International operations consisting of its Alaska Commercial Company, Cost-U-Less and Stores Specialists Inc.; U.S.A. corporate services; Ventures operations holding company; and Corporate operations.

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