Canada Goose (GOOS) 47th Annual Raymond James Institutional Investor Conference summary

Business performance and financial highlights

• Achieved CAD 1.3 billion in revenue with a 16% CAGR since IPO, maintaining strong growth across regions and channels.

• D2C revenue up 15% YTD, with comp store sales at 7.5% and wholesale up 3%; gross margin expanded by 40 basis points.

• Operating margin compressed due to deliberate investments in marketing and store expansion, alongside a significant bad debt provision.

• Over the past three years, gross margin expanded by 200 basis points, driven by vertical integration and D2C channel growth.

• SG&A as a percentage of revenue has grown, but recent efforts focus on discipline and ensuring investments have clear objectives and returns.

Strategic initiatives and operational focus

• Four key imperatives: expanding year-round product, focused marketing investment, D2C channel growth, and operational efficiency.

• Product evolution includes expansion into knitwear, lightweight down, and fleece, with creative direction from Haider Ackermann.

• Marketing spend increased and shifted to upper funnel activities to drive brand heat and consistent engagement throughout the year.

• Store openings moderated to balance growth and comp performance, with 9 new stores expected this year after a more aggressive expansion in prior years.

• Inventory discipline improved through production restrictions and faster turnover, supporting healthier financials.

Regional performance and market outlook

• North America and Asia each contribute 40% of revenue, with Europe at 20%; D2C is 75% of total sales.

• U.S. market remains strong with sustained consumer spending and positive store and wholesale performance.

• China is viewed as early in its growth cycle, with 32 stores and strong brand recognition; further expansion planned in tier one and two cities.

• Continental Europe shows healthy performance, while the U.K. remains a soft spot due to local economic factors and reduced tourism.