Groupe Dynamite (GRGD) Q2 2026 earnings summary

Executive summary

• Achieved strong Q2 2026 results with revenue of $423.6 million, 29.8% year-over-year growth, and gross margin at 68.8%, up 520 bps year-over-year.

• Adjusted EBITDA margin reached a record 44.3% in Q2 2026, with adjusted diluted EPS up 68.7% year-over-year.

• Six-year track record of progressive improvement in brand and financial metrics, driven by a luxury-inspired business model and premiumization strategy.

• E-commerce accounted for 31.5% of Q2-26 revenue, with online sales up 31.5% to $61.4 million.

• Opened 7 new stores in Q2 2026 (6 US, 1 UK), with retail sales per square foot up 28.9% to $1,056.

Financial highlights

• Q2 2026 revenue: $423.6M, up from $326.4M in Q2 2025; comparable store sales growth: 10.3% (12.3% constant currency).

• Gross profit: $291.6M (+40.5% YoY); gross margin: 68.8%.

• Operating income: $156.2M (+60.5% YoY); adjusted EBITDA: $187.9M (+55.9% YoY, 44.3% margin).

• Net earnings: $113.4M (+77.5% YoY); adjusted diluted EPS up 68.7% to $0.96.

• Free cash flow: $109.5M in Q2 2026; cash balance of $31.9M and $312M available credit.

Outlook and guidance

• Fiscal 2026 guidance raised: comparable store sales growth 12–14%, total revenue growth 25–27%, adjusted EBITDA margin 39.5–40.5%.

• 24–26 new store openings planned for fiscal 2026, including five in the UK; targeting 350 stores by end of 2028.

• CAPEX expected at $100–110M.

• Guidance reflects conservative assumptions on fuel inflation and macroeconomic conditions.