Jewett-Cameron Trading Company (JCTC) Q3 2026 earnings summary

Executive summary

• Sales for the quarter ended May 31, 2026, declined 22% year-over-year, primarily due to the loss of a major cedar fencing supply agreement and weak pet product demand.

• Net loss for the quarter was $814,330 ($0.23 per share); nine-month net loss was $6,007,397 ($1.71 per share).

• Gross margin improved to 18.0% for the quarter (vs. 15.0% prior year), but nine-month margin fell to 8.1% (vs. 17.5%) due to higher tariffs, shipping costs, and inventory liquidations.

• Greenwood segment revenues rose 43% year-over-year, offsetting some declines in other segments.

• The company received $1.01 million in tariff refunds following a Supreme Court ruling, partially offsetting cost pressures.

Financial highlights

• Quarterly sales: $9.85 million (down from $12.61 million year-over-year); nine-month sales: $29.04 million (down from $30.93 million).

• Operating expenses for the quarter were $2.54 million, flat year-over-year; nine-month operating expenses rose to $8.01 million (from $7.72 million).

• Cash and cash equivalents increased to $1.06 million from $226,213 at prior fiscal year-end.

• Inventory reduced by $8.43 million (53%) to $7.45 million due to liquidation of excess stock.

• Bank indebtedness decreased to $1.33 million from $2.10 million.

Outlook and guidance

• Management expects continued challenges from high tariffs, inflation, and weak consumer discretionary spending into fiscal 2027.

• Strategic focus is on core fencing and pet product lines, cost reduction, and asset sales to improve liquidity.

• The company is evaluating mergers, acquisitions, divestitures, and other strategic options.