Canada Goose sees hit to 2020 profit, sales from coronavirus

Earnings

Canada Goose brand parkas in a store in New York.

Noam Galai | WireImage | Getty Images

Canada Goose said on Friday lower store traffic in China and travel restrictions due to the coronavirus epidemic would impact its revenue and lead to a smaller profit in 2020, sending its shares down 4%.

The virus outbreak has forced several luxury brands, including Capri Holdings and Ralph Lauren, to shut stores and cut their forecasts.

The parka maker expects revenue to grow between 13.8% and 15%, compared with its prior forecast of at least 20% growth.

That translates to C$945 million ($710 million) to C$955 million, a hit of up to C$51.6 million. Analysts were expecting C$1.03 billion, according to IBES data from Refinitiv.

It forecast full-year adjusted profit growth to be in the range of 2.2% decline to 0.7% rise from a year earlier, compared with a prior forecast of at least 25% growth.

The forecast of C$1.33 per share to C$1.37 per share was below the average analysts’ estimate of C$1.68.

Articles You May Like

FDA approves Eli Lilly’s weight loss drug Zepbound for sleep apnea, expanding use in U.S.
GOP Budget Squabble Puts The Older Americans Act At Risk
CFPB takes aim at ‘bait-and-switch’ credit card rewards — consumers forfeit about $500 million worth each year
Top Wall Street analysts recommend these dividend stocks for higher returns
Why the ‘great resignation’ became the ‘great stay,’ according to labor economists

Leave a Reply

Your email address will not be published. Required fields are marked *