Aritzia Q1 Revenue Surges 33% Exceeding Estimates

Aritzia Inc. reported Q1 revenue of $215.6mln, up 33% YoY, beating estimates. The Canada-based fashion company saw growth across all categories, including activewear, blazers, and suiting. Aritzia operates 115+ boutiques throughout North America and offers a range of brands under its umbrella. The company's distribution network includes three distribution centers in Canada and the US, servicing its boutiques and e-commerce business.

Aritzia Inc. (TSX: ATZ) reported robust financial results for the first quarter of fiscal 2026, ending June 1, 2025. The Canada-based fashion retailer achieved net revenue of $663 million, representing a 33% year-over-year (YoY) increase, which surpassed analyst expectations. The company's revenue growth was driven by strong performance across all categories, including activewear, blazers, and suiting.

Aritzia's comparable sales grew by 19% YoY, fueled by double-digit growth in all channels and geographies. The company's net revenue in the United States increased by 45%, comprising 62.3% of the total net revenue. Retail net revenue increased by 34%, while eCommerce net revenue grew by 30%. The company's gross profit margin expanded by 320 basis points to 47.2%, and adjusted EBITDA increased by 76.9% to $95.3 million.

The company's distribution network, which includes three distribution centers in Canada and the US, played a significant role in supporting its multi-channel business. Aritzia operates 115+ boutiques throughout North America, offering a range of brands under its umbrella.

Analysts have provided various estimates and ratings for Aritzia's stock. Desjardins analyst C. Li expects the company to post earnings of $0.33 per share for Q1 2026 [1]. The consensus estimate for Aritzia's full-year earnings is $1.78 per share. Other analysts have also increased their price objectives on the stock, reflecting positive sentiment towards Aritzia's growth prospects.

Aritzia's strong Q1 2026 results underscore the company's resilience and growth potential in the face of macroeconomic challenges. The company's strategic focus on geographic expansion, digital growth, and increased brand awareness positions it well for future growth opportunities.

References:
[1] https://www.marketbeat.com/instant-alerts/desjardins-comments-on-aritzias-q1-earnings-tseatz-2025-07-10/