By
Bloomberg
Published
May 4, 2024
Aritzia Inc. initiated its sales outlook for the fiscal year, indicating a US expansion and revamped styles are helping it regain customers that it lost during the pandemic.
The Vancouver-based retailer expects fiscal-year revenue of C$2.52 billion to C$2.62 billion ($1.84 billion to $1.92 billion), according to a statement Thursday. The high end matches the average analyst forecast of C$2.62 billion and represents growth of 8% to 12%. Real estate expansion and e-commerce momentum will fuel the improvement, Chief Executive Officer Jennifer Wong said.
Fourth-quarter earnings per share excluding some items was C$0.34 on revenue of C$682 million, beating the average analyst projection of C$0.32.
Aritzia’s stock tumbled 42% in 2023 as it was plagued by pandemic-era inventory issues. It’s attempting to win back shoppers with new stores, including flagships in New York City and Chicago, and new styles. The stock has rallied 31% this year through Thursday’s close.
“Although the consumer environment remains mixed, clients responded well to our product launches and to the improved level of newness in our assortment,” Wong said.
The fashion chain expects to open 11 to 13 boutiques this fiscal year. It opened five boutiques in fiscal 2024.