Aritzia’s comparable sales jump for 13th consecutive quarter
Aritzia reported on Wednesday a comparable sales jump of 6.3 percent in its most recent quarter, marking the company’s thirteenth consecutive quarter of positive comparable sales growth.
The Canadian fashion retailer said comparable sales were primarily driven by the company's e-commerce business in its third quarter ended November 26, 2017.
Meanwhile, net revenue increased by 9.6 percent to $204.4 million, up from $186.5 million in the third quarter last year. The increase was attributed to seven new store openings and five expanded or repositioned stores since the same period last year.
“Our strong revenue and adjusted EBITDA performance is a result of our diligent focus on executing against our long-term growth strategy,” said Aritzia Founder and CEO Brian Hill, in a news statement.
“We believe our measured approach to eCommerce and store growth ensures thoughtful decision-making today to grow revenue, propel our brand, and invest in infrastructure to drive long-term value creation. We remain competitively positioned due to our vertically-integrated sourcing model and our focus on offering beautiful, high-quality products at an attainable price point with exceptional customer service."
Adjusted net income increased by 11.4 percent to $30.6 million, or $0.26 per diluted, compared to adjusted net income of $27.5 million, or $0.23 per diluted share reported in the third quarter last year.
The company said strong comparable sales continued into the holiday season, kick starting fourth quarter results.
In the fourth quarter, the Vancouver-based retailer has also already repositioned and expanded two stores, and plans to open two new stores including a new Aritzia store in Los Angeles at South Coast Plaza and a Babaton store in Toronto's Square One.
"As we look ahead, we will continue to execute on our successful strategy by enhancing our product supply chain, developing beautiful, high-quality products, capitalizing on premiere real estate locations, and growing our e-commerce business and omni-channel capabilities,” added Hill.
Aritzia, which went public in October 2016, posted gross profit of $265.5 million in fiscal 2017.
The company was founded in 1984 and is based in Vancouver, Canada.
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