Two Canadian companies released their fourth-quarter results this week, alongside other corporate updates that affect investors and customers alike.
Canada Goose reports $5M Q4 profit, year-over-year revenue up 22%
Canada Goose Holdings Inc. (TSX: GOOS) returned to profitability in its fourth quarter, reporting net income attributable to shareholders of $5.0 million, or $0.05 per diluted share, for the quarter ended March 31. That compares with a net loss of $3.1 million, or $0.03 per diluted share, in the same quarter a year earlier. Total revenue for the quarter reached $358.0 million, up from $293.2 million a year prior, representing a 22% year-over-year increase.
On an adjusted basis, Canada Goose reported adjusted earnings of $0.19 per diluted share in the quarter, an improvement from an adjusted $0.13 per diluted share a year earlier. For fiscal 2025, the company expects total revenue to grow in the low single digits compared with the prior year, and it anticipates adjusted net income per diluted share to increase by a mid-teen percentage over the full year. These targets reflect a focus on steady top-line growth while improving profitability.
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Lightspeed reports Q4 revenue up 25%
Lightspeed Commerce Inc. (TSX: LSPD) reported revenue of $230.2 million for the quarter ended March 31, up from $184.2 million in the same quarter last year. While the company still posted a GAAP loss of $32.5 million, or $0.21 per share, that result is a meaningful improvement from last year’s loss of $74.5 million, or $0.49 per share. On an adjusted basis, Lightspeed posted adjusted earnings of $8.5 million, or $0.06 per share, compared with an adjusted loss of $0.4 million in the prior-year quarter.
Three months after stepping back into the chief executive role on an interim basis, founder Dax Dasilva has been reappointed as Lightspeed’s permanent CEO. The company said the leadership change signals the start of a new phase focused on profitable growth. Dasilva described three core objectives for this phase:
- Accelerate software revenue growth;
- Increase adoption of Lightspeed’s financial services products; and
- Control costs and improve operational efficiency.
To boost software revenue, Lightspeed plans to invest in product innovation, redeploy account managers to pursue upsell opportunities, and focus on customer segments that typically adopt more software solutions. On the financial services side, the company aims to move more customers beyond payments to also use its capital and instant deposit offerings. Cost control is being pursued through workforce reductions, consolidation of events to virtual formats, tighter office footprints, and a review of global facilities and vendor contracts.
Last month the company announced reductions affecting about 280 employees, an action Lightspeed expects will reduce its operating expenses by approximately 10% in fiscal 2025. Chief financial officer Asha Bakshani indicated the company will perform a thorough review of its facilities and contracts to identify further opportunities for savings.
Lightspeed’s outlook and analyst reaction
Lightspeed noted that it books results in U.S. dollars. For the first quarter of fiscal 2025, the company expects revenue between $255 million and $260 million and adjusted earnings around $7 million. Over the course of the fiscal year, management said it targets at least 20% revenue growth and adjusted profit of at least $40 million.
Analysts viewed the quarter as confirmation that Lightspeed is prioritizing a balance between growth and profitability. The improved adjusted results and management’s public targets signal a shift toward more disciplined scaling while continuing to invest in product and customer expansion.
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Both Canada Goose and Lightspeed reported stronger revenue trends in their latest quarters, but their paths forward differ: Canada Goose is returning to profit with modest revenue guidance for the coming year, while Lightspeed is pursuing a clearly articulated plan to accelerate recurring software and financial-services revenue while reducing costs. Investors should weigh each company’s near-term profitability targets against longer-term growth prospects when considering exposure to these Canadian-listed names.