Retailer Roots reports $8M Q1 loss, sales down from year ago

TORONTO –

Roots Corp. reported a first-quarter lack of $8 million in contrast with a lack of $5.3 million a 12 months earlier, as its gross sales edged down on decrease demand for its in style sweatpants.

Roots chief govt Meghan Roach says the outcomes aligned with the corporate’s inner projections and mirrored a difficult financial surroundings.

The retailer says the loss amounted to 19 cents per diluted share for the quarter ended April 30 in contrast with a lack of 13 cents per diluted share in the identical quarter final 12 months.

Sales within the quarter totalled $41.5 million, down from $43.1 million a 12 months in the past.

Roots says the decline in gross sales got here as its direct-to-consumer gross sales amounted to $35.4 million, down from $37.4 million in the identical quarter final 12 months.

Partner and different gross sales, which incorporates wholesale Roots branded merchandise, licensing to pick out manufacturing companions and the sale of sure customized merchandise, totalled $6.1 million, up from $5.7 million a 12 months in the past.

Roach famous the corporate noticed power in gross sales of its clothes, skirts and activewear.

“While softness in demand for traditional fleece bottoms resulted in an overall year-over-year sales decline, our success in broadening our product range underscores the capacity of the brand to diversify and attract new customers,” Roach mentioned in assertion.

This report by The Canadian Press was first revealed June 8, 2023