What's Happening With Canada Goose Stock Popping Off During Friday's Session?

Canada Goose Holdings Inc GOOS shares are trading higher by 13.24% to $21.29 Friday afternoon. Shares of the luxury winter clothing manufacturer are reversing higher following Thursday's marked weakness. The company Thursday morning reported third-quarter EPS and sales results were down year-over-year. The company also cut FY23 total revenue guidance.

What Happened?

Canada Goose reported third-quarter EPS of C$1.28, which is down from C$1.40 year-over-year. The company also reported third-quarter revenue of C$576.7 million, down from C$586.1 million year-over-year.

Canada Goose reported an ending third-quarter inventory of C$482 million, which is an increase from inventories of C$368.1 million year-over-year. The company cites lower-than-expected Asia Pacific sales due to COVID disruptions and inventory planning.

Canada Goose additionally cut FY23 total revenue guidance from a range of C$1.2 billion-C$1.3 billion to a new range of C$1.175 billion-C$1.195 billion.

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"We were pleased with accelerating growth in Mainland China toward the end of the quarter and continue to see promising signs of a strong local rebound to date," said Dani Reiss, Chairman and CEO.

"However, for most of the third quarter which includes December, our busiest month of the year, our performance was impacted by worse than expected COVID-19 related disruptions in Mainland China. This, combined with recent slowing momentum in North America set against a tough macro-economic backdrop, has led us to revise annual guidance. We believe these challenges are temporary and our brand strength and strategy position us well to drive profitable growth – which we look forward to discussing at our upcoming Investor Day."

According to data from Benzinga Pro, GOOS has a 52-week high of $34.45 and a 52-week low of $14.51.