Another Beat, Another Raise; Broad-Based Strength Continues

Research evidence excerpt

Another Beat, Another Raise; Broad-Based Strength Continues

Canada | Dept. Stores & Specialty Softlines

Aritzia Inc EquityJulyResearch10, 2026

TARGET | ESTIMATE CHANGEAnother Beat, Another Raise; Broad-Based

RATING BUYStrength Continues

PRICE C$148.98^

ATZ delivered another exceptional quarter, with 1Q27 sales, comps, margins,

C$175.00 (C$165.00) |

and EPS all ahead of expectations, driven by broad-based strength across PRICE TARGET | % TO PT +17%

the U.S., Canada, retail, and digital channels. Encouragingly, momentum 52W HIGH-LOW C$174.52 - C$70.70

accelerated into 2Q, prompting a raise to FY27 guidance. We remain FLOAT (%) | ADV MM (USD) 80.4% | 99.94

constructive on ATZ’s long runway for growth, supported by U.S. expansion, MARKET CAP C$17.7B | C$17.7B

digital adoption, and ongoing structural margin improvement TICKER ATZ CN

^Prior trading day's closing price unless otherwise

What We DID LIKE In The Quarter noted.

1) Another Meaningful Beat Driven By Broad-Based Strength... 1Q27 net revenue increased 43.4%

to C$951.0M, ahead of cons: C$921.9M, while comparable sales increased 35.1% vs cons: of 31.0%. FY (Mar) CHANGE TO JEFe JEF vs CONS

Mgmt highlighted broad-based strength across geographies, channels, and categories, supported 2027 2028 2027 2028

by strong Spring/Summer demand and healthy inventory positioning. REV +4% +5% +5% +3%

EPS +3% +5% +6% +1%

2)... Led By U.S. And Digital Momentum. U.S. revenue increased 54.5% to C$638.1M, while Digital

revenue accelerated 55.5% to C$284.7M. The mobile app has reached 2M downloads. International 2027 (C$) Q1A Q2 Q3 Q4 FY

e-commerce sales increased nearly 170% Y/Y. EPS 0.96 1.04 1.41 1.56 4.95

PREV 0.90 0.87 1.46 1.57 4.80

3) Record Gross Margins Despite Tariff Headwinds. Gross margin expanded 310bps to a record