Investors’ stock news: Group Dynamite’s Q2 profit jumps to $63.9 million

The fashion retailer, which operates under the garage and explosives banner, said its profit was 56 cents per share for the August 2 quarter, up from 38 cents per share in the same quarter last year. Based on the adjustment, Explosives Group said it earns 57 cents per diluted share, up from 40 cents per diluted share a year ago.

Revenues over the 13-week period totaled $326.4 million, up from $239.1 million a year ago, while its comparable store sales increased by 28.6%.

In its outlook, Groupe Dynamite said comparable store sales are now expected to grow between 17.0% and 19.0% throughout the year, higher than earlier expectations of 7.5% to 9.0%. It also raises expectations for adjusted earnings, with tax, tax, depreciation and amortization margins ranging from 32.0% to 33.5%, compared to previous guidance ranging from 30.3% to 32.3%.

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Roots reports a net loss of $4.4 million in the second quarter despite summer marketing campaign

Roots Corp. has provided some buzzing marketing campaigns and brand collaborations throughout the summer to attract retailers’ traffic, but will still report losses during this period.

The Toronto-based apparel maker said on Wednesday that its net loss in the second quarter narrowed to $4.4 million, compared with a loss of $5.2 million a year ago. Results for the period ended August 2 totaled 11 cents per share for the quarter, compared with a loss of 13 cents per share a year ago. Meanwhile, sales in the second quarter reached $500.8 million, up from $47.7 million.

ROTES CEO Meghan Roach told financial analysts on a conference call Wednesday that the company’s sales of about 30% in the first half of the year are typical, usually losing as it enters the fall and winter.

But despite tensions in trade relations between Canada and the United States, the second quarter results of this year have made shoppers more cautious. “While the global operating environment is full of vitality, Rots is still building a positive momentum as we enter the second half of the year,” Roots Chief Financial Officer Leon Wu said in a call with Roach.

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Much of this momentum comes from direct-to-consumer sales, including corporate retail stores and e-commerce sales. In the second quarter, direct-to-consumer sales totaled $41 million, up 12.7% from the previous year. Direct-to-consumer comparable sales growth was 17.8%.

Wu sees this increase as a reflection of the company’s spring and summer collections and recent marketing activities. Roach said these movements help in entrenched engagement and make brands more accessible. In the examples included in the event, the roots transform the parking lot into a natural-style space for golf and tennis.

The company also hosted a pop-up in Toronto to promote the summer capsule collection with the Canadian Ginger Ale Maker Dry. The collection includes hoodies and graphic t-shirts that contain logos and vintage ads from Dry Canada.

“These collaborations have intensified the brand’s heat, strengthened our legacy positioning and expanded our influence on the Canadian cultural moment,” Roach said. “We will continue to leverage selective partnerships and experiences to build brand perception and support sales throughout the journey until the fall.”

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Transat reports $399.8 million in Q3 profit, revenue a year ago

Transat in Inc. The latest quarterly net income reported was $399.8 million, compared with a loss of $39.9 million a year ago, with revenue rising 4.1%.

Air Transat’s parent company said it had profits of $9.97 per share for the quarter ended July 31, compared with a loss of $1.03 per share a year ago.

According to the adjustment, Transat said it lost 28 cents per share in the latest quarter, compared with an adjusted loss of 93 cents per share in the same period last year.