Canada Goose said it is on track to meet its target for 2022 revenues of over 1 billion Canadian dollars (€681.0m-$799.1m), as its sales doubled in the fiscal first quarter ended June 30 to C$56.3 million (€38.3m-$45.0m) from $26.1 million the year earlier amid significant growth in all geographic regions.

DTC revenues tripled to C$29.4 million (€20.0m-$23.5m) from C$10.4 million, thanks to a lower level of Covid-19 disruptions, e-commerce growth and retail expansion. However, about 20 percent of total trading days were lost to temporary closures across the company’s global store network in the quarter.

Wholesale revenues also roughly tripled, reaching C$25.8 (€17.6m-$20.6m) as compared to C$8.7million, with higher volumes being shipped to wholesale and international distributor partners due to the decrease in Covid disruptions. Other revenues slipped to C$1.1 million (€0.7m-$0.9m) from C$7.0 million a year earlier, when the company temporarily engaged in the manufacture of personal protection equipment (PPE) to support Covid-19 relief efforts.

Global e-commerce revenues increased by 80.8 percent in the quarter, with triple-digit growth in the EMEA and Asia-Pacific regions, led by the U.K. and Mainland China. Total DTC revenues soared by 188.7 percent in Mainland China, where Canada Goose opened three stores in July, with three others planned for the autumn.

Sales in Canada grew by 126.1 percent, excluding C$7.0 million of PPE sales in the year-earlier quarter and despite “elevated” store closures in the country during the period.

The gross margin expanded to 54.5 percent from 18.4 percent the year earlier. The DTC segment’s gross margin grew to 72.8 percent from 66.3 percent, driven by the benefit of higher sales volumes at retail stores and lower inventory provisions of C$0.2 million (€0.1m-$0.2m). The gross margin at wholesale rose to 35.3 percent from 17.2 percent, due to a higher proportion of revenues coming from the company’s wholesale partners as compared to international distributors.

As the company’s revenues continue to be heavily concentrated in its third and fourth fiscal quarters, Canada Goose was not profitable in the latest quarter. The operating loss was broadly steady on the first quarter of the previous fiscal year, inching up to C$60.7 million (€41.3m-$48.5m). The net loss amounted to C$56.7 million (€38.6m-$45.3m), compared with a loss of C$50.1 million in the year-ago period.

For the second quarter of the fiscal year, Canada Goose is projecting low double-digit wholesale revenue growth and DTC revenues roughly one and a half times higher than last year.

Canada Goose indicates that it has no significant exposure to the supply chain problems faced by most of its competitors. It continues to rely on its eight Canadian factories, which are all operational and reaching more normalized levels, with extra shifts offsetting the remaining distancing requirements implemented to protect its workers.