Groupe Dynamite Inc. (TSE:GRGD)
TSX:GRGD
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Earnings Data
Report Date
Sep 16, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.79Last Year’s EPS
0.57Same Quarter Last Year
Strong Buy
Based on 11 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed strong operational and financial momentum: robust top-line growth (+37%), significant margin expansion (gross margin +530 bps; adjusted EBITDA margin +730 bps), doubling of adjusted EPS, meaningful e-commerce and store productivity gains, and disciplined capital allocation with share buybacks. Headwinds noted include higher absolute SG&A, modest free cash flow due to tax timing, some category (denim) and Canadian softness, a temporary tailwind from lower tariffs that will be lapped later in the year, and freight inflation. On balance, the positive financial performance, margin expansion, healthy balance sheet metrics and reaffirmed guidance outweigh the manageable challenges discussed.Company Guidance
Strong Top-Line Growth
Total revenue increased 37% year-over-year to CAD 310.6 million for Q1 2026, driven by comparable store sales growth of 22.6% (24.7% constant currency), contributions from new store openings (including two U.K. locations), and momentum across both banners.
Outstanding Gross Margin Expansion
Gross margin reached 67.4% (highest in four years), expanding by 530 basis points year-over-year in Q1, driven by stronger IMUs, lower tariff pressure versus prior year, controlled merchandise costs and lower markdowns.
Substantial EBITDA and Profitability Improvement
Adjusted EBITDA increased 71.3% to CAD 114.4 million, with adjusted EBITDA margin expanding to 36.8% (up 730 bps year-over-year). Operating income increased 80.1% to CAD 79.8 million and net earnings rose 89.4% to CAD 51.7 million.
Earnings Per Share and Adjusted Net Earnings
Adjusted net earnings increased 101.8% to CAD 57.3 million and adjusted diluted EPS doubled from CAD 0.25 to CAD 0.50 per share year-over-year.
E-commerce and Digital Momentum
Online revenue increased 35.7% to CAD 50.6 million. E-commerce growth was supported by traffic and conversion improvements, and the company is targeting a 25% digital penetration (penetration held flat in Q1 but digital two-year stack was ~57%).
Retail Productivity and Transaction Growth
Sales per square foot reached CAD 1,001, up 32.4% year-over-year. Total transactions grew approximately 19% and average unit retail increased ~15%, indicating strong pricing power and product demand.
Strong U.S. Performance and International Expansion
Company now operates across 41 U.S. states with accelerating U.S. strength; successful UK entry (Oxford Street and Bluewater) validated international appeal and early outperformance in those locations.
Capital Efficiency and Balance Sheet Strength
Return on assets improved to 38.6% (from 23.8%) and return on capital employed increased to 74.4% (from 44.5%). Net leverage was 1.01x and CAD 292 million remained available under credit facilities, providing financial flexibility.
Active Capital Returns to Shareholders
Repurchased 461,200 shares under NCIB for ~CAD 38.6 million and completed an additional ~CAD 51 million repurchase for cancellation from the principal shareholder (~CAD 89.6 million total repurchased in Q1 activity).
Operational Investments and Efficiency Gains
U.S. distribution center approaching full ramp-up improving speed and scale; capex guidance maintained at CAD 100–110 million largely directed to high-return store growth, digital and operational infrastructure; over 50% of inventory dollars remain open-to-buy to preserve agility.
TSE:GRGD Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TSE:GRGD Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Jun 16, 2026 | C$74.44 | C$47.74 | -35.87% |
Apr 01, 2026 | C$76.59 | C$75.61 | -1.28% |
Dec 09, 2025 | C$76.08 | C$81.63 | +7.29% |
Sep 10, 2025 | C$40.13 | C$46.27 | +15.31% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Groupe Dynamite Inc. (TSE:GRGD) report earnings?
Groupe Dynamite Inc. (TSE:GRGD) is schdueled to report earning on Sep 16, 2026, Before Open (Confirmed).
What is Groupe Dynamite Inc. (TSE:GRGD) earnings time?
Groupe Dynamite Inc. (TSE:GRGD) earnings time is at Sep 16, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is TSE:GRGD EPS forecast?
TSE:GRGD EPS forecast for the fiscal quarter 2026 (Q2) is 0.79.