(Toronto) Roots earned a profit of about $2.2 million in the third quarter, as sales fell 8.5% from the same period last year.
The Toronto clothing retailer’s net profit was down from 10.8 million in the third quarter of 2021.
Earnings per share were 5 cents for the most recent quarter, compared with 25 cents a year ago.
Analysts on average had expected net profit of $8.1 million and earnings per share of 19 cents, according to forecasts compiled by financial data firm Refinitiv.
Quarterly sales totaled 69.8 million, down from 76.3 million last year.
Roots chief executive Meghan Roach said the quarter saw “steeper” discounts and the company focused more on fashion products, rather than fleeces, as people were returning to the office and participating in events.
“We continue to strategically manage our base inventory to maintain our promotional discipline; however, we expect these factors to continue to impact our sales and margins in the near term,” she wrote in a statement.