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Roots sales are down on lower demand for its sweatpants

Our overconsumption of fast fashion and its complicated supply chain continue to have massive environmental impacts. Now, shoppers are demanding more sustainable clothing options. Brands and retailers are responding with new items and promoting their green and eco-friendly lines. But how can consumers tell if this is real change that will help the planet? Or are retailers greenwashing their way into Canadian closets? Kayla McLean reports for The New Reality – May 27, 2023

Roots Corp. reported a first-quarter loss of $8 million compared with a loss of $5.3 million a year earlier, as its sales edged down on lower demand for its popular sweatpants.

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Roots chief executive Meghan Roach says the results aligned with the company’s internal projections and reflected a challenging economic environment.

The retailer says the loss amounted to 19 cents per diluted share for the quarter ended April 30 compared with a loss of 13 cents per diluted share in the same quarter last year.

Sales in the quarter totalled $41.5 million, down from $43.1 million a year ago.

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Roots says the decline in sales came as its direct-to-consumer sales amounted to $35.4 million, down from $37.4 million in the same quarter last year.

Partner and other sales, which includes wholesale Roots branded products, licensing to select manufacturing partners and the sale of certain custom products, totalled $6.1 million, up from $5.7 million a year ago.

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