Luxury parka maker Canada Goose will stop using fur in all products by the end of 2022 following years of activist pressure

Canada Goose
Workers piece together outerwear on the manufacturing floor of Canada Goose’s facility in Toronto.

  • Canada Goose will stop purchasing fur in 2021 and end all manufacturing with fur by the end of 2022.
  • It previously defended using fur trims, saying these disrupt air flow and guard against frostbite.
  • Animal rights groups and activists have pressured the outerwear company to stop using fur for years.
  • See more stories on Insider’s business page.

Canada Goose is going fur-free after years of pressure from animal rights activists to do so.

The outerwear company will stop buying fur this year and stop making products with it by the end of 2022, according to a press release issued Thursday. Canada Goose says the decision was partly inspired by a focus on “expanding lifestyle relevance.”

“Our focus has always been on making products that deliver exceptional quality, protection from the elements, and perform the way consumers need them to; this decision transforms how we will continue to do just that,” said Dani Reiss, the company’s president and CEO, in the release.

Animal rights groups have criticized the company for years over its use of coyote fur and goose down. The company previously stood by its use of fur in its popular jackets and other products, saying animal fur trims disrupt cold air flow and guard against frostbite.

“This is a significant step forward toward building a more humane and sustainable world,” said Barbara Cartwright, the CEO of Humane Canada, in the release. “We applaud Canada Goose’s commitment to end the use of all fur by late 2022 and the leadership position they are taking in their industry.”

The animal-rights group People for the Ethical Treatment of Animals, which has been one of Canada Goose’s biggest critics, welcomed the news.

“PETA and its affiliates are suspending their international campaigns against Canada Goose today, after years of eye-catching protests, hard-hitting exposés, celebrity actions, and legal battles, as the company has finally conceded and will stop using fur – sparing sensitive, intelligent, coyotes from being caught and killed in barbaric steel traps,” said the organization’s president, Ingrid Newkirk, in a statement. “PETA will now re-engage the company to push for an end to its use of feathers, which geese and ducks continue to suffer for.”

Canada Goose previously announced plans to achieve net-zero greenhouse gas emissions by slashing them by more than 80% by 2025.

Earlier this year, the company debuted its most sustainable parka to date, the Standard Expedition Parka. Canada Goose says this one generates 30% less carbon and uses 65% less water in manufacturing compared to its in-line Expedition Parka.

Macy’s, Bloomingdale’s, and Gucci are among the other big names who have gone fur-free in recent years in response to growing consumer interest in sustainability.

Read the original article on Business Insider

Canada Goose spikes 30% on stronger-than-expected revenue driven by online demand

canada goose
  • Canada Goose Holdings spiked 30% on stronger-than-expected revenue driven by a rise in online demand. 
  • Shares of the luxury parka maker soared to $45.60 on Thursday, the highest level since 2018.
  • Canada Goose attributed the increase in sales to the online shopping boom brought about by the pandemic, as well as strong demand from Chinese customers.
  • Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

Shares of Canada Goose Holdings spiked 30% on stronger-than-expected revenue driven by a rise in online demand. Shares of the luxury parka maker soared to $45.60 on Thursday, the highest level since 2018.

The company on Thursday reported its third-quarter earnings that beat Wall Street estimates. Sales of Canada Goose ending December 27 rose 5% to $474 million compared to the $452 million in the year-ago period. 

The Toronto-based company attributed the increase in sales to the online shopping boom brought about by the pandemic as well as continued strong demand from Chinese customers. 

Global e-commerce revenue increased by 39.3% while direct-to-consumer revenue in mainland China increased by 41.7%. Total revenue increased for the first time since the pandemic began last year.

“This marks a return to growth for Canada Goose and our biggest quarter, and we did it with strong profitability and cash flow,” said company chief executive Dani Reiss said on a conference call with analysts on Thursday.

This quarter typically accounts for the bulk of the annual sales of companies that sell winter equipment. Despite closing seven out of the 28 brick-and-mortar stores, the momentum for e-commerce was more than enough to compensate for Canada Goose’s top line.

The maker of the popular down jackets has since been ramping up its expansion overseas, particularly in China. It even collaborated with Chinese designer Angel Chen for a new collection. Chen is the first-ever Chinese designer to collaborate with apparel giant H&M.

“We saw strong double-digit growth across all of our major markets, including China, and this growth is accelerating into the fourth quarter,” Chief Executive Officer Dani Reiss said in an interview with Reuters.

Europe is also a market Canada Goose aims to tap further, according to Reis.

“Our European business has performed very well, our revenue grew almost 30%…despite the impacts of store closures and international travel restrictions,” Reiss said. “While we remain in an uncertain world, we are very encouraged by our strong momentum as we finish the fiscal year.”

The company did not provide an outlook for fiscal year 2021. Shares of Canada Goose traded at $42.88 as of 3:30PM E.T. on Thursday. 

Read the original article on Business Insider