Canadian Tire retail sales grew for the third quarter of this fiscal year
Canadian Tire Corporation released its third-quarter results for this fiscal year, with retail growth remaining strong and as a result announcing an annualized dividend increase as a result.
According to the national retailer and gas station operator, retail revenue growth remained strong, up 3.2% and up 5.9%, excluding petroleum, resulting in an annualized dividend increased from $7.10 to $7.20 per share.
"In a continued dynamic consumer environment, we grew retail sales for a third consecutive quarter," said Greg Hicks, president and CEO, Canadian Tire Corporation in written remarks accompanying the release of the fiscal reporting. "At the same time, we completed a transformative reorganization, a key building block to better operating efficiency and value creation under our True North strategy. Our confidence is reflected in our continued strategic investments, our dividend increase and our share repurchase program.
"Our Triangle Rewards program has real momentum and is contributing to loyalty sales growth. We announced a new Tim Hortons partnership in Q3, with new Royal Bank of Canada and WestJet programs on track to launch in 2026. Partnering with leading Canadian programs will accelerate our brand scale, our data insights, and sales—while rewarding loyalty in more parts of our customers' daily lives."
READ: Canadian Tire, Tim Hortons announce strategic partnership
Canadian Tire said that strong performance at its SportChek and Canadian Tire Retail in Ontario and Quebec helped drive retail sales. Canada Tire Retail sales were up 1.2%, as stronger growth in Ontario and Quebec was partially offset by Alberta.
Four of Canadian Tire Retail's five divisions grew, and Automotive was up for the 21st consecutive quarter. SportChek delivered its fifth consecutive quarter of comparable sales growth, up 4.2% against strong comparable growth in the prior year, helped by back-to-school and back-to-hockey sales.
Loyalty sales outpaced non-loyalty sales, with loyalty members up in the quarter, the company said. The company also announced a further expansion to its Triangle Rewards partnerships, with Tim Hortons becoming the fourth Canadian brand to partner with Canadian Tire. Previously announced partnerships with RBC and WestJet are expected to be in market in the first and second quarter of 2026, respectively.
The company's existing loyalty partnership with Petro-Canada added close to 70,000 linked members in Q3, reaching a total of 518,000.
What will certainly drive sales going into the fourth quarter is the release of the first Hudson's Bay Stripe collection of products in early December following the company’s acquisition of Hudson's Bay Company's brand assets earlier this year after the dissolution of the iconic Canadian retailer.
The first set of products will include the Hudson's Bay Point Blanket, classic striped holiday ornaments, and home and lifestyle pieces, including espresso sets, bedding, knitwear and totes.
"The Stripes have been part of Canada's story for generations and we're excited to offer this limited-edition capsule. We've partnered with the same long-standing vendors to ensure the quality, craftsmanship, and authenticity customers have come to expect from the Stripes, resulting in a meticulously selected limited collection," said Eva Salem, SVP, marketing and brand, Canadian Tire Corporation. "We encourage all Canadians to share their ideas for the future of Stripes."
