After reporting a growth surge in China, Canada Goose experiences a 16% jump in stock price.

• Canada Goose shares soared 16% on Thursday after reporting fiscal fourth-quarter earnings.
• Additionally, the company revealed that it anticipates year-over-year sales growth for fiscal year 2025.
• Earlier this year, Canada Goose announced that it would be reducing its corporate workforce by 17%.

On Thursday, the company's shares increased by 16% after reporting earnings for the fiscal fourth quarter and forecasting year-over-year sales growth for fiscal year 2025.

Here's how the company did:

• EPS of 5 Canadian cents may not meet expectations of 7 Canadian cents.
• LSEG expected revenue of CA$315.5 million (US$232 million), but actually generated CA$358 million (US$263 million).

Revenue increased 22% from the same period a year ago.

Canada Goose's chief financial officer, Neil Bowden, stated on an earnings call with analysts that store comparisons were "relatively flat," but year-over-year sales growth was led by locations in Greater China, which saw a 29.7% increase. The broader Asia-Pacific region, excluding Greater China, was up 29.1%, and North American sales saw an increase of 24.5%.

The net income for the fiscal fourth quarter ended March 31 was CA$7.6 million, or 5 Canadian cents per share, compared to a loss of CA$10 million, or 3 Canadian cents per share, in the previous year.

The growth in Hong Kong and Macao was driven by domestic shopping in the Chinese mainland and mainland Chinese tourists.

The company's Lunar New Year marketing campaign and the longer peak selling period helped boost online and in-store sales during the period.

The finance chief stated that the company anticipates revenue growth of mid-single digits in the next fiscal year, driven by advancements in the direct-to-consumer business. He also predicted comparable store sales growth in the low single digits.

According to Bowden, the company's performance in China and Asia Pacific over the past three months is consistent with the expectation of mid-single-digit growth for the luxury business. In contrast, North America has been facing "a little bit more pressure," he stated.

In March, Canada Goose announced that it would cut 17% of its corporate workforce. The company reported that the layoffs resulted in about 20 million Canadian dollars, or around $14.7 million, in productivity improvements and cost savings for the fiscal fourth quarter.