Core Insights - The company reported record net revenue of $1.04 billion in Q3 2026, a 43% increase compared to the previous year, driven by strong demand for its Everyday Luxury offerings and digital initiatives [1][3] - Comparable sales grew by 34%, with significant growth across all channels and geographies, particularly in the United States where net revenue increased by 54% [1][3] - The company achieved a 55% increase in adjusted net income per diluted share, reflecting strong operational execution and brand momentum [1][3] Financial Performance - Net revenue increased by 42.8% to $1.04 billion, with comparable sales growth of 34.3% [3][4] - Gross profit margin improved by 30 basis points to 46.0%, with gross profit rising by 43.6% to $478.9 million [5][6] - Selling, general and administrative (SG&A) expenses as a percentage of net revenue decreased by 170 basis points to 27.9%, while SG&A expenses increased by 34.7% to $290.4 million [6][7] Income Metrics - Net income rose by 87.5% to $138.9 million, representing 13.4% of net revenue, with net income per diluted share increasing by 84.1% to $1.16 [7][9] - Adjusted EBITDA increased by 52.2% to $207.6 million, accounting for 20.0% of net revenue [8][9] - Adjusted net income grew by 58.1% to $131.2 million, with adjusted net income per diluted share increasing by 54.9% to $1.10 [9][10] Geographic Performance - In the United States, net revenue increased by 53.8% to $621.1 million, making up 59.7% of total net revenue [3][9] - Canadian net revenue rose by 29.0% to $419.2 million, driven by strong eCommerce growth and comparable sales [9][10] - Retail net revenue increased by 35.1% to $657.3 million, supported by new and repositioned boutiques [9][10] Future Outlook - For Q4 2026, the company expects net revenue between $1.100 billion and $1.125 billion, representing growth of approximately 23% to 26% [20][21] - The full fiscal year 2026 net revenue is projected to be between $3.615 billion and $3.640 billion, indicating a growth of approximately 33% from fiscal 2025 [21][22] - Adjusted EBITDA as a percentage of net revenue is expected to be approximately 16.5% to 17.0%, driven by operational efficiencies and strategic investments [21][22]