Retailer Canadian Tire reports third-quarter profit, raises dividend

Canadian Tire Corp. Ltd. raised its dividend as it reported a profit in its latest quarter compared with a loss a year ago when it took a large one-time charge.

The retailer says it will now pay a quarterly dividend of $1.775 per share, up from $1.75 per share.

The increased payment to shareholders came as Canadian Tire reported net income attributable to shareholders of $200.6 million, or $3.59 per diluted share. The result compared with a loss attributable to shareholders of $66.4 million or $1.19 per diluted share in the same quarter last year when it recorded a charge related to its deal to buy back the 20 per cent stake in Canadian Tire Financial Services that was owned by Scotiabank.

On a normalized basis, Canadian Tire says it earned $3.59 per diluted share in its latest quarter compared with a normalized profit of $2.96 per diluted share a year earlier.

Revenue for the quarter totalled $4.19 billion, down from $4.25 billion in the same quarter last year.

Consolidated comparable sales were down 1.5 per cent compared with a year earlier. Comparable sales at its Canadian Tire stores fell 2.2 per cent, while SportChek comparable sales rose 2.9 per cent. Mark’s comparable sales dropped 2.3 per cent.

This report by The Canadian Press was first published Nov. 7, 2024.

Companies in this story: (TSX:CTC.A)