Canadian outdoor lifestyle retailer Roots has reported a 4.6% increase in total sales for the third quarter (Q3) of the fiscal year 2021 (FY21), which ended on 30 October.

The retailer registered sales of C$76.3m ($59.3m) for the three-month period, up from C$72.9m ($56.7m) in the corresponding period of last year.

Sales in Roots’ direct-to-consumer (DTC) segment, which consists of its corporate retail stores and e-commerce business, amounted to C$63.4m for the quarter.

Driven by expansion in its DTC gross margin and increases in other sales, Roots’ gross profit rose from C$43.6m in Q3 2020 to C$46.4m.

The company earned a total of C$10.8m in the quarter, or C$0.25 for each of its shares, compared with C$10.3m a year earlier.

Roots president and CEO Meghan Roach said: “We are pleased to report higher gross margin and adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) compared to our fiscal 2019 and 2020 third quarters.

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“These results reflect the successful execution of our strategy to date, with consumers embracing our brand and product offering during the quarter.”

During the quarter, most of Roots’ stores run by its international operating partner were either temporarily closed or operating in reduced hours due to the Covid-19 pandemic.

The retailer currently operates more than 100 retail stores across Canada and two in the US, as well as more than 100 partner-operated stores.

Roach added: “Our concerted efforts over the last seven quarters to reduce discounts resulted in promotional days declining from 81 in Q3 2019 and 49 in Q3 2020 to four in Q3 2021.

“Combined with our elevated assortments and brand-building marketing, these actions significantly improved our key selling metrics, and we saw double-digit growth in DTC sales during non-promotional periods.

“We were also pleased to achieve these results in light of the industry-wide supply chain disruptions, which limited our ability to showcase new products and to merchandise our full offerings online and in-store.”