Canadian Tire Corporation Reports Strong Fourth Quarter and Full-Year 2025 Results and Significant Progress in First Year of True North Transformation Strategy

About this update from Canadian Tire Corporation, Limited

TORONTO , Feb. 18, 2026 /CNW/ - Canadian Tire Corporation, Limited (TSX: CTC) (TSX: CTC.A) (CTC or the Company) today announced results for its fourth quarter (14 weeks) and full-year (53 weeks) ended January 3, 2026. "Our standout fourth quarter capped a year of strong sales growth and market share gains," said Greg Hicks, President and CEO, Canadian Tire Corporation. "Customers visited us in greater numbers and we had one of the best holiday seasons in recent memory, a tribute to our retail readiness and the resilience of Canadian consumers in a year of economic uncertainty. "As we advance True North, we are strengthening our competitive differentiation. Our retail system brings together an enhanced retail network, supplemented by the power of partnerships, tied tightly with Triangle Rewards and in service of customer value. Our modernization will accelerate in 2026, advancing our progress towards our True North vision: stronger connections with customers, higher retail performance, and accelerated shareholder value." FOURTH-QUARTER CONTINUING OPERATIONS HIGHLIGHTS FULL-YEAR CONTINUING OPERATIONS HIGHLIGHTS FULL-YEAR STRATEGIC HIGHLIGHTS CONSOLIDATED OVERVIEW Within these financial results, Helly Hansen's results have been presented separately as discontinued operations. Unless otherwise indicated, all financial information represents the Company's results from continuing operations and all comparisons of results for Q4 2025 (14 weeks ended January 3, 2026) are compared against results for Q4 2024 (13 weeks ended December 28, 2024). FOURTH QUARTER HIGHLIGHTS FULL-YEAR HIGHLIGHTS RETAIL SEGMENT OVERVIEW FOURTH QUARTER FINANCIAL SERVICES OVERVIEW FOURTH QUARTER CT REIT OVERVIEW FOURTH QUARTER CAPITAL ALLOCATION CAPITAL EXPENDITURES QUARTERLY DIVIDEND SHARE REPURCHASES 1. NON-GAAP FINANCIAL MEASURES AND RATIOS AND SUPPLEMENTARY FINANCIAL MEASURES This press release contains non-GAAP financial measures and ratios, and supplementary financial measures. References below to the Q4 and Full-Year 2025 MD&A mean the Company's Management's Discussion and Analysis for the Fourth Quarter and Full-Year ended January 3, 2026, which is available on SEDAR+ at  http://www.sedarplus.ca  and is incorporated by reference herein. Non-GAAP measures and non-GAAP ratios have no standardized meanings under GAAP and may not be comparable to similar measures of other companies. A) Non-GAAP Financial Measures and Ratios Normalized Diluted Earnings per Share Normalized diluted EPS, a non-GAAP ratio, is calculated by dividing Normalized Net Income Attributable to Shareholders, a non-GAAP financial measure, by total diluted shares of the Company. For information about these measures, see section 10.1 of the Company's Q4 and Full-Year 2025 MD&A. The following table is a reconciliation of normalized net income attributable to shareholders of the Company to the respective GAAP measures: Consolidated Normalized Income Before Income Taxes, Retail Normalized Income Before Income Taxes, and Financial Services Normalized Income Before Income Taxes Consolidated Normalized Income Before Income Taxes, Retail Normalized Income before Income Taxes, and Financial Services Normalized Income Before Income Taxes are non-GAAP financial measures. For information about these measures, see section 10.1 of the Company's Q4 and Full-Year 2025 MD&A. The following table reconciles Consolidated Normalized Income Before Income Taxes to Income Before Income Taxes: The following table reconciles Retail Normalized Income (Loss) Before Income Taxes to Income Before Income Taxes: The following table reconciles Financial Services Normalized Income before income taxes to Income before income taxes which is a GAAP measure reported in the consolidated financial statements. CT REIT Adjusted Funds from Operations and AFFO per unit AFFO per unit, a non-GAAP ratio, is calculated by dividing AFFO by the weighted average number of units outstanding on a diluted basis. AFFO is a non-GAAP financial measure. The following table reconciles GAAP Income before income taxes to FFO and further reconciles FFO to AFFO: Diluted FFO per unit and Diluted AFFO per unit Diluted FFO per unit and Diluted AFFO per unit are calculated by dividing FFO or AFFO by the weighted average number of units outstanding on a diluted basis. Management believes that these measures are useful to investors to assess the effect of this measure as it relates to their holdings.   Retail Return on Invested Capital (ROIC) ROIC is calculated as Retail return divided by the Retail invested capital. Retail return is defined as trailing 12-month Retail after-tax earnings excluding interest expense, lease related depreciation expense, inter-segment earnings, and any normalizing items. Retail invested capital is defined as Retail segment total assets, less Retail segment trade payables and accrued liabilities and inter-segment balances based on an average of the trailing four quarters. Retail return and Retail invested capital are non-GAAP financial measures. For more information about these measures, see section 10.1 of the Company's Q4 and Full-Year 2025 MD&A. Operating Capital Expenditures Operating capital expenditures is a non-GAAP financial measure. For more information about this measure, see section 10.1 of the Company's Q4 and Full-Year 2025 MD&A. The following table reconciles total additions from the Investing activities reported in the Consolidated Statement of Cash Flows to Operating capital expenditures: B) Supplementary Financial Measures and Ratios The measures below are supplementary financial measures. See Section 10.2 (Supplementary Financial Measures) of the Company's Q4 2025 MD&A for information on the composition of these measures. To view a PDF version of Canadian Tire Corporation's full quarterly earnings report please see: https://mma.prnewswire.com/media/2916543/CANADIAN_TIRE_CORPORATION__LIMITED___INVESTOR_RELATIONS_Canadian.pdf FORWARD-LOOKING STATEMENTS This press release contains information that may constitute forward-looking information within the meaning of applicable securities laws, which reflect management's current expectations regarding future events and the Company's True North strategy. All statements other than statements of historical facts contained in this press release may constitute forward-looking information, including but not limited to, information with respect to: the impacts of the Company's True North strategy, including operating expense savings; the planned launch of loyalty partnerships with WestJet and Tim Hortons; the Company's operating capital expenditure expectations; and the Company's intention to repurchase its Class A Non-Voting Shares. Readers are cautioned that such information may not be appropriate for other purposes. Often, but not always, forward-looking information can be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "believe", "estimate", "plan", "can", "could", "should", "would", "outlook", "target", "forecast", "anticipate", "aspire", "foresee", "continue", "ongoing" or the negative of these terms or variations of them or similar terminology. Although the Company believes that the forward-looking information in this press release is based on information, estimates and assumptions that are reasonable, such information is necessarily subject to a number of risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied in such forward-looking information. For information on the material risks, uncertainties, factors and assumptions that could cause the Company's actual results to differ materially from the forward-looking information, refer to section 16.0 (Caution Regarding Forward-Looking Information) of the Company's Q4 and Full-Year MD&A, available on the SEDAR+ website at http://www.sedarplus.ca  and https://investors.canadiantire.ca . The Company does not undertake to update any forward-looking information, whether written or oral, except as is required by applicable laws. CONFERENCE CALL Canadian Tire will conduct a conference call to discuss information included in this news release and related matters at 8:00 a.m. ET on Thursday, February 19, 2026. The conference call will be available simultaneously and in its entirety to all interested investors and the news media through a webcast at https://investors.canadiantire.ca  and will be available through replay at this website for 12 months. ABOUT CANADIAN TIRE CORPORATION Canadian Tire Corporation, Limited (TSX: CTC.A, TSX: CTC, "CTC") has been a proudly Canadian business since 1922. Guided by its brand purpose, "We are here to make life in Canada better," CTC has built an expansive national retail presence, exceptional customer brand trust and one of Canada's strongest workforces – employing, along with its local Dealers and franchisees, tens of thousands of Canadians. At its core are retail businesses, each designed to serve life's pursuits: Canadian Tire, offering products spanning Living, Playing, Fixing, Automotive, and Seasonal & Gardening, bolstered by notable banners Party City and PartSource; Mark's, a leading source for casual and industrial wear; SportChek, Hockey Experts, Sports Experts and Atmosphere, offering the best brands of active wear and gear; and Pro Hockey Life, a hockey specialty store catering to elite players. CTC's banners, brand partners and credit card offerings are unified through its Triangle Rewards loyalty program – a linchpin of CTC's customer-driven strategy. With more than 12 million members, Triangle integrates first-party data to deliver valuable rewards and personalized experiences across nearly 1,700 retail and gasoline outlets. CTC also operates a retail petroleum business and a Financial Services business and holds a majority interest in CT REIT, a TSX-listed Canadian real estate investment trust. For more information, visit  Corp.CanadianTire.ca . FOR MORE INFORMATION Media:  Stephanie Nadalin, (647) 271-7343, [email protected] Investors:  Karen Keyes, (647) 518-4461, [email protected] Consolidated Balance Sheets Consolidated Statements of Income Consolidated Statements of Comprehensive Income Consolidated Statements of Cash Flows  View original content to download multimedia: http://www.newswire.ca/en/releases/archive/February2026/19/c7794.html

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