• Dorel Juvenile continues its growth and earnings improvement momentum
• Dorel Home earnings continue to be pressured by challenging market conditions; records a US$45.3 million non-cash impairment charge

Montréal, August 9, 2024 — Dorel Industries Inc. (TSX: DII.B, DII.A), today announced results for the second quarter and six months ended June 30, 2024.

Second quarter revenue was US$348.1 million, compared to US$345.2 million, up 0.8% from the same period a year ago. Reported net loss was US$59.5 million or US$1.83 per diluted share, compared to US$16.7 million or US$0.51 per diluted share last year. Adjusted net loss¹ was US$13.6 million or US$0.42 per diluted share compared to US$16.7 million or US$0.51 per diluted share last year.
 
Revenue for the six months was US$699.1 million, compared to US$678.4 million, up 3.1% from the prior year. Reported net loss was US$77.0 million or US$2.37 per diluted share, compared to US$48.2 million or US$1.48 per diluted share a year ago. Adjusted net loss¹ for the six months was US$30.5 million or US$0.94 per diluted share, compared to US$48.2 million or US$1.48 per diluted share last year.

“Dorel Juvenile has continued its trajectory of growth and improvement. Our profit turnaround is on-going, particularly driven by strong results in North America where our market share has grown for several consecutive quarters. This is also true in our other major market of Europe, where our innovative new product launches are leading the way with our retail partners and consumers. This positive outcome is a testament to our commitment to excellence and innovation. Our Home segment continues to operate in a difficult environment with the ongoing high inflation and interest rates affecting our consumers and the demand for new furniture. As a result, reduced earnings and cash flow projections forced us to record a non-cash impairment loss on goodwill of US$45.3 million in the quarter. Excluding this, our adjusted operating loss¹ was similar to prior year second quarter. On a positive note, the Cosco product line of folding indoor furniture, step stools and utility products is growing year-over-year and sales to our brick-and-mortar retailers increased overall. We have also significantly reduced our operating expenses and it remains a focus. We’re excited about our new product listings and we remain committed to improving our operations, focusing on new product development and expanding our market presence,” stated Dorel President & CEO, Martin Schwartz.

^{1This is a non-GAAP financial ratio or measure with no standardized meaning prescribed by IFRS and therefore is unlikely to be comparable to similar measures presented by other issuers. Refer to the section “Definition and reconciliation of non-GAAP financial ratios and measures” in this press release.}