06:30 AM EDT, 09/09/2025 (MT Newswires) -- The North West Company ( NNWWF ) late on Monday reported earnings that held up for the second quarter as revenues came in above expectations despite headwinds from wildfires across northern Canada, prompting the retailer to lift its dividend.

For Q2, net earnings increased 1.9% to $37.6 million compared to net earnings of $36.9 million last year. Net earnings attributable to shareholders were $36.1 million and diluted earnings per share were $0.74 per share compared to $0.73 per share last year.

Adjusted net earnings, which excludes the after-tax impact of share-based compensation and Next 100-related one-time costs, decreased $1.0 million or 2.5% to $39.6 million due to the sales, gross profit, expense, interest and income tax expense factors previously noted, including the impact of wildfire-related community evacuations in northern Canada.

Consolidated sales rose to $647 million from $646.5 million, beating a FactSet forecast of $641.8 million and driven by an increase in Canadian sales, new stores and foreign exchange impacts. Consolidated sales excluding the foreign exchange impact were flat.

Adjusted EBITDA fell to $87.9 million from $88.4 million.

The company's board also declared a quarterly dividend of $0.41, representing a 2.5% increase, to shareholders of record on Sept. 29, to be paid on Oct. 15.

"Our results this quarter reflect the significant headwinds from community evacuations due to widespread wildfires across northern Canada, a decrease in Jordan's Principle funding and ongoing pressures from a softer economy, particularly in our Alaska markets," said Dan McConnell, President & CEO. "Our Next 100 work, including the continued refinement of our merchandise assortment and focus on labour efficiency and expense management helped mitigate these headwinds. We remain confident in the strength of our business and the resiliency of our product and service offering within this uncertain economic environment and we are committed to executing our Next 100 strategy to drive sustainable value for our customers and shareholders."

Shares in North West -- a retailer of food and everyday products and services to rural communities and urban neighbourhoods in Canada, Alaska, the South Pacific and the Caribbean -- closed Monday at $51.20, down less than 0.1%.