This week, the latest edition of Hardlines Home Improvement Quarterly, our print publication for the industry, will start arriving in mailboxes. In it, we feature the Hardlines Top 20, a ranking of the top banners and groups in our industry. Also included is the Hardlines 2025 Banner Map.  (If you’re not already subscribing to this incredible trade magazine, please click here. It’s free to retailers! Or you can get it in our Annual Hardlines Retail Report, which will be ready to send out on July 25.—your analytical Editor)

The Banner Map is a schematic of the way the different buying groups in this industry are connected. Trust us, it’s a labour of love to update each “subway map” of the industry buying affiliations, each year. (Pictured is an actual copy of the updated version we sent to our graphic designer, Shawn Samson. Complete with chicken scratch, where we figured out how to present the information.)

This year’s Hardlines 2025 Banner Map was, as always, complicated. First, we unfortunately had to delete Peavey Mart and MainStreet Hardware, which have disappeared from the Canadian industry—and Ace Canada, whose presence in Canada has been reduced to one or two licensed dealers. Then we had to add in EvoX, a new buying group representing a partnership between Sexton Group and Evolution Distribution. Then we had to put in the new affiliation between Delroc Industries and Octo Hardware.

Oh, and Bytown PRO joined up with Patrick Morin, in the Ottawa/Gatineau area. Plus some other changes that you’ll need to know about, some of which have occurred among the biggest banners in the country!

To see these changes and connections among the various groups, be sure and get the next edition of HHIQ. It will also be included in the 2025 Retail Report, our in-depth analysis of the entire Canadian retail home improvement industry. That report will be available July 25.

(Please order the Hardlines Retail Report here to get your own personal version of this Banner Map, along with a report on how the industry has changed over the past 12 months!)

A dealer in Quebec is the latest one to increase their store count dramatically. Effective one week ago, Pierre Naud Inc., a BMR dealer with six stores already, expanded its footprint in the Mauricie/Centre-du-Québec region with a deal that added five more locations. Situated between Montreal and Quebec City, the newly acquired stores are in Saint-Grégoire and Gentilly, two communities in Bécancour, as well as Daveluyville, Sainte-Croix, and Trois-Rivières.

Groupe L’Acadien Bricoleur, a group of family-owned stores active since 1985, is transferring all its stores to Pierre Naud inc. They will all operate under the BMR banner.

Founded 135 years ago, Pierre Naud Inc. has more than 275 employees. It also owns two door and window manufacturing plants as well as a wood-processing mill.

Pierre Naud inc. is obviously experiencing sustained growth, as the team reaffirms its commitment to remaining a local business, ongoing customer service, fast and reliable delivery, and a product selection tailored to all types of projects.

“We are very pleased with this strategic acquisition, which marks an important step in the growth of our organization,” said Marc-André Lebel, the president of Pierre Naud inc. “By expanding our reach in this way, we are confident that we will open doors to new business opportunities with key players in the sectors we serve.”

At the corporate level, BMR regards the latest addition to its rank as a significant expansion of the BMR name in the Mauricie/Centre-du-Québec region. The group, a subsidiary of Sollio Cooperative Group, already has some 275 points of sale within its organization, located in Quebec, Ontario, and the Maritimes.

“We are pleased to see Pierre Naud inc. continue its growth with this strategic acquisition,” said Antonio Di Pasquale, chief executive officer, operations, at BMR. “Congratulations to the entire Pierre Naud team on this important milestone in their history.”

Throughout 2025 so far, the trade relationship between Canada, the U.S., and Mexico has perhaps been at its most volatile in years. The dizzying cycle of tariffs, counter-tariffs, and suspended tariffs has certainly kept your faithful team at Hardlines on our toes. Amid all the politicking, the paint industry in particular is left hanging vulnerably in the balance.

Surrey, B.C.-based Cloverdale Paint touts itself as North America’s largest family-owned coatings manufacturer. President Darrin Noble says political leaders need to wake up to the reality of the sector’s deep cross-border integration.

“While we often see media [claiming] that tariffs are not a big impact on renovation suppliers and producers, it is clearly not the case for Canadian paint manufacturers,” he says in a forthcoming exclusive interview in Hardlines Home Improvement Quarterly.

What stings especially for Noble is that much of the potential for havoc comes not from the White House’s tariffs, but from Ottawa’s retaliatory measures. Yet, in his view, it’s Canadian firms who will suffer more than their U.S. counterparts.

“It baffles me that the Canadian federal government has implemented tariffs on U.S. imports, which include the segment of steel packaging. It is not costing U.S. producers of the packaging or U.S. paint producers. It is levied by the Canadian government and paid for by Canadian manufacturers to the Canadian government. What is going on?”

While pivoting to more Canadian manufacturing is a worthy goal in Noble’s view, it’s not a short-term one, and the industry has to function in the meantime. “If you put paint into cans and pails, you pretty much have to use a U.S. manufacturer. There is not a made-in-Canada solution in the correct capacity and specification,” he says.

“As a county, we need to work on that, but for the foreseeable future, Canadian paint manufacturers are paying thousands of dollars weekly in 25 percent tariff remittances to the Canadian government.”

(Read the full interview in the next issue of Hardlines Home Improvement Quarterly. HHIQ is free to retail dealers and managers. Click here to subscribe!)

Orgill, the hardlines distributor, has offered dealers a rental equipment program for 20 years. That program—which according to the company has attracted a great deal of interest from Canadian dealers—includes comprehensive training where dealers are instructed on best practices.

“We have found that a successful rental equipment business typically requires dedicated staff to run the department,” observes Kenneth Duck, Orgill’s programs sales manager.

While he concedes that dealers just launching a rental program can get away with using existing staff for a period of time, eventually “there will have to be someone whose job it is to take care of the department, even though it may not be [his or her] only job in the store.”

Duck says gross rental profits for the dealers in its program can run anywhere between 76 percent to 84 percent before factoring in overhead. And while ROI on rentals is based on initial cost-and-rent frequency, Duck says that most dealers should reasonably expect a three- to five-time return on smaller, more general items. Similar returns on larger equipment with higher upfront investment costs often take longer to realize, he says.

(This is an extract from a complete article in our next issue of Pro Dealer magazine. If you’re not getting this quarterly print magazine in your store or office, it’s free to dealers. Click here to subscribe.)

PEOPLE ON THE MOVE

At The Dufresne Group, Adam Powell has been named president. Prior to joining the company Powell was chief digital officer at RONA inc. He also previously served as chief business officer at Hudson’s Bay Company.

…that as a Premium Hardlines Member (through your subscription to this newsletter), you get one free Classified Ad per year? Hardlines Classified Ads reach thousands of qualified candidates every week. Because they are read by qualified professionals right in the home improvement industry, they get results. Contact Jillian MacLeod now to get a free quote on your next Hardlines Classified Ad!!

The RONA Foundation, RONA inc.’s philanthropic arm, will present a total of $1.3 million to eight non-profit organizations (NPOs) across the country through its 2025 Build from the Heart program. The initiative, launched in 2022, is focused on organizations that support housing for survivors of domestic violence, low-income families, and people with disabilities. This year’s fundraising campaign ran from April 21 to May 31.

RONA inc. has updated the results of its fundraising efforts from the recent Tour CIBC Charles-Bruneau, held from June 28 to July 4. This year RONA has raised $365,000 towards children’s cancer research. Seventy-five cyclists from the company collectively rode more than 6,000 km in support of the cause, raising funds through their respective networks.

RONA inc. has released its 2024 Overview of Sustainable Development Activities. It highlights the organization’s environmental and social initiatives and the progress made towards achieving its sustainability goals. The retailer noted it now has 1,612 Energy Star-certified products available in store and online. It also collected 1,775 tonnes of paint and other products in-store. In 2024, 150 non-profit organizations were supported by RONA’s Home Sweet Home campaign. The company was recognized on numerous occasions for its efforts including receiving the GoRecycle’s Coup de cœur award and ranking among Canada’s Greenest Employers.

SUPPLIER NEWS

Trex has just released its 2024 Sustainability Report which details the company’s continued leadership in materials circularity, environmental stewardship, and social responsibility. Among the highlights in the report, in 2024 Trex sourced over one billion pounds of reclaimed polyethylene (PE) film and wood scrap—including 377 million pounds of waste plastic, making Trex one of North America’s largest recyclers of PE, the company says.

Specialty Products & Insulation (SPI), a global distributor of insulation, has completed the acquisition of Dispro, a distributor and fabricator of thermal and acoustical insulation. Dispro will continue to operate under its brand name and retain its locations in Montreal, Quebec City, and Ottawa.

Westcap Management Ltd. has announced that its portfolio company, Timber-Tech Truss Limited Partnership, has acquired Darmac Framing Systems. In July 2024, Timber-Tech acquired Brydon Stairs Ltd. Darmac, operating in Balzac, Alta., is a leading fabricator of panelized and modular building components for residential construction.

Richelieu Hardware has reported Q2 sales of $512.2 million, an increase of 6.4 percent, including Canadian sales of $275.8 million. Net earnings totalled $22.5 million, or $0.41 per diluted share.

ECONOMIC INDICATORS

Total U.S. engineering and construction spending is forecast to increase by just one percent in 2025, down from seven percent growth in 2024. This slowdown is primarily driven by broad-based weakness in the residential sector, where affordability constraints, rising costs, and tight credit continue to limit activity. Non-residential building and infrastructure segments are expected to deliver mixed results, with several segments such as manufacturing shifting from high growth to more stable or less impressive rates of expansion. (FMI’s 2025 North American Engineering and Construction Outlook)

NOTED

The latest edition of Hardlines Dealer News landed in subscribers’ inboxes last week. In this issue, we explore Home Depot’s expansions in the pro market, independent retail voices speaking at the next Hardlines Conference, and what dealers can learn from European drive-through operations. Hardlines Dealer News is monthly and it’s free: click here to subscribe now!

OVERHEARD…

“We want to maintain personal contact, with both the customer and employee speaking the same language. Listening to customers is essential to any rental transaction.”
—Mike Wiljayasundar, Cooper Rentals regional manager, talking about his firm’s success secrets

YOUR PREMIUM MEMBER CONFERENCE DISCOUNT

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members (that’s you!) enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

The Home Depot, through its SRS Distribution subsidiary, has agreed to buy GMS Inc., of Tucker, Ga., one of the largest GSD distributors in North America. In this country, GMS is a big player with a Canadian division headquartered in Vaughan, Ont.—and stores across the country. It specializes in pros, with a significant business in wallboard and complementary building products.

Under the terms of what Home Depot calls a “merger” agreement, announced on June 30, a subsidiary of SRS will commence a cash tender offer to purchase all outstanding shares of GMS common stock. The price established is US$110 per share, reflecting a total equity value of approximately $4.3 billion and implying a total enterprise value (including net debt) of approximately $5.5 billion. The deal is expected to be completed by the end of the 2025 fiscal year, subject to regulatory requirements.

Home Depot’s bid was reported in the media one day after QXO, a U.S. roofing products distributor, presented an offer of its own to take over GMS. But QXO’s offer subsequently expired and was not extended.

GMS Canada includes some of the biggest GSD names in Canada. The company has on its roster, for example, Calgary’s Shoemaker Drywall Supplies; Watson Building Supplies in Vaughan, Ont. (shown here); and Yvon Building Supplies based in Burlington, Ont. YBS was acquired by GMS last July for C$195.5 million.

It also has a number of more traditional building centres in its Canadian portfolio, including Slegg Building Materials on Vancouver Island.

On June 18, GMS Inc. reported its revenues for the fiscal year ended April 30. They were $5.51 billion, an increase of 0.2 percent compared with the previous year. Net income for the year was $115.5 million, a decrease of 58.2 percent. The decrease was partly due to a $42.5 million non-cash impairment charge recorded in the third quarter.

The announcement last week that The Home Depot had agreed to acquire Gypsum Management & Supply Inc. of Tucker, Ga., will have wide implications for the Canadian industry.

This is not the first major acquisition by the largest home improvement retailer in the world. Last June, the Atlanta-based firm announced that it had closed the acquisition of SRS Distribution of McKinney, Texas, for a staggering US$18.25 billion. The Home Depot announced that SRS was bringing with it a “total addressable market of $50 billion” consisting of pro roofers, landscapers, and pool contractors. No longer would Home Depot have to talk of a future serving pro contractors. That future was now.

Home Depot buying GMS looks similar to the acquisition of SRS—a pro play. But that would neglect the difference between the two deals in this country. SRS had little impact on the Canadian industry since SRS did not, at the time of closing, have DCs in Canada. But GMS Canada, on the other hand, is a major player here.

The GSD collective called WSB Titan became the first GMS acquisition in Canada in 2018, when GMS bought it for US$627 million. The Canadian division has been buying up dealers this side of the border since then, including Yvon Building Supply, for C$196.5 million in a transaction that closed last July. GMS has more than 40 points of sale in Canada, including some traditional building centres.

GMS reported about two weeks ago that its sales were $5.51 billion in its most recent fiscal year. The firm’s 2024 annual report, for the preceding year, said that Canada represented 12.2 percent of its revenues. Hardlines calculates that GMS Canada’s revenues would be around $948 million, given these factors (GMS does not release Canadian breakouts of its revenues).

The largest retailer in Canada is Home Depot, at a Hardlines-estimated revenue figure of $11.18 billion. Adding GMS’s Canadian sales of $948 million to The Home Depot pie in this country will give it 21.2 percent market share—based on Hardlines’ estimated industry size of $57.32 billion. The number-two player, Home Hardware Stores Ltd., has an estimated 15.1 percent market share.

With this new acquisition, which expands considerably its footprint in Canada, Home Depot has opened up a significant lead over its competitors based on this acquisition of more Canadian pro customers.

(Industry size and retail market shares are being calculated right now for this year’s Hardlines Retail Report. This incredible piece of research will be available July 25. To pre-order your copy of the Retail Report, contact Jill MacLeod at Hardlines!)

At a time when economic conditions are putting pressure on Canadian companies, RONA inc. has launched an initiative to support local businesses that are part of the home improvement industry. Since June 23, the retailer has given away 85 percent of its ad space to nine local trades businesses in Ontario.

The company rolled out the initiative with some nationalistic fanfare, running full-page ads in various newspapers, including The Toronto Star. The ad read, in part: “Dear Canada, for over 85 years, we’ve stood with Canada’s tradespeople. Now is our turn to give back.” The message then detailed the donation of 85 percent of its media to local trades, “instead of talking about ourselves,” it continued.

“It’s only natural for us to give back when they are facing hardships,” said Catherine Laporte, senior vice-president, marketing and customer experience, at RONA inc. “Earlier this year, we renewed our partnership with ‘Well Made Here’ to help better showcase Canadian-made products. Now, we are turning our attention to local entrepreneurs, who are instrumental in building thriving communities and a strong Canadian economy.”

The promotion is in Ontario only, “since it’s been hit the hardest by the recent tariffs due to its standing in international trade with the United States, especially in the automotive and metal sectors,” said Laporte. The selected businesses are in the Greater Toronto Area, Southwestern Ontario, and the Durham region, and will see an ad featuring their name and logo. The initiative will run until July 20.

“This is just another way for us to stand with the communities that are building this country—one job, one project, one day at a time,” Laporte added.

Cloverdale Paint, through its subsidiary, Rodda-Miller Paint, has introduced a new paint program at select Costco stores in Canada on a test basis. It’s an exclusive program with Costco to offer members access to a premium interior paint line—and expand the warehouse retailer’s home improvement assortments.

Cloverdale Paint and Costco have collaborated to introduce an exclusive line that is sold under the “Cascadia” brand. The new interior paint line features a pre-mixed satin wall paint-and-primer combo called “Designer White,” available in a 7.5-litre (two-U.S. gallon) plastic container.

The program is currently being tested in 44 of the 109 Costco warehouses in Canada. Those stores are in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick, Nova Scotia, and Newfoundland and Labrador. Based on member response, the company says, it may be rolled out to more Costco locations as a regular program, if it meets Costco’s criteria.

Rodda-Miller Paint is the result of a joint acquisition in December 2024 of Miller Paint by Cloverdale, headquartered in Surrey, B.C., and Portland, Ore.-based Rodda Paint. The combined rebranding as Rodda-Miller was unveiled in March of this year. Cloverdale Paint is producing all the paint for the Canadian rollout.

“Costco is known for bringing high-quality products to its members at exceptional value. We are excited to partner with Cloverdale Paint and Costco with a ‘made in Canada’ paint line to help contribute to this reputation,” said Jason Lawrence, vice-president of marketing at Rodda-Miller Paint.

“This new paint program expands Costco’s home improvement offerings and gives members even more reason to shop Costco for their next interior painting project.”

PEOPLE ON THE MOVE

Sonja Nelsen will join The Peak Group of Companies as vice-president, human resources. The appointment is effective July 21. Nelsen joined Home Depot Canada in 2001 as the HR manager at one of its highest-volume locations. A decade later, she was promoted to store manager and for the next six years ran two Home Depot locations in Greater Vancouver. After that, she had HR positions with the online marketplace Openlane and then with Shoppers Drug Mart. At Peak, Nelsen will oversee 150-plus employees at facilities and offices in Canada, the U.S. Australia, New Zealand, and Asia.

Laura Baker, who made her mark in this industry as marketing director at Home Hardware Stores Ltd. from 2022 to 2025, has landed a new role, as chief marketing officer at Weed Man, a Mississauga, Ont.-based lawn care company.

…that as a Premium Hardlines Member, you get one free Classified Ad per year? Hardlines Classified Ads reach thousands of qualified candidates every week. Because they are read by qualified professionals right in the home improvement industry, they get results. Contact Jillian MacLeod now to get a free quote on your next Hardlines Classified Ad!

Home Hardware Stores Ltd. is launching The Search for Canada’s Ultimate Road Trippers, which it describes as “a national casting call aimed at finding a dynamic Canadian duo ready to embark on a cross-country road trip to discover Canada’s hidden gems, hometown heroes, and the locally owned Home stores that helped build it all.” Applications will be accepted until Sept. 30.

A new Canadian online store aims to make it easy for people to shop from home. BuyCanadianGroup.ca positions itself as Canada’s first online department store dedicated exclusively to Canadian-owned brands. The platform offers a one-click, multi-brand checkout experience, and the company says it supports the Canadian economy.

Target is in the initial stages of developing drop shipments directly to customers’ doors, says a report from Bloomberg. The retailer is looking for ways to compete against the likes of online competitors Temu and Shein, which already use direct-from-factory deliveries. Target says it wants to ship low-cost clothing, household goods, and other non-food items, according to Bloomberg.

SUPPLIER NEWS

Gypsum drywall supplier CGC Inc. has entered into a definitive agreement to purchase Imperial Building Products Ltd., based in Richibucto, N.B. IBP’s product range includes steel framing components, drywall trims, accessories, and proprietary structural solutions. Created in 1990 as a division of Imperial Manufacturing Group, IBP operates five manufacturing facilities—in New Brunswick, Quebec, Ontario, Alberta, and British Columbia. CGC says the acquisition is another part of the company’s long-term strategy to invest in Canadian manufacturing, strengthen domestic supply chains, and support the growing demand for housing and infrastructure in Canada.

AMI (Associated Materials Innovations) is launching a full suite of colour-matched accessories for its Ascend Composite Cladding System. This full suite of J-Channels, trims, and corner posts is designed to simplify installations, the company says, and to elevate curb appeal.

ECONOMIC INDICATORS

U.S. construction spending during May was estimated at a seasonally adjusted annual rate of US$2.14 trillion, 0.3 percent below the revised April estimate of $2.14 trillion. (U.S. Census Bureau)

NOTED

According to software provider Capterra’s 2025 HR Software Trends Survey, Canadian HR leaders’ primary concern is staff retention. But a deficit in AI skills is preventing them from adopting the technology necessary to address this workforce challenge. While two-thirds of Canadian organizations report having AI features in their HR software, only 41 percent actively use them. This hesitation means companies are not benefiting from tools that could address their biggest concerns, such as providing upskills training. In fact, 44 percent of Canadian HR leaders cited upskilling current employees as a top operational challenge.

OVERHEARD…

“Eighty–five percent of Canadians are actively looking for Canadian alternatives. Catalogues and directories aren’t enough. Canada needs a new department store—one that features all Canadian brands.We give shoppers an easy way to fill their cart and know they’re buying Canadian.”
—Dave Lazar, founder of Buy Canadian Group, a newly created online platform that focuses on Canadian brands

YOUR PREMIUM MEMBER CONFERENCE DISCOUNT

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members (that’s you!) enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

The Home Depot has announced that it will open its newest Canadian store in Fort McMurray, Alta., in May 2026. It is the market leader’s 183rd store in this country. The last time Home Depot opened a store in Canada was on April 12, 2015, in Vaughan, Ont.

The Fort McMurray store will be Home Depot’s 28th store in Alberta. It’s also the most northernmost Home Depot store in Canada, expanding the retailer’s presence in the province’s oil and gas industry.

Located at Quarry Ridge Drive, this newest location will be 80,000 square feet in size, which is smaller than most other Home Depot stores in Canada. They typically weigh in at 100,000 square feet or more, plus another 30,000-square-foot garden centre. Features will include an optimized, flexible checkout and customer-service area, specialty showrooms with merchandising displays and layouts, a large garden centre, tool rental centre, and storage area for customers’ online order pickups.

“We look forward to continuing to grow in Canada,” said Vinod Nalajala, president of The Home Depot Canada. “Fort McMurray is a dynamic community in the heart of a region experiencing momentum from the forestry, construction, oil and gas sectors.”

The store will add approximately 150 new jobs on top of the 5,200 jobs already supported in Alberta.

Over the past decade, when new store openings and adding new members have been the growth mandate of so many other home improvement groups, Home Depot Canada has until now held fast with its store count. Instead, it has focused on driving more sales out of its existing store footprint and through digital sales.

Strategies have included creating bricks-and-mortar shopping environments that are “low touch” and encourage as much self-service as possible, and expanding Home Depot’s services to pros and contractors. During Covid, it expanded its décor and home products assortments and ramped up its offerings of high-turnover consumable products, along with focusing on streamlining its supply chain.

As with past openings, the retailer has made efforts to connect with the local community. In this case, its charitable arm, the Home Depot Canada Foundation, has partnered with a local Wood’s Homes, a provincial mental health centre that provides treatment and support for children, young people, adults, and families with mental health needs. Home Depot is providing a $10,000 grant to this agency and through its Stepping Stones Youth Services program, which provides a short-term, secure haven for young people in Fort McMurray.

Castle Building Centres group has had a busy month, with new dealers signing on in Ontario and the Prairie provinces, plus the expansion of an existing dealer’s business in the Maritimes.

The group ended May on a strong note with the addition of Barbe Aluminium et fils on Montreal’s North Shore, in Ste-Marthe-sur-le-Lac. Martin Barbe and Sonia Daoust Barbe founded the business over two decades ago. The married duo’s team includes their daughter and son-in-law.

Since then, Castle added a new member in Orillia, Ont. Local entrepreneurs Brent and Sarah Johnston saw an opportunity when a long-time local building centre closed its doors. Together they have launched Johnston Farm & Building Centre.

The group also welcomed another dealer in Western Canada during June. Sky Vision Lumber Inc. has two stores, in Calgary and Crossfield, Alta. Founder and owner Rajesh Goyal operates the business along with general manager Mandeep Singh.

In Saskatchewan, Countryside Building Center (shown here) joined Castle’s ranks this month. Located in Stenen, a village with a population of about 80, it’s a new venture for Nathan and Jeremy Penner. The brothers and custom builders have been supplying and installing building products for nearly 20 years.

On the other side of the country, Targetts Window & Doors, a Castle member in Fredericton, N.B., now has a second location—the former Topmar Building Supplies in Nackawic, N.B. Owners Nick Thebeau and Jody Hanson have joined with a third partner, Zac Corey, who will also take on the role of chief operating officer. Thebeau remains CEO and president, with Hanson continuing as vice-president and advisor.

A common theme identified by new recruits was the desire to maintain their independence while leveraging the power of a buying group. Castle has kept its growth consistent over recent years by encouraging dealers to build their own brand.

The Wall Street Journal reported on June 19 that Home Depot is making an offer for GMS Inc., one of the largest GSD organizations in the world.

The WSJ article appeared a day after GMS reported its annual results for the year ending April 30, 2025. Those results were mixed, with net sales up 0.2 percent on the year to US$5.514 billion, in a difficult homebuilding economy. Net income was $115.5 million, down 58.2 percent from the previous year.

GMS Inc. has a Canadian division, and its sales are considerable. Based in Vaughan, Ont., it features some of the biggest GSDs in the country, with names like Shoemaker Drywall Supplies on the Prairies, and Watson Building Supplies and Yvon Building Supplies in Ontario. It has also acquired other independent yards such as Blair Building Materials in Maple, Ont. (shown here), to fill in other regional markets.

But Home Depot was not the only party interested in taking a run at its fellow Georgia corporation. Brad Jacobs’s QXO, a roofing-products distributor, had made an unsolicited bid for GMS the day prior. In a letter to GMS widely circulated in the media, Jacobs did not rule out turning to a hostile offer. His offer of $95.20 per share was about 17 percent above GMS’s recent trading levels. That offer suggested that GMS was worth roughly $5 billion in the unsolicited cash bid.

But QXO’s offer expired June 24, and at press time it had not been extended. QXO may be reluctant to enter a bidding war with a company the size of Home Depot, which has deep pockets.

Exactly one year ago, Home Depot extended its reach with professional contractors by buying SRS Distribution for the sum of $18.25 billion. SRS is a leading residential specialty distributor serving the roofing, landscaping, and pool contractor. The $5 billion GMS offer is much smaller in comparison. But Home Depot is not talking, not even to acknowledge that the offer had been made.

“Why didn’t Hertz invent Uber? Why didn’t Hilton invent Airbnb? Why didn’t Domino’s Pizza invent DoorDash? Because they were focused on their assets and not on what their customers wanted.”

Ken Hughes, an internationally renowned retail expert, was a keynote at the recent Global DIY Summit, held earlier this month in Lisbon, Portugal. The event was hosted by the international retail home improvement association EDRA, with its worldwide partner association, the Global Home Improvement Network (GHIN). Hardlines, of course, was there (from your constantly globe-trotting editor).

Hughes challenged his audience of international retail leaders with these notions. In each case, his ideas represented a connection between the product and customer needs. But customers are shopping for solutions, not products. Creating a meaningful relationship with your customers is paramount, he pointed out. “Connecting with your customer is the key to your success.”

He offered the example of Dutch supermarket chain Jumbo that introduced slow checkout lanes. Called the Chat Connection, the concept allows people, especially the elderly, to take the time to talk with the cashier. In many cases, Hughes said, it might be only human contact that individual will get that day.

“All that you have is the relationship that you build with your customers.” There will always be another provider that will be faster, cheaper, more sophisticated in their offerings, he stressed. But a relationship must have depth. “Customers want to be seen and heard.”

PEOPLE ON THE MOVE

At LP Building Solutions, Tony Hamill has been named senior vice-president and COO. In his new role, he will oversee LP’s North American manufacturing operations, including the production and operational efficiency of all product lines. Prior to joining LP, Hamill held leadership roles at Stantec, a global engineering firm, and served as COO at Roseburg Forest Products.

At Alexandria Moulding, Roger Evans has joined as director of sales – doors. He has more than 25 years of experience in sales and business development within the building materials industry, including as vice-president for Canada and director of wholesale at Masonite International. Darryl Burt has been named director of operations – doors. His career in the door industry dates back more than 35 years, with his most recent post as vice-president of operations at Masonite.

…that our roster of speakers for this year’s Hardlines Conference continues to grow? It takes place Oct. 21 and 22 at the Fairmont Banff Springs hotel in collaboration with Supply-Build Canada. It’s the only national event for the home improvement industry that is open to all banners and suppliers. Network with your colleagues and customers over two incredible days of learning and insights. Check out our presenters so far—and watch these pages for more details of additional speakers in coming issues!

RONA inc., has added its name to the former Vantage Building Supplies store in Vegreville, Alta. The new location will be known as RONA Vegreville under the co-ownership of Darren Davis, Ben Sawatzky, Cory Batog, Paul Ziprick, and Dayton Gegolick. On June 19, leaders from RONA’s dealer support team, partners and store employees gathered at the store for the traditional board-cutting ceremony, marking the official opening of the store under the RONA banner.

Home Hardware Stores Ltd. has joined the list of sponsors of this year’s Calgary Stampede. The sponsorship will include the company presenting a shaded seating area, located beside the Superwheel on the Midway at Stampede Park. The space will feature a curated display of outdoor furniture and entertainment products available at Home-bannered stores across the country.

Liu Weihong (Ruby Liu), a billionaire real estate investor based in British Columbia, has received court approval to acquire three former Hudson’s Bay store leases, in a transaction valued at $6 million. The locations are in three B.C. shopping centres she owns: Tsawwassen Mills in Delta, Mayfair Shopping Centre in Victoria, and Nanaimo’s Woodgrove Centre. Liu’s ambition is to establish a new national chain under the Ruby Liu brand, and to that end she’s eyeing leases at 25 other former HBC locations. But landlords for those properties object to what they say is a lack of transparency around the proposal.

Gardener’s Supply, a Burlington, Vt.-based garden supply retailer, has filed for Chapter 11 bankruptcy protection. The company started out as a mail-order business (much like our own Lee Valley Tools in Canada) 39 years ago. The company today has more than 400 full- and part-time staff in Vermont, New Hampshire, and Massachusetts. A competing retailer, Gardens Alive!, has made a tentative “stalking horse” bid for Gardener’s Supply’s assets. The bid is valued at US$9 million.

Gypsum Management & Supply reported its fiscal results for the year ended April 30. Sales for the year were up 0.2 percent to US$5.514 billion and earnings were $115.5 million. Fourth-quarter sales were $1.33 billion, a decrease of 5.6 percent. Net income of $26.1 million for the quarter was down 53.7 percent from $56.4 million a year earlier.

SUPPLIER NEWS

French furniture manufacturer Alpagroup has opened a new Labo Studio Design hub in Greater Montreal. The space will showcase Alpagroup’s collections and new products to retailers and buying groups.

ECONOMIC INDICATORS

Retail sales increased 0.3 percent to $70.1 billion in April. Sales were up in six of nine subsectors, led by increases at motor vehicle and parts dealers. Sales in LBM and garden categories declined by 0.4 percent. (StatCan)

NOTED

What’s In Store, the podcast for hardware industry insiders, has gone live. Stephen Bailey, chief marketing officer at Fluevog, the innovative Canadian footwear retailer, aims to transform the retail world one step at a time. Bailey talks with Hardlines Editor Rebecca Dumais about the changing retail landscape, including how to improve audience reach and how to create a retail experience that builds brand loyalty. Listen to all the Hardlines podcasts
here.

OVERHEARD…

“We’re proud to be part of the Calgary Stampede this year. This sponsorship, along with the strategic expansion of our agricultural assortment, underscores Home’s commitment to serving the unique needs of our customers and strengthening our connection with rural communities across Canada.”
—John Pierce, chief retail operations officer at Home Hardware Stores Ltd., on the retailer’s sponsorship of this year’s Calgary Stampede.

YOUR PREMIUM MEMBER CONFERENCE DISCOUNT

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members (that’s you!) enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

The 11th Global DIY Summit was held this month in Lisbon, Portugal. The speaker roster featured frontline retail leaders providing case studies and first-hand accounts of their efforts to transform their own businesses. Other presentations featured retail advisors and trends analysts (one called himself a “futurologist”). They shared insights into consumer behaviours and the overall direction of the world economy.

The event was hosted by the international retail home improvement association EDRA, with its worldwide partner association, the Global Home Improvement Network (GHIN).

As impressive as the speakers on stage might have been, the audience was also impressive. More than 1,000 retail leaders, manufacturers, and service providers came from 50 countries, including The Home Depot, Adeo Group and Leroy Merlin, Sodimac in South America, Brico Dépôt in France and Spain, Hagebau in Germany, Europe’s A.R.E.N.A., Byggmax in Sweden, and Bunnings in Australia.

Four Canucks also attended. Besides Hardlines, Robert Di Tomasso, head of merchandising agency RDTS, was there. His company had struck out to develop European clients well in advance of today’s current contretemps with the U.S. The other two Canadians were from Groupe BMR—CEO Alexandre Lefebvre and Charles Grégoire-Béliveau, SVP of commercial strategy and partner relations. As new members of the European alliance, A.R.E.N.A., they were there to meet other members of the group, in addition to attending the summit.

The day before the conference, delegates were treated to a series of store tours. One stop presented a pro-focused dealer that knows how to stack and push high volumes of building materials out of a relatively small space. Another location, more DIY-oriented, owes as its layout and merchandising as much to IKEA as it does to Home Depot.

The next morning, good ideas started with the summit’s opening remarks, followed by retail leaders from around the world. They included the CEO of B&Q (see next story in this issue—your cross-referential Editor), the head of merchandising for Sodimac, and even a former Formula 1 executive who talked about the importance of change and transformation for any business.

The next Global DIY Summit will be held in Amsterdam June 16 to 18, 2026. Considering how many livelihoods depend on the success of our home improvement retailers, the heads of the groups representing these dealers should strongly consider attending the summit next year to find out what’s in store for your members.

After all, Canadian dealers deserve no less.

Can a retailer that sells stuff for the home become a service provider to help customers better manage and run their homes? Europe’s largest home improvement retailer is doing just that.

Graham Bell is the CEO of B&Q, a division of Kingfisher and one of the largest home improvement retailers in Europe. His observation: “Change isn’t change. It’s evolution. And it’s essential.” He proceeded to use his own company’s transformation as the example.

When he first moved from parent Kingfisher’s commercial wholesale division, Screwfix, to take the top job at B&Q, Bell figured he had a great company to work with. But he soon discovered a defeatist attitude permeating the management. Even though B&Q was the trade leader, his team “had their heads in their hands,” he said. They lacked clarity in the business. B&Q’s customers were changing. The company was losing touch. It lacked firm direction. “We needed a North Star,” he admitted.

“Being customer-focused was not something we were doing at that time.” To initiate the changes needed, Bell guided his team to start with those customers. “We spoke to our customers. We talked to a lot of customers.”

What Bell learned from those conversations was that customers were looking for ease of fixing and living in their homes. The team at B&Q ended up mapping out a home eco-system “that will help you live your life and live in your home,” he said. That map includes a range of services that tie customers’ purchases into their home maintenance—and goes way beyond delivering orders quickly. It also has to be done reliably.

But Bell talked about services for customers’ in their homes in a holistic way. “In the future, customers may be able to get a ‘one-stop shop,’” he noted. That could mean offering financing options that don’t just spread payments out, but actually help customers plan and afford future projects and products. Other services B&Q has been working on include helping customers find trades and even offering home insurance.

The idea of helping customers not only buy what they need for their homes, but manage and maintain those homes as well, was brilliant, “but it was scary.”

Regardless of the range of services offered, however, the relationship with customers can only work if those customers trust the retailer. Building that trust has been pivotal to customer acceptance of the new offerings, giving them confidence to turn to B&Q. “People don’t see us just as a DIY store. They see us as offering everything in the home.”

David Ian Gray likens the retail landscape to a “Darwinian pond.”

“In all the sectors, we’ve got some very dominant players, and it really becomes an oligopoly if not a monopoly,” the retail advisor and founder of DIG360 (shown here at the 2023 Hardlines Conference) says on the latest episode of What’s in Store, the Hardlines podcast series.

“You can talk about banks, but the grocers and home improvement also have some very big behemoths here.”

New businesses, he adds, are always emerging just as others pass away. “Some have been around a long time; some are arriving on the scene. If you just think about that metaphor of the Darwinian pond, where all the organisms are evolving—and out of that comes the next creature—the success story that’s evolving.

“That’s what I see retail as. It’s very different from a lot of other sectors.”

Gray cautions that good times in the economy can mask the symptoms of an ailing business. “If a retailer or any kind of enterprise is kind of misaligned as a model with its market, or if it’s got some structural weakness, the good times can mask it. In a buoyant economy where everyone’s spending, some not-so-well-run businesses can look like they’re doing well.”

He points to the example of Hudson’s Bay Co., which tapped into the suburban boom through its real estate holdings, thereby insulating itself from the consequences of its stagnation—for a time.

“People forget that through the 1980s, Hudson Bay, Eaton’s, a lot of these companies were real estate development companies and they partnered with the shopping centres and suburbia got built, from a retail perspective, by them. So they sort of had a pinnacle.”

The problem, Gray says, was that such banners lacked the introspection in the 1990s to ask: “We’ve maxed out on this; what’s next?” Instead, “there was just a tripling down on continuing to extract value for as long as they could.” (PHOTO: Jozef Povazan)

(Catch David Ian Gray this fall at the 2025 Hardlines Conference in Banff, Alta., Oct 21 and 22.) As a Hardlines Premium Member by virtue of your subscription to this Hardlines Weekly Report, you enjoy a 20 percent discount on registration. PLUS: New episodes of What’s in Store are uploaded every month. Click here to get updated when they go live!).

Home Hardware’s pursuit of the builder and contractor customer has been building steadily in its scope and range of services in recent years. It’s a big part of where the company is turning for growth in the future, and its new president and CEO shared that story with delegates at this year’s annual conference of the Retail Council of Canada.

The event attracted hundreds of retailers, vendors, and retail consultants to the Toronto Congress Centre earlier this month. As one of the event’s keynote speakers, White spoke publicly about his new company for the first time.

He pointed out that Home Hardware remains committed to two customer streams, DIY and pro, but the retailer is working on recognizing and addressing the differences between both customer groups. It’s also looking at how to evolve the customer experience. For its pro customers, that includes digital sales and contractor apps.

But backed by the power of the Home Hardware name, White sees every store as a valuable bricks-and-mortar asset. “I view these 1,000-plus stores as a showroom.”

In that showroom, dealers are getting more tools—like product knowledge of pro assortments—plus enhanced assortments and the ability to provide larger job lots. Education and increased service are important tools that the dealers need to be armed with to effectively drive pro sales, he added.

PEOPLE ON THE MOVE

Scott Smith has been named the new vice-president of human resources for The Home Depot Canada. Smith transferred to Canada from The Home Depot in Atlanta, where he had worked since 2006, most recently at the company’s Store Support Centre there as the vice-president of compensation, benefits, and HR operations. Prior to The Home Depot, Scott held HR, finance, and compensation positions at Gap Inc. and Huttig Building Products.

…that the latest edition of Hardlines HR Advisor hit subscribers’ inboxes last week? In this issue, we explore efforts to make job sites safe for women and the impact of AI on the workplace. HR Advisor is monthly and it’s free: click here to sign up today!

EvoX, the industry’s newest buying group, has announced the addition of Pilon Ltd. to its ranks. Based in the Gatineau region, the pro-focused business has been in operation for over 125 years, since 2023 under the ownership of Groupe Dumont, with Carl Dumont as CEO and president. The business boasts 56,000 square feet of sales space and over 225,000 square feet of outdoor storage, along with a fleet of 17 trucks.

Castle Building Centres Group has welcomed a new member in the Calgary area. Sky Vision Lumber Inc. has two locations, in Calgary and Crossfield, Alta. The company’s founder and owner is Rajesh Goyal; the general manager is Mandeep Singh.

Federated Co-operatives Ltd. has announced that 14 community projects will receive funding through its Co-op Community Spaces program. In its eleventh year, Co-op Community Spaces will invest a total of $1 million in local projects in communities across Western Canada. These include accessibility upgrades to a theatre in Vernon, B.C.; an outdoor rec hub in Rocky Mountain House, Alta.; and a walking and healing path in Okanese First Nation, Sask.

RONA Woodlawn in Ottawa held its grand opening recently after being acquired last summer by affiliate dealer Andrew Doidge, president and CEO of Doidge Building Centres Ltd. Leaders from RONA’s dealer support team, partners, and the RONA Woodlawn team gathered for a traditional board-cutting ceremony. The store now offers free estimates and same-day delivery, with a brand-new showroom to display special-order products.

Castle Building Centres Group and its community donated $47,134 to the IWK Health Centre on June 1, via a telethon in Atlantic Canada held on CTV. The IWK Health Centre is a major children’s and women’s hospital in Halifax, N.S. In total, more than $8.3 million was raised for the cause by the 41st annual IWK Telethon.

Starting June 30, Costco executive members in both Canada and the U.S. will receive a $10 monthly credit toward same-day deliveries from Costco via the online grocery delivery service Instacart. The credit is available on orders of $150 or more.

SUPPLIER NEWS

Saint-Gobain’s CertainTeed Canada has announced the Canadian launch of Lanaé, what it calls a “ground-breaking sustainable glass-fibre insulation.” The insulation is manufactured at CertainTeed’s insulation facilities in Redcliffe, Alta., and Ottawa, Ont. “It is formulated with a bio-based binder that is formaldehyde-free, significantly reducing environmental impact while maintaining superior thermal performance and acoustic comfort,” Saint-Gobain said in a release.

ECONOMIC INDICATORS

Through the first quarter of 2025, the population of Canada increased by 20,107 people to reach 41,548,787 people. This was the smallest quarterly growth since the third quarter of 2020, when the population decreased by 1,232 people in the wake of border restrictions to slow the spread of the Covid pandemic. (StatCan)

Investment in building construction decreased by $741.9 million to $22.3 billion in April. Residential construction spending fell by $723.0 million to $15.5 billion, with the single-family sector down $281.9 million to $6.8 billion. (StatCan)

NOTED

Small businesses owners are concerned that the U.S.-Canada trade dispute will be disruptive, according to a new report from the Canadian Federation of Independent Business (CFIB). Fifty-eight percent of small business owners are concerned about the impact of the trade war, while 40 percent expect summer tourism revenue to remain the same as last year.

OVERHEARD…

“I think you can hold both simultaneously: we love our neighbour, and we’re proud to be Canadian.”
—Mike Tzimas, president of barbecue-maker Napoleon, which is based in Barrie, Ont., on the importance of maintaining U.S. partners amid bilateral tensions. He was speaking to The Globe and Mail.

YOUR PREMIUM MEMBER CONFERENCE DISCOUNT

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members (that’s you!) enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

With the recent demise of Peavey Mart (how we hate writing that!—your ever-judicious Editor), retailers across the country have reset their business plans and adjusted their assortments to fill the gap in the farm and hardware market.

Home Hardware Stores Ltd. is no exception. The company reportedly began re-examining its involvement in that category immediately after Peavey Mart confirmed the closing of all 90-plus stores. Now, it’s revealed concrete strategies to become a more effective destination for rural customers.

The company announced last week its dedication to providing additional access to products such as livestock feed, equipment, tools, and essential supplies. “Home currently offers a variety of items available in the farming category and will be introducing a significant number of additional products to the assortment, ensuring that Canadian farmers have reliable access to the resources they need to succeed,” Home Hardware said in a release.

The retailer is backing those expanded assortments with a catalogue. Home Hardware’s “Farm Assortment Catalogue” will be available on June 19 and will highlight existing agricultural products along with new items that have been added to the lineup. They range from livestock feed, stall mats, and fencing to feed pans, buckets, welding wire, and farming attire.

The products are being added online, as well. Home’s e-commerce team has added a Farming Supplies page to the website to ensure products are accessible to Canadian farmers shopping online.

“Our teams have been working with rural Home dealers and suppliers to identify the current gaps in the market,” said Scott Bennett, Home Hardware’s director of merchandise strategy and execution. “The expanded farm assortment complements the other products we offer at our Home stores, including housewares, power tools, welding, and more. Our goal is to ensure Canadians have access to the tools they need to sustain their communities for the long term.”

How hard can it be to develop an effective LBM drive-through for a store’s back end? It’s a common enough aspect of many dealers’ offerings. But what if other retailers are doing it better? (That’s why you read Hardlines!—your ever self-promoting editor!)

A day spent in Lisbon, Portugal, touring some of that country’s best home improvement locations resulted in eye-opening insights into ways to do things better. Delegates taking the tour during last week’s Global DIY Summit, learned everything from better racking and endcaps to the wisdom of separating contractor business from DIY customers in today’s home improvement environment.

And, yes, even managing the drive-through can be done better in North America, it seems.

The store tours attracted five busloads of the planet’s most influential vendors and retailers. The delegates included representatives from Brico Depot, Leroy Merlin, and a relative newcomer, Obramat.

The Leroy Merlin was the second stop—and the third. The retailer is part of Adeo Group, a giant home improvement retail group which owns a number of retail home improvement banners. The first store we visited is very DIY-oriented, with clean lines and a bright layout that reflected the best of Home Depot, RONA+, and IKEA. But another Leroy Merlin is located directly across the highway from this store. The differentiator is the focus on pros and contractors.

“Our mission, our vision, is to make home a positive place to live,” Gil Deas, director of both stores, told the delegates. The pro location generated 21 million euros ($33 million) in sales in 2024 and expects to reach 25 million euros ($39.3 million) this year. It has 52 full-time staff, said Deas, and more than half of them are women. The store works closely with its counterpart across the street to fulfill orders using cross-docking and cross-selling to provide customers with whatever they need in one stop.

But the drive-through was the area that had delegates snapping pictures and taking notes. The winding track allows a car to move through the LBM area, pull over, and load materials as needed from the various bays. These include plywood and lumber, drywall, and concrete blocks. When the products are loaded, the customer’s car licence number is fed into the store’s system. When the customer reaches the exit, the system uploads the order and they can use self-checkout to pay and exit.

It’s a fast and effective system that keeps labour costs—and customer confusion—to a minimum. Who knew there was something new to learn about drive-through lumberyards?

A focus on pro or contractor customers has become a major directive for retailers in the home improvement sector in recent years. And RONA inc. is no exception.

The company says it’s been working to elevate the pro customer experience through an enhanced RONA Pro offering to support contractors and pro customers. “The RONA Pro ecosystem is designed to make every step of the job easier, faster, and more efficient,” a spokesperson from RONA told Hardlines. “We’re closely tracking the impact of this enhanced experience to ensure we’re delivering the highest value possible—and we’ll continue to evolve.”

That evolution will be bolstered by the addition of Jamal Hamad to the RONA team. He is senior vice-president of professional services, sales, and operations. He came over from Home Depot Canada in April 2024 after 25 years there, the last decade working on Home Depot’s pro business.

Hamad’s legacy included overseeing the implementation of Home Depot’s Flatbed Distribution Centre concept in Canada. The FDC gives Home Depot the means to process large orders from individual stores and deliver them directly to jobsites.

RONA recently announced the opening of a second facility of its own. Called the Direct Delivery Centre, this one, located in Hamilton’s Parkdale area, is the second of its kind in the Greater Toronto and Hamilton Area. In operation since April 17, the company expects the DCC to strengthen its ability to serve construction professionals in Southern Ontario communities including Halton, Guelph, Cambridge, Brantford, Hagersville, and the Niagara Peninsula.

While it adds services and programs to better serve pros, RONA is displaying its commitment more visibly in its stores. Big signage indicating its pro business has been added to the exteriors of 92 big box RONA+ stores, with the remaining locations to be converted over the next 12 to 24 months (Carrefour, Que., store shown here).

“Our intention is to roll it out progressively across the country, and we are making the interior pro signage available to our dealers,” the company said. That includes the handful of corporate stores that have not yet been converted to RONA+. Those remaining locations will be converted within the next two years, as well.

Despite the unpredictable spring weather, a strong crowd gathered for a remarkable panel discussion hosted by The Home Depot Canada and the Grand Valley Construction Association (GVCA), focused on the evolving role of women in construction. The event was held late last month at the Cambridge, Ont., Home Depot location on Pinebush Drive, and also included an outdoor vendor showcase.

Moderated by two-time Olympian and GVCA manager of industry and community partnerships Mandy Bujold, the panel featured four inspiring women from across the industry who shared personal journeys, challenges, and visions for change.

Joellah Fletcher, a level two general carpenter apprentice with Just Working Construction Inc., brought a fresh perspective as a young tradeswoman who entered the industry through high school co-ops. “Getting to see the physical results of my work at the end of each day—that’s what drives me,” Fletcher shared. She also spoke passionately about her advocacy outside of work, including hosting local Women on Site meetups.

Sonia Addesa, district manager for the Home Depot, reflected on her 25-year journey from loss prevention to operations leadership. “At one point I was always the only woman in the room. I decided to stop seeing it as a barrier and started seeing it as a challenge,” she said. Addesa credited Home Depot’s inclusive culture and employee resource groups like the Orange Women’s Network for supporting her growth.

Christine Snider, COO at Nelco Mechanical, shared her unconventional path from homeschooling mother to company leader. “In the beginning, I partnered with a male ally who brought my ideas into the boardroom. We have to do this together—men and women,” she emphasized.

Jamie West, Canadian president of Ramudden North America, which is a traffic infrastructure firm, discussed generational transformation. “My dad was my first sponsor. He never made me feel like I didn’t belong in road safety,” said West. Now an executive at a multinational safety company, she’s focused on creating space for others to rise. “Transformation is beautiful—don’t be afraid of change.”

The event underscored a clear message: the future of construction is diverse, inclusive, and powered by courageous leadership and collaboration.

(Shown from l-r: Sonia Addessa, Jamie West, Christine Snider, Joellah Fletcher, and Mandy Bujold)

PEOPLE ON THE MOVE

Brad Bedard has joined Marwood as the new regional sales manager in the Ontario region for the company’s Cape Cod Finished Wood Siding and Cape Cod Engineered Wood Siding. Bedard brings over 20 years of direct industry experience to the role. He was previously a territory manager at Nicholson and Cates Ltd.

Richard Darveau, president of the Quebec industry association AQMAT, has announced he is throwing his hat into the ring in Quebec’s municipal elections this fall. He will seek election as warden of the regional county municipality of Les Pays-d’En-Haut north of Montreal, which includes the communities of Saint-Sauveur and Morin-Heights. If elected, he says, he will step down from his role at the helm of AQMAT.

…that the latest edition of Hardlines Dealer News was sent to subscribers last week? In this issue, we look at Princess Auto’s latest store, Orgill’s response to tariffs, and Home Hardware’s newly appointed chair. Hardlines Dealer News is monthly and it’s free: click here to subscribe now!

Until June 30, RONA+ and RONA corporate stores in Alberta, Manitoba, and Saskatchewan will be collecting donations for victims of the wildfires that have been raging in these provinces. The RONA Foundation will then donate these funds to the Canadian Red Cross, which provides immediate and ongoing assistance to Canadians in need. Donations can also be made at the Canadian Red Cross website.

JLS Building Materials, an independent with two locations, in Bryson and Mansfield, Que., has transferred the business to the next generation. Taking over from founders Jean-Guy and Connie Gutoskie LaSalle are the couple’s son and daughter-in-law, Patrick Lasalle and Ashley Pasch Lasalle. The latter duo have been part of the management team for the past 10 years. JLS was honoured by the industry in 2018, when the business won the Outstanding Retailer Award for Best Building Supply over 15,000 square feet.

The Princess Auto Foundation has donated $50,000 to Conestoga College, based in Kitchener, Ont., in ongoing support of the Princess Auto Foundation Awards, bringing their giving to the college over the past 13 years to $620,000. The Princess Auto Foundation provides financial assistance to students enrolled in pre-employment skilled trades and technology programs at Canadian colleges. Recipients have an unmet financial need and have demonstrated academic skills that will give them a high probability of successfully completing their program.

Walmart Canada is introducing smart lockers in its more than 400 stores nationwide. The initiative, in collaboration with ARC (Asset Recharge Center), will provide storage to manage and protect handheld devices critical to Walmart Canada store operations. The ARC locker system combines smart charging lockers with advanced proprietary device management software, ensuring devices are charged, not missing, and fully functional.

Castle Building Centres Group has announced its 13th annual Academic and Trade Scholarship Program, for the 2025/2026 school year. Academic scholarships will be awarded to students from the Castle community enrolled in a study program at a recognized Canadian university or college. Trade scholarships will be offered to students of an eligible skilled trade program at a Canadian trade college.

Canadian Tire Corp. is investing in a major retrofit and modernization project at its corporate headquarters, affirming that the giant retailer will remain in mid-town Toronto. The reno will be anchored by a new 20-year office lease for CTC’s headquarters at 2180 and 2200 Yonge Street. The project represents a combined investment of over $200 million by Oxford Properties and CT REIT.

More than 500 AD Canada members, industry leaders and partners took part in the 2025 AD Canada Annual Meeting in May at the Westin Harbour Castle hotel in Toronto. The event featured 2,600 strategic booth sessions, where members and suppliers engaged in focused, one-on-one discussions to align on key initiatives and drive relationships.

IKEA Canada has updated its rewards program to offer members “a personalized experience tailored to their unique home furnishing needs.” Customers can now collect points whenever they interact and shop with IKEA. The points can be redeemed for rewards including product discounts, member-only workshops and events, delivery and assembly services, and free coffee or tea at the stores’ Swedish restaurant. The program has over 5.8 million members in Canada.

SUPPLIER NEWS

Imperial Manufacturing Group (IMG) has completed its acquisition of Seal-Tite LLC, a manufacturer of galvanized duct, pipe, and fittings. The company’s production is aimed mainly at the U.S. wholesale market. The agreement was originally reached in December 2021. Seal-Tite, which has locations in Hillsboro, Ohio, and Lebanon, Penn., has been in business for 125 years. IMG will continue to market the Seal-Tite brand and expand its manufacturing capacity.

ECONOMIC INDICATORS

RBC’s Economics department released the following statement last week: “In Canada, early reports from Statistics Canada indicate manufacturing sales contracted by 2 percent in April. Separately reported industry price data shows that three-quarters of that decline was likely price-related. Oil prices were lower, reducing the nominal value of petroleum sales. But the early estimate also flagged a softening in auto manufacturing. The decline coincides with 55,000, or 2.9 percent job losses in the sector since January.”

NOTED

The latest issues of Hardlines’ pro dealer publications have been sent to subscribers. The Q2 issue of our trade magazine, Pro Dealer, mailed in late May. And our monthly e-newsletter, Pro Dealer Business, deployed recently. If you didn’t receive either of these essential publications, you probably have not yet signed up! They are free to dealers! Please go to this page to sign up for both of them!

OVERHEARD…

“Loyalty programs continue to inspire more frequent brand interactions, influence customer behaviour, and play a crucial role in supporting affordability.”
—Jonelle Ricketts, head of marketing at IKEA Canada, on the launch of more personalized rewards and discounts to IKEA customers who belong to its loyalty program.

PREMIUM MEMBER BENEFITS

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members (that’s you!) enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

Store owners and managers across the country have reported a 2024 that was challenging for most regions. And into 2025, things are looking only somewhat better.

In its annual survey of retail dealers, managers, and head offices conducted earlier this spring, Hardlines has determined that the industry was down overall in 2024. We asked dealers what their biggest concerns were, and the one issue that stood out way ahead of all the others was the state of the economy. Fifty-three percent stated this as one of their biggest concerns. (Respondents were asked to list their three top concerns, so results will not equal 100 percent.—Your ever-helpful though somewhat math-challenged Editor!)

Given the uncertainties of the state of trade between Canada and the U.S., 18 percent of respondents cited the effects of tariffs as their biggest concern. “Really concerned about the tariffs and how they will impact us going forward,” said one Ontario hardware store owner. “We are very concerned about proposed tariffs by the U.S.,” added a building centre dealer from Newfoundland and Labrador.

The tariffs on products coming into this country are federal Canadian tariffs, issued by the Finance Department as “retaliation” for American import tariffs. But most people understand that the “retaliatory” tariffs would not be there without President Trump’s tariffs on Canadian goods.

A concern that carried over from last year’s survey was the shortage of labour, with 37 percent this spring reporting difficulties finding staff. “Our major concern is staffing. Small communities like we are in have a major challenge to find any skilled or knowledgeable employees,” reported one building centre dealer in Manitoba. “Most important to me is managing my stores the best I can,” added a hardware store owner in Saskatchewan.

“Our government spends more time supporting other industries than ours,” said a building centre dealer in Ontario. “The ability to find and keep good staff is weak, and the lack of good education for youth is one part.” Another dealer from the same province expressed concern about offering positions that represent a career opportunity for youth. “Attracting and retaining young talent to the industry [is a major concern]. Retail is perceived as representing a fill-in job, not the great future it really has.”

Another concern that ranked high among respondents was sourcing and product shortages. This issue was cited by one-third of respondents, as they look ahead with concern to the possibility of supplies tightening up, as happened during the pandemic. “I am mostly concerned with costing and supply issues for products coming and going across to the U.S.,” one building centre dealer from British Columbia told us.

Another dealer, a building centre dealer in Ontario, shared their concern about where products will be sourced from. “It appears moving forward, we will be asked about the country of origin for each product we sell as our customers are adamant about supporting Canadian manufacturers.”

Marketing was another concern, and actually reported by almost the same amount of dealers and managers as sourcing and product shortages. This issue drew was cited as a concern by 12.3 percent of respondents.

Some comments from respondents addressed other concerns not listed in the survey. For example, a building centre dealer cited “Artificial Intelligence’s impact on the customer-service advantage.” The difficulty of finding affordable housing was a concern expressed by a building centre dealer in New Brunswick: “We hope there will be government investment in affordable housing construction for our population—which would also help the regional economy.”

Perhaps the succinct comment of one specialty building materials seller in Ontario can sum up the key concerns of this industry. They said they are spending their time “Figuring out Trump and his tariffs!”

The new CEO of Home Hardware Stores Ltd. got his start at the company—and his very first job—at the Home Hardware store in Bracebridge, Ont. There, he was hired to assemble barbecues, and to deliver them. “The second job I was excellent at. The first one, not so much,” he said, speaking to a roomful of delegates at this year’s annual conference of the Retail Council of Canada.

The event gathered hundreds of retailers and retail consultants at the Toronto Congress Centre near Pearson International Airport in the city’s west end.

But what struck White about that first job was the authenticity and respect that the store’s owners possessed—an impression that he carried with him when he was being recruited for the top job. Despite its sheer size—representing more than 1,000 dealers nationwide—he was struck by Home Hardware’s low-key approach to promoting itself. “It’s a humble organization that’s deeply rooted in its communities.”

The threat to bricks-and-mortar retail is the ease of buying just about anything online. White referred to the ability of physical retail to combat that through service. “In the store, no matter what business you’re in, there’s that aspect of service when you walk in the store.” That personal interaction, he said, “is crucial.”

White referred to the notion that Home Hardware may need to modernize in some ways, but the service side remains a baseline. “It’s something we will lean into.” A dealer-owned store, he noted, “has skin in the game.”

He used the conference platform to share the Home Hardware story, with less emphasis on history and more on the power and longevity of the brand over 60-plus years. He also made a case for all retail—and retailers—in the country to unite to better help Canadians. That could include working with governments to cut red tape. “How do we become an enabler when it comes to government?”

The notion of a cohesive and collaborative approach by all Canadian retailers to formulate ways to better support Canadians is one that our industry could get behind.

The Retail Council of Canada presented its Excellence in Retailing Awards earlier this week at a gala dinner during its annual conference. Hardware and home improvement retailers were listed among the finalists, including Canadian Tire, Lee Valley Tools, and The Home Depot Canada.

The one winner in this sector was RONA inc. It was awarded in the category of “e-Commerce Experience” for its leadership in digital retail, and in particular for the launch of an AI-powered search tool on Rona.ca.

As part of its digital strategy, RONA launched an online search tool last fall that was integrated to its transactional website. The new search engine relies on an algorithm to provide each customer with personalized search results.

This AI-powered tool learns in real time and automatically adapts its suggested results to the user’s behaviour to personalize their online shopping experience. Instead of simply using word-to-word matches, the tool now presents products that match the customer’s search profile.

“Congratulations to the teams involved in this project for such a well-deserved award,” said J.P. Towner, president and CEO at RONA inc. “I am proud to see their efforts and creativity being recognized nationally. More importantly, I am thrilled to see the impact of this project on our customers, whose satisfaction rate is now significantly higher.”

The tool’s enhanced search experience was identified as delivering measurable improvements in customer satisfaction, helping shoppers find the right products more quickly and intuitively. The company says it’s a key step in RONA’s ongoing efforts to elevate its digital capabilities.

In addition to enhancing the overall online shopping experience, increasing customer satisfaction, and boosting sales, the new technology is also a resource for store employees, who can rely on its search results, which are updated in real time to help customers in store.

“The quality of a search engine is crucial to a great digital experience, and thanks to this project, RONA is truly positioned as the industry leader in e-commerce,” Towner added.

(RONA’s team at the RCC awards shown from l-r: Mélanie Lussier, head of communications, public affairs and sustainable development; Elizabeth Thompson, advisor, corporate communications; Marie-Hélène Cusson, senior director, digital merchandising and analytics; Marie-Ève Dubé, manager, digital category experience; and Craig Arseneau, manager, digital product management.)

PEOPLE ON THE MOVE

At the closing of day one of the Retail Council of Canada’s annual convention last week, the industry gave a standing ovation to Diane Brisebois, who has helmed the association for the past 30 years and is now set to retire. Testimonials from retail leaders for Brisebois shared by video recalled her traits of determination, passion, and leadership.

…that you’ve only got one week left to submit your entries for the 33rd Outstanding Retailer Awards? Nominations for the ORAs are due June 13. The winners will be honoured on Oct. 21 during the 2025 Hardlines Conference in Banff, Alta. Canadian hardware, home improvement, and paint store retailers and managers are eligible after their first two years operating under the current ownership. Click here for the form (disponible en français également)!

Castle Building Centres Group held its first Buying Expo of the summer season last week at the JW Marriott Lake Rosseau Resort, northwest of Bracebridge, Ont. More than 250 Castle member and vendor participants came together for the three-day event. It included a regional member meeting, vendor product showcase, and two days of buying opportunities.

Princess Auto’s new Burlington, Ont., store opened on June 3. Located at 1200 Brant Street, the store offers tools, equipment, and surplus goods. The 31,959-square-foot location aims to serve the growing Southern Ontario market and is the 21st Princess Auto location in the province. A lineup of tradespeople, farmers, and those who love tools and equipment were waiting for the 7 a.m. opening.

RONA inc. is now taking back used air conditioners at 14 of its corporate stores in Quebec until the end of September. The move begins the second phase of the pilot project it launched in four stores last year. Organized in collaboration with its partner, GoRecycle, RONA’s program ensures that cooling appliances are properly recycled. The program, which is the only one of its kind in Quebec, has also received the “Coup de cœur” award from GoRecycle.

Home Hardware Stores Ltd. is sponsoring this year’s Ontario RAM Rodeo Tour, which will travel to 16 locations between May and October. Attendance is expected to reach approximately 2,000 at each event.

Watson Building Supplies and Blair Building Materials marked the opening of their new Owen Sound, Ont., store and showroom on May 22. In April, Hardlines reported that the two companies had partnered to open a 40,000-square-foot drive-through warehouse, contractor shop, large showroom, and a two-acre yard to support exterior products.

Canadian Tire Corp. has completed the previously announced sale of Helly Hansen to Kontoor Brands. In February, Hardlines reported, the company announced it had reached the deal, valued at nearly $1.3 billion. Kontoor, based in North Carolina, is the parent of the Lee, Wrangler, and Rock & Republic denim brands.

SUPPLIER NEWS

The latest round of tariffs targeting Canadian steel and aluminium is drawing ire from across the industry. At a rate of $1,349.50 per metric ton, the tariff effectively makes Canadian exports to the U.S. economically unviable, according to a statement from the Aluminum Association of Canada. The organization added that the tariffs will force the industry to diversify trade toward the European Union.

NOTED

The latest issues of Hardlines’ pro dealer publications have gone out. The Q2 issue of our trade magazine, Pro Dealer, mailed in late May. And our monthly e-newsletter, Pro Dealer Business, deployed last week. If you didn’t receive either of these essential publications, you probably have not yet signed up! They are free to dealers! Please go to this page to sign up for both of them!

OVERHEARD…

“A 50 percent tariff on Canadian aluminium will suppress demand across the continent, whether the metal is produced in Canada or the U.S. It will impact workers on both sides of the border and disrupt key sectors including defence, construction, and automotive.”
—Jean Simard, president and CEO of the Aluminium Association of Canada, on the latest round of tariffs imposed on these sectors by the U.S. government.

PREMIUM MEMBER BENEFITS

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members enjoy an exclusive 20 percent discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

To be successful you always have to be on the lookout for ways to keep ahead of the status quo. That’s why we host the annual Hardlines Conference. It’s a forum for the most innovative ideas in retail, home improvement, HR, and technology.

The Hardlines Conference is also the only truly national event that is open to all banners and suppliers. Our attendees include head office executives from the major buying groups, suppliers, retail chains, and more.

This year marks our 29th conference, which will be held at the beautiful Fairmont Banff Springs on Oct. 21 and 22, 2025. We hold it each year in a different part of Canada, to reflect our national mandate and to better serve our national audience. Our move to Alberta is being done in collaboration with the team at Supply-Build Canada, the Winnipeg-based LBM association. Dealers who are members of this important association will receive a 30 percent discount off their registration at the conference. (Please contact Amanda Camara at Supply-Build Canada for your discount coupon.)

The Hardlines Conference is a great way to learn what the best retailers in this industry are doing to win. But not only that: we are committed to bringing the best thought leaders from other sectors to share their best practices and experiences.

This year’s Hardlines Conference brings together an exceptional group of industry experts, creative strategists, and retail visionaries. From retail strategy and market insights to leadership development and customer engagement, these speakers bring a wealth of experience and perspectives that promises to spark ideas and drive meaningful conversations.

Our confirmed speakers so far are:

• Stephen Bailey, chief marketing officer, John Fluevog Shoes: a creative thinker and energetic leader known for driving growth and engagement through fresh, unconventional marketing tactics.
• Ken Clark, editor-in-chief, Hardware & Building Supply Dealer: a seasoned U.S. industry journalist offering insightful commentary on retail trends and the evolving hardware landscape.
• Nicole Gallucci, founder, In Good Company: a strategic advisor and coach who helps business leaders design growth-focused, values-driven organizations through actionable frameworks.
• David Ian Gray, retail strategic advisor, DIG360: an influential retail strategist guiding companies through shifting consumer expectations.
• Bob MacMillan, store manager, RONA+ Kingston, Ont.: a hands-on retail leader with over 20 years in big box management. Bob is known for energizing his teams, fostering strong associate engagement, and delivering exceptional customer experiences—all while running a fishing charter business on the side!
• Sophie Marai, vice-president, client strategy, Environics Analytics : a seasoned consumer analytics leader with 20-plus years of experience who helps top organizations transform data into strategic action. She brings deep expertise in retail, real estate, and consumer packaged goods, and is known for her compelling insights into evolving Canadian consumer behaviour.
• Joel Seibert, owner and client and business development manager, Mountain View Group of Companies: a forward-thinking dealer who, with his team, has grown his building centre’s success selling to both contractors and DIYers in the Calgary market.
• Dan Tratensek, chief operating officer, North American Hardware & Paint Association: a long-time advocate for independent retailers, offering his association’s insight into training, trends, and industry support systems.

We guarantee that you will be able to take home insights to help your own team grow your business. Besides great learning, you’ll have an opportunity to network with other successful dealers, key suppliers, and retail managers from across the country. And most important, it’s always great fun! (PHOTO: Jozef Povazan Photography)

A panel discussion on the Buy Canadian movement was held last month to discuss the benefits and drawbacks of the approach to seeking out domestic companies and products. The panel, moderated by Hardlines’ own Michael McLarney, was part of a symposium hosted by the Canadian Home Products Trade Association (CHPTA) in Toronto.

Alison Fletcher, owner of Cookery, a chain of housewares stores located in Montreal and Toronto, gave her views from the front lines of independent retailing. “I’m sure everyone is experiencing this, but it’s a daily project to understand what the cost prices are going to be,” Fletcher said. “Will it be the cost price that we secured last August or October? Every business is price-sensitive. If you’re in a business where you think it’s not price-sensitive, you are not fully aware!”

Chris Saniga, chief B2B officer at Staples, noted that his company is owned by an American corporation, private equity firm Sycamore Partners in New York City—the same company that owns RONA inc. Saniga noted that being American-owned is no handicap to Staples going out with Canadian product marketing. After all, tens of thousands of Canadians work for Staples—and for RONA—and both companies source from Canadian vendors.

But he does offer a caveat. “You want to be super careful designating a product as made in Canada—there’s lots of people ready to call you on that. We’re being very careful about that, making sure we’ve got it right.” Staples takes its American ownership “head on,” Saniga said.

Tracy Platt, associate vice-president for product development, consumer brands division at Canadian Tire Corp., made a distinction about “made in Canada” products and Canadian-developed products, which might be conceived here, designed here, but made overseas. “Consumers are very torn,” Platt said. “Where the consumer mindset is, and how it’s going to play out in different industries, is something we really need to watch.”

(Shown l-r: Shawn Ettinger, senior national procurement manager at TIMBER MART; Chris Saniga, chief B2B officer at Staples; Chris Parsons, retail consultant and former senior director of omnichannel marketing at Home Hardware Stores Ltd.; Tracy Platt, associate vice-president for product development, consumer brands division at Canadian Tire; and Alison Fletcher, founder of Cookery, a chain of specialty housewares stores.)

RONA is changing its lineup of corporate gatherings for the year by creating a single event that will bring together its affiliated dealers, store managers, and vendors, along with the retailer’s own professional services and company leaders, all in one forum.

Called “RONA Momentum,” the large-scale event will merge RONA’s four key annual meetings: RONA Connexia for its dealers, the Vendor Forum, the annual Store Manager Meeting, and the Pro Services team meeting.

The Momentum event will take place Oct. 14 to 16, 2025, at the Quebec City Convention Centre. Organizers expect to draw more than 1,400 participants. In the past, the retailer’s dealer event, Connexia, and its dealer shows prior, were held in Montreal.

Attendees will come together for three days of conferences, exhibition, workshops, and celebrations that will provide them with an opportunity to network, get updates on the RONA network’s priorities, and, more importantly, to discover and learn about products offered by hundreds of vendors.

(We’ll have more details about RONA’s Momentum event in future issues!—your ever-helpful Editor)

Retailers are getting more imaginative in how they manage their loyalty programs. That includes innovative efforts to cross-promote different corporate cards and points sharing.

Canadian Tire Corp. has been a pioneer in the loyalty plan game, recognizing early on the potential to leverage data through its Triangle Rewards program and respond to consumer behaviour.

In March, CTC took a new step with the program, pairing Triangle with RBC’s Avion Rewards. The strategic partnership between the two firms allows holders of RBC credit cards to connect them with their Triangle accounts starting next year.

Then in May, CTC announced a new partnership with WestJet. Beginning in early 2026, the two firms said, they will allow Triangle Rewards and WestJet Rewards to link their loyalty accounts and enjoy benefits, including exclusive offers, across both programs.

Linked members will earn stacked rewards (Canadian Tire Money and WestJet points) when booking a WestJet flight or vacation package—or shopping at one of Canadian Tire’s retail banners.

Loyalty programs are such a boon to retailers that even the potential impact on profits doesn’t faze them. Loblaw Cos. took a $129 million non-cash charge to its bottom line in Q4 of last year from the redemption of PC Optimum points.

“What it reflects is that more and more consumers are liking PC Optimum and using it, so from our perspective we’re more than happy to do it,” Loblaw CFO and president Richard Dufresne told analysts when the company reported those numbers in March.

Meanwhile, Home Hardware Stores Ltd. has built on its own partnership with Scotiabank. Customers who pay with their Scene+ Visa card can now take advantage of flexible financing options on purchases over $250. They can either defer payment for up to 12 months or pay in installments for up to 24 months, with no interest or fees.

The same Scotia SelectPay plan can be used at other merchants to pay for purchases across three, six, or nine months with interest rates starting at 5.99 percent. Mobile and online banking clients can also use those platforms to convert purchases made on an eligible Scotiabank credit card into SelectPay purchases. (PHOTO: Geoff Fitzgerald)

PEOPLE ON THE MOVE

Royal Building Solutions, a national distributor of exterior building products, has announced the addition of Andre Cloutier to the position of regional sales manager for Quebec, reporting to Brad West, director of Royal Building Solutions. Cloutier will step into the role left vacant by Germain Couture, regional sales and operations manager for Quebec, whose retirement was effective May 2. “Andre joins us with over 20 years of experience in market development across several companies, with the last 15 years in the Quebec building products industry,” West said in a statement. “Andre will lead the team of five sales representatives at our four Quebec branches located in Quebec City, Sherbrooke, Terrebonne, and St- Bruno.”

…that the latest episode of What’s In Store, our podcast series for hardware industry insiders, is live? The podcast features David Ian Gray, principal at Vancouver-based DIG360 and a retail strategist and expert. Gray talks with Hardlines editor Rebecca Dumais about the changing retail landscape, including the impact of tariffs on Canadian businesses, the fall of iconic brands Hudson’s Bay and Peavey Mart, and how to chart a path in uncertain economic times. Gray will also be one of the presenters at this year’s Hardlines Conference. (Listen to all the Hardlines podcasts here!)

In our lead article from last week’s (May 26) Hardlines Weekly Report, we ran the news that Canadian home improvement executive Marianne Thompson had been hired as EVP of Transformation and Integration at Do it Best Corp. She will be in charge of merging the Do it Best, True Value, and United Hardware organizations. We understated the size of Do it Best in our report, saying that they had 3,350 dealers. In fact, they have more than 4,000 dealers. Hardlines regrets the error.

RETAILER NEWS

The Grand Valley Construction Association and The Home Depot Canada hosted a premium pro event at the retailer’s location in Cambridge, Ont., on May 21. The event featured a panel discussion from various women in the construction industry, as well as a product showcase from many vendors.

Manugypse, a TIMBER MART member with three locations in the province of Quebec, has been named one of Canada’s Best Managed Companies. The program awards excellence in private Canadian-owned companies with revenues of $50 million or greater. Manugypse is a commercial dealer that has three facilities that serve contractors and builders across the Greater Montreal, Quebec City, and Chaudière-Appalaches markets.

Castle Building Centres Group Ltd. has added a new member location in Quebec. Barbe Aluminium et fils is located in Ste-Marthe-sur-le-Lac, on the North Shore of Montreal. Martin Barbe and his wife Sonia Daoust Barbe founded the business over two decades ago.

Plans are in the works for Hudson’s Bay Co. to sell up to 28 of its store leases. If approved by the court, Weihong Liu, the billionaire founder of B.C.-based real estate investment firm Central Walk, plans to open a new department store focused on bridging the gap between generations and providing immersive shopping experiences. In addition, about 8,300 staff have been laid off as the remaining Bay stores closed their doors once and for all on June 1.

RONA inc. has announced the launch of RONAGO, a new “micro-learning platform” geared at teaching team members how to navigate the day-to-day challenges of operating their business. Users can take advantage of a mobile app to learn at their own pace. The app was devised by the company’s Learning and Development Team.

SUPPLIER NEWS

The formerly named Building Products of Canada will now be known as BP Canada, as the Montreal-based company celebrates its 120th anniversary. The company has passed through various owners in its existence—and in the 1960s and 1970s was owned by oil company Esso. In September 2023 it was acquired by Saint-Gobain, the international conglomerate that designs, manufactures, and distributes building materials. BP is now part of a large group, in this country, that includes CertainTeed, Kaycan, and Bailey Metal Products.

ECONOMIC INDICATORS

Retail sales increased 0.8 percent to $69.8 billion in March. Sales were up in six of nine subsectors and were led by increases at motor vehicle and parts dealers. Core retail sales rose by 0.2 percent, a second consecutive monthly gain, led by a 2.6 percent sales increase in LBM and garden categories. (StatCan)

The 2025 Hardlines Retail Report will be available for purchase this summer. This essential resource contains proprietary data breaking down the size of the industry by store type, banner, and province/territory. Watch this space for ordering information (including special pricing for Hardlines Premium Members like you)!

OVERHEARD…

“The market’s looking for it, right? You have a lot of cottage plants, mom-and-pop shops, from the 70s or 80s. They might be even be second generation and looking to retire now. Some of these plants, they’re in good locations, they’re strong plants, they’ve got great people. And consolidation helps a lot of these employees in the industry. It’s not a bad or a good thing. It’s just an opportunity that exists.”

Warren Cinquina, vice-president of operations at London Truss, in London, Ont., talking about the consolidation now occurring in Canadian truss plants. Cinquina is the current president of the Canadian Wood Truss Association. The comment is in the current (Q2) issue of Pro Dealer magazine. Pro Dealer magazine is free to contractor-specialist retailers. Click here to sign up.

PREMIUM MEMBER BENEFITS

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members enjoy an exclusive 20% discount on tickets. To get your coupon code, contact michelle@hardlines.ca.

Marianne Thompson has been appointed executive vice-president of transformation and integration at Do it Best Corp. south of the border, responsible for merging three companies into the largest (in terms of points of sale) independent home improvement network in the world.

Thompson knows about handling tough jobs. She spent five years at Home Hardware Stores Ltd., under then-president Kevin Macnab, culminating as chief commercial officer. In that role she was the face of the company to the industry during a time of big changes.

She left Home Hardware at the end of 2023 and now faces an enormous challenge at Do it Best. The dealer-owned co-operative, based in Fort Wayne, Ind., made news last fall when it acquired one of its biggest competitors, True Value Co.

After declaring bankruptcy on Oct. 14, 2024, Chicago-based True Value managed to avert liquidation with the sale to its former rival for US$153 million in cash. The deal resulted in a combined independent dealer network of about 8,000 locations—some 4,500 independent stores from True Value and more than 4,000 dealer-owned stores from Do it Best. Another dealer-owned co-op, United Hardware, which was acquired by Do it Best in March 2024, is also part of the consolidation process.

As the executive vice-president of transformation and integration, Thompson will be based out of Fort Wayne, though she expects to spend a lot of time at the True Value office in Chicago.

She took time from her duties to share some insights with Hardlines. Here is an edited version of the conversation:

What does the new title entail? Will you be working with dealers? Will you be involved in vendor discussions? “My primary responsibility is to lead the successful transformation and integration of Do it Best, True Value, and United Hardware as we merge the best practices of our operations into a stronger, fully unified organization. I’m also accountable for defining and executing long-term strategies to enhance member, customer, and retailer services, as well as drive operational efficiencies and accelerated growth.”

Will you take best practices from both sides? True Value will remain a banner for those existing dealers, correct? “Absolutely—on both fronts. Do it Best, True Value, and United Hardware have all achieved the common goal of supplying products to independent retailers, though each has done so through distinct approaches. A key part of my role is to identify and integrate the best practices from all three organizations to ensure we’re delivering maximum value and service to our members and retailers.

“Regarding the True Value brand, this will not just continue to exist but will thrive under our leadership. The brand has amazing recognition around the world. It’s also extremely important to our True Value retailers’ identity in their communities. We have already invested in the brand. We will continue to invest in the brand, not only to build it back to what it used to be, but for it to grow and thrive in a highly competitive marketplace.

“As the champion of independents, we believe our strength comes from our retailers—not the other way around.”

Will they share distribution centres? There’s overlap, so rationalization is ahead? Any time frame? “Yes, while we are still only six months in, we are actively developing our pathway for integration of our distribution network. While all current DCs will remain open in the short term (except the four we’ve already closed), the long-term plan includes consolidating and optimizing the network.

“With nearly 20 combined facilities across the country, there’s a clear overlap and an opportunity to drive the operational efficiency Do it Best is known for. However, any changes will be made carefully to avoid disrupting retailer service.”

The industry’s two leading retailers both announced their first-quarter results last week, providing an important bellwether for what retailers of all sizes in North America—and Canada in particular—are facing.

Home Depot’s quarterly results came out first, reporting Q1 net earnings of US$3.56 per share, down three percent from a year earlier and just short of Wall Street estimates of $3.59. Revenues rose by 9.4 percent to $39.86 billion. Same-store sales fell by 0.3 percent, a bigger drop than the expected 0.2 percent.

Despite currency fluctuations, the company confirmed on a call to analysts that Canadian performance was below that of the U.S. “In local currency, Canada posted comps below the company average, while Mexico posted positive comps,” said Ted Decker, Home Depot’s chair, president, and CEO.

Lowe’s Cos. reported Q1 net income of US$1.64 billion, or $2.92 per share, down from $1.8 billion a year earlier but beating estimates of $2.88 per share. Revenues of $20.93 billion were also down, from $21.4 billion. Same-store sales fell by 1.7 percent, a bigger drop than rival Home Depot.

In announcing its results, Home Depot stressed that it plans to keep prices unchanged despite the threat posed by U.S. tariffs. Within 12 months, no single country outside of the U.S. is expected to represent more than 10 per cent of the retailer’s purchases, Home Depot announced.

Likewise, Lowe’s execs sent a message of buying in the United States. “Roughly 60 percent of our purchases originate in the U.S., or approximately $30 billion on an annual basis,” said CEO Marvin Ellison. “Over the past several years, we’ve been partnering with our private- and national-brand suppliers to diversify our global sourcing efforts. As a result, approximately 20 percent of our purchase volume is currently concentrated in China.”

Looking to the end of the fiscal year, Home Depot is holding to forecasts of total sales growth of up to 2.8 percent, which will take into account the opening of about 13 stores this year. The company anticipates a 1.0 percent increase in comp sales.

Lowe’s is forecasting total sales of $83.5 to $84.5 billion, compared with $83.6 billion in 2024. Its expectations for its comp sales are in line with Home Depot’s, at flat to up by 1.0 percent.

Dealers on both sides of the border are facing challenges of pricing and supply. Orgill, the U.S.-based hardware wholesaler, has the added challenge of serving customers in both the U.S. and Canada. Some of their executive team shared their insights and strategies to help dealers cope.

David Mobley, EVP – sales, advises dealers to stay in close touch with their distributors and suppliers and be prepared to adjust pricing quickly to protect margins. “First off, I’d say don’t panic—but be prepared. Tariffs may or may not hit in a big way, but either way, retailers need to have a robust process for both staying on top of how the market is shifting and then handling price changes in a timely and effective way.”

To prepare for and mitigate any tariff-related impacts, Orgill is keeping an eye on both its private-label brands and product from its independently branded vendors. “For the private-label side, we’ve already made significant shifts,” says Clay Jackson, Orgill’s EVP and COO. “About 50 percent of that product is no longer sourced from China, and we’re planning to get that down to 25 percent by year-end.

“We’re also exploring alternative sourcing opportunities across multiple countries and working closely with our factories and sourcing agents to identify efficiencies and share the fiscal responsibility—rather than pushing all the costs onto the retailer or eating them ourselves.”

When it comes to price increases, he says, “It’s all about collaboration that involves working with them on sourcing alternatives, or—when necessary—reassorting the line altogether.

That’s especially hard, says Jackson, when it comes to categories like holiday, as 80 to 90 percent of these products still come from China. “You can’t just move that production overnight, if at all. For those critical programs, the programs that are pre-booked well in advance, we’ll of course honour our commitments to customers on prices. If a customer booked at a spring market price, we’ll eat the incremental cost if necessary. That’s part of being a reliable partner.”

New data from the Canada Mortgage and Housing Corporation (CMHC) tells the story of sluggish housing, with starts increasing by just 2.4 percent in April to 240,905 units. And while the latest data on existing home sales provides some year-over-year positive growth, it remains below traditional averages.

Housing starts saw an increase of 17 percent year over year. The Montreal area saw the greatest improvement with a 64 percent year-over-year rise, driven by greater activity in multi-unit starts, according to CMHC. Vancouver, meanwhile, saw a 6.0 percent increase, also driven by multi-unit starts. Toronto, which has already seen a stark drop in home and condo sales post-pandemic, continued to experience a significant decrease, however, in multi-unit starts.

According to April data from the Canadian Real Estate Association (CREA), the number of home resales recorded over Canadian MLS Systems was unchanged at -0.1 percent between March and April, signaling a pause in activity.

New housing supply declined by 1.0 percent month-over-month. Combined with flat sales, the national sales-to-new listings ratio climbed to 46.8 percent compared with 46.4 percent in March. There were 183,000 properties listed for sale on all Canadian MLS Systems at the end of April, up 14.3 percent from a year earlier, but still below the long-term average for that time of the year of around 201,000 listings.

“At this point, the 2025 Canadian housing story would best be described as a return to the quiet markets we’ve experienced since 2022, with tariff uncertainty taking the place of high interest rates in keeping buyers on the sidelines,” said CREA’s senior economist Shaun Cathcart.

“Given the increasing potential for a rough economic patch ahead, the risk going forward will be if an average number of people trying to sell their homes turns into a large number of people who have to sell their homes, and that’s something we have not seen in decades.”

Early this year, the Fraser Institute reported that the annual number of new homes being built in Canada in recent years is the same as it was in the 1970s, despite annual population growth now being three times higher.

“Despite unprecedented levels of immigration-driven population growth following the Covid-19 pandemic, Canada has failed to ramp up homebuilding sufficiently to meet housing demand,” said Steven Globerman, a senior fellow at the Fraser Institute.

…that the latest edition of Hardlines HR Advisor hits inboxes this week? In this issue, we explore what deters employees from taking advantage of workplace supports and how Wolseley Canada is investing in the next generation of tradespeople. HR Advisor is monthly and it’s free: click here to sign up today!

Kent Building Supplies has opened a new store in Summerside, P.E.I. The 54,000-square-foot location on Roy Boates Road replaces an existing store on Eustane Street. With a drive-through lumberyard and project centre, the store is designed to appeal to both retail and contractor customers. It employs 78 and has a FedEx drop-off station.

BMR Group has announced the addition of CBS Bancroft in Central Ontario and Severn Building Supply, with locations in the communities of Brechin and Coldwater, to the BMR Pro banner. The new members expand the group’s footprint in Ontario and reflect its efforts to position itself as the top destination for pros. CBS Bancroft has been in business since the 1970s and was purchased by a trio of business partners in 2021. Severn Building Supply was founded two years ago by three entrepreneurs serving Simcoe County, north of the Greater Toronto Area.

Hudson’s Bay Co. has closed its doors, but its intellectual property, including its famous stripes and logos, is being sold to Canadian Tire Corp. for $30 million. “Canadian Tire and the Hudson’s Bay Co. are among the nation’s longest-standing companies, with a combined Canadian heritage measured in centuries,” Canadian Tire CEO Greg Hicks said in a release. “Some things are just meant to stay Canadian and we are honoured to welcome many of HBC’s leading brands—including the iconic HBC coat of arms and the stripes—into our Canadian Tire family.”

Mountain Equipment Co. (MEC) has new owners. The transaction shifts MEC’s ownership to a group of Canadian investors after being in the hands of Kingswood Capital Management, a Los Angeles-based investment firm that acquired MEC in 2020. The new investor group is led by Tim Gu, chairman of Unisync Corp., a publicly traded Canadian uniform and workwear company. Gu is also an investor in Canadian brands Tilley and Roots. MEC has 24 camping and outdoor living stores in Canada.

SUPPLIER NEWS

The siding market has got a powerful new competitor from Canadian-owned Marwood Ltd., of Tracyville, N.B. The company has announced the launch of Cape Cod Engineered Custom Siding (ECS), effective June 16 in Ontario, Quebec, and Atlantic Canada. It says the line is Eastern Canada’s “first fully-serviced, custom-colour siding built on LP SmartSide.” Gillfor will distribute ECS alongside Cape Cod Siding in Ontario. Taiga will distribute both product lines in Quebec and Atlantic Canada and ECS in Ontario. Nicholson and Cates will distribute Cape Cod Siding in Ontario.

Weyerhaeuser Co. is selling its lumber mill in Princeton, B.C., to the Gorman Group, parent company of Gorman Bros. Lumber Ltd., a family-owned wood products manufacturer headquartered in West Kelowna, B.C. The cash purchase price is about $120 million and includes Weyerhaeuser’s manufacturing facility, all associated timber license assets in British Columbia, and the value of working capital. Weyerhaeuser and Gorman Group have a long-standing relationship in Canada. Gorman Bros. Lumber is currently the Princeton mill’s largest customer. With offices and facilities in B.C. and Washington state, Gorman Group has operated in Canada for more than 75 years.

The Retail Council of Canada is hosting its 2025 Store Conference on June 3 and 4 at the Toronto Congress Centre. From transformative tech to economic insight and leadership in action, RCC Store Conference is where Canada’s retail future comes into focus. This two-day retail event gathers more than 2,000 participants, and speakers this year include Ian White, president and CEO of Home Hardware Stores Ltd. (Visit the RCC Store 2025 website for more information on the agenda.)

IN MEMORIAM:

Peter Rebello, a former LBM executive, has died. He was 76. Rebello spent more than four decades in this industry, including 20 years at Louisiana Pacific Corp., where he served as national accounts manager for Canada before retiring in 2019. Born in Mumbai, India, Rebello immigrated with his family to Montreal at the age of 16. He is survived by his wife Louise, plus 11 children and 37 grandchildren.

Ace Hardware Corp., on the release of its latest quarterly results, noted that recent tariffs imposed by the U.S. on companies worldwide will increase the cost of its goods. It intends to pass these increased costs through to its retailer customers and expects those dealers to pass these increased costs through to consumers.

OVERHEARD…

“It’s always huge, but right now retailers need to know their distributor is vetting price increases and not just passing them along. We work to validate every change in the market before pushing it to our partners. We don’t claim to know everything, but we’re transparent about what we do know.”
—David Mobley, EVP – sales at Orgill Inc., the U.S. hardware wholesaler, on the importance of solid retailer-supplier relations amidst the pricing uncertainties caused by tariffs.

PREMIUM MEMBER BENEFITS

Registration is now open for the 2025 Hardlines Conference at the iconic Fairmont Banff Springs! Hardlines Premium Members enjoy an exclusive 20% discount on tickets. To receive your coupon code, contact michelle@hardlines.ca.

After more than a decade, Home Hardware Stores Ltd. has a new chair of the board. Last week, the company announced that Julie Pouliot has been appointed to the position.

Pouliot is a seasoned industry expert with over 22 years in the home improvement retailing sector. She owns and operates Grant Home Hardware Building Centres, with three locations in Northern Ontario, between Sudbury and Timmins. They’re in Temagami, Temiskaming Shores (formerly New Liskeard), and Kirkland Lake.

(Shown l-r: Julie Pouliot; Ian White, president and CEO of Home Hardware Stores Ltd.; and Christine Hand, outgoing chair.)

In a release, Pouliot shared her enthusiasm for taking on the new role. “I am honoured that the board has put their trust in me to lead the company at such a pivotal moment in Home’s history.”

Even though she’s freshly in the chair’s job, Pouliot has been on the board for 10 years. During that time, she’s served in different positions, including chair of both the Corporate Governance and Nominating Committee and the Human Resources and Compensation Committee.

“We are fortunate to have someone of Julie’s experience and commitment as chair of our board,” said Ian White, Home Hardware’s president and CEO. “Her in-depth knowledge of our dealer network—the foundation of our business—and strong operational background position her well to provide leadership in shaping Home Hardware’s next chapter of strategic growth and development.”

Pouliot succeeds Christine Hand, owner of Handyman Home Hardware in Conception Bay South, N.L., who is retiring after 22 years on the board, including 13 of them as chair. Earlier this year, in partnership with her son, Thomas Hand, she acquired a second store, a long-standing building materials location also in Conception Bay South.

Along with her roles with Home Hardware, Hand has made her mark in other ways. In both 2015 and 2017, she was recognized as one of Canada’s Most Powerful Women by the Women’s Executive Network. (But we’re most proud of the fact that she presented at the Hardlines Conference not once, but twice, in 2006 and 2019! —Your unabashed Editor.)

RONA inc. finalized last week the conversion of 15 more stores to its RONA+ banner. The company, which made the RONA name its sole corporate banner in October 2024, continues its brand repositioning project. It is relying on the history of the RONA name, which goes back over 85 years, and its deep roots in Canada’s communities—especially in Quebec where the company got its start.

The planned conversions of these stores to RONA+ was first announced in December 2024.

RONA said that RONA+ offers an improved home improvement experience to pros and DIYers alike. A release said that RONA+ offers “great prices, a wide selection of skillfully designed products, flexible payment options, and much more.” The stores with the updated banner got some additional tweaks. They include dedicated spaces for brands such as DeWalt, improvements in the kitchen and seasonal departments, and a complete makeover of the pro department—including some bold exterior signage.

“Canadians truly connect with our brand, and RONA’s enhanced store concept has won over our customers. Indeed, stores that have been converted across Québec and Canada are flourishing,” said J.P. Towner, RONA’s president and CEO. “The enthusiasm for our brand in recent months is a testament to our efforts, and this makes me very proud.”

The newly converted stores are located at:
•          RONA+ Carrefour Laval – 3065, boul. Le Carrefour, Laval
•          RONA+ Saint-Laurent – 3600, boul. de la Côte Vertu, Saint-Laurent
•          RONA+ Saint-Bruno-de-Montarville – 1221, boul. des Promenades, Saint-Bruno
•          RONA+ Trois-Rivières – 4025, boul. des Récollets, Trois-Rivières
•          RONA+ Chicoutimi – 465, boul. du Royaume Ouest, Chicoutimi
•          RONA+ Gatineau – 777, boul. de la Cité, Gatineau
•          RONA+ Mascouche – 175, montée Masson, Mascouche
•          RONA+ Galeries d’Anjou – 7273, boul. des Galeries d’Anjou, Anjou
•          RONA+ Gatineau (Le Plateau) – 165, boul. du Plateau, Gatineau
•          RONA+ Joliette – 2000, boul. Firestone Est, Notre-Dame-des-Prairies
•          RONA+ Saint-Eustache – 440, rue Dubois, Saint-Eustache
•          RONA+ Saint-Jean-sur-Richelieu – 170, rue Moreau, Saint-Jean-sur-Richelieu
•          RONA+ Granby – 200, rue Saint-Jude Nord, Granby
•          RONA+ Rimouski – 385, boul. Arthur-Buies Est, Rimouski
•          RONA+ Brossard (Dix30) – 9800, boul. Leduc, Brossard

(Shown from l-r: J.P. Towner, President and CEO, RONA inc.; Andréanne Larouche, MP for Shefford; Robert Vincent, city councillor, City of Granby; Alexandre Pronovost, actor, “Mike chez RONA”; Éric Lamarche, store manager, RONA+ Granby; Stéphane Giard, Granby city councillor; Sylvain Proulx, SVP, store operations at RONA inc.; and Marc-André Morency, constituency office manager and MP for Granby)

Canadian Tire Corp. reported generally positive first-quarter results last week, with revenues of $3.46 billion, a 3.7 percent increase from the comparable period of 2024. Within Canadian Tire Retail, the division that includes the Canadian Tire stores, retail sales were up 4.9 percent and comp sales rose 4.7 percent.

Net income for the quarter was $47.0 million, for continuing operations, down from $79.1 million in the same period of 2024. This was the first quarterly report in which Helly Hansen was treated as a discontinued business segment. (CTC announced in February the sale of the brand to Kontoor Brands; that transaction is expected to close during the current quarter.)

Q1 also saw the launch of Canadian Tire’s True North business strategy, building on its previous Better Connected plan. “Over the past many years, the progress we made with Better Connected became a springboard for True North,” CEO Greg Hicks told analysts.

Hicks broke down True North into “four strategic cornerstones: delivering great modern retail experiences, expanding the sales impact of our coveted loyalty program, anchoring on customer data and insights that grow our business, and by becoming a tech-driven, agile and efficient company.”

He added that the strategy will “see us show up better for customers online as we hone omnichannel shopping experiences with digital and web investments,” while noting that growth in e-commerce “outpaced bricks and mortar” during the quarter. Nevertheless, TJ Flood, CTC’s executive vice-president and COO, said that there was alignment between online and in-person sales in terms of which categories were showing growth.

The introduction of same-day delivery, begun in Q4 of last year, was a major milestone for the company. “We have faster and easier fulfilment and our express same-day delivery is now available to nearly 90 percent of Canadians,” said Hicks. At the same time, he acknowledged that “we need to be more purposeful with regards to e-commerce” going forward.

Hudson’s Bay Co. has received an extension under the Companies’ Creditors Arrangement Act to July 31. It was originally set for May 15. The move comes as the company continues to seek new ownership after filing for bankruptcy in March.

By April an Ontario court had approved Hudson’s Bay’s request to initiate a Sale and Investment Solicitation Process (SISP) and a lease monetization process. The SISP will explore strategic investments, partnerships, or sales to support the best possible outcome, the company stated, while the lease monetization process may unlock value from the company’s lease portfolio.

In recent weeks, 17 bidders have stepped up to purchase the company or its intellectual property, while 12 are seeking the company’s 39 leases across Canada.

Last week, Canadian Tire Corp. announced that it would purchase HBC’s intellectual property, including its logo, brands, coat of arms, and iconic four-stripe design made famous by its point blankets. “Some things are just meant to stay Canadian,” Hicks said in the release announcing the transaction, which remains subject to court approval.

New filings show that the remaining Hudson’s Bay department stores and three Saks Fifth Avenue locations will remain operational until June 1, 2025, and all property must be vacated by June 30, 2025.

Meanwhile, Canadians have scooped up HBC merchandise, with many notable items such as point blankets making their way to eBay and other online auction sites. “We are extremely fortunate to have such an engaged community behind us,” said Liz Rodbell, president and CEO of Hudson’s Bay. “Our associates have been met with extraordinary kindness from our customers, each of whom reflects the cherished relationships we have built together over generations.”

The company now has just six stores that remain open. Three of them are in the Toronto area: its heritage flagship store in downtown Toronto, plus Yorkdale Shopping Centre, and Hillcrest Mall in Richmond Hill. The other three are in the Montreal area, including its heritage property in downtown Montreal, CF Carrefour Laval mall, and CF Fairview Pointe-Claire mall.

HBC has been liquidating its assets to pay off more than $1 billion to vendors, suppliers, and landlords. This rush to shore up the company’s finances has left many indigenous groups concerned and raises the question of what should happen to its extensive historic and indigenous collections when HBC is gone.

Earlier this year, an Ontario judge gave the company permission to auction off its collection of more than 4,400 artifacts and art pieces along with the 355-year-old royal charter granted by King Charles II of England and Scotland in 1670. The Assembly of Manitoba Chiefs has requested a stop to any sale without proper consultation with First Nations.

“They have dehumanized us by monetizing and commodifying our culture and who we are. And that perpetuates, and it continues on into today,” Derek Nepinak, chief of Minegoziibe Anishinabe in Northern Manitoba, told APTN News. HBC has stated that it is working with advisors and the court-appointed monitor to ensure stakeholder interests and concerns are properly considered.

Meanwhile, the Canadian Advisory Committee for Memory of the World has specifically requested the historic charter be transferred to a public archival institution to ensure its long-term preservation and access.

Joe Jacklin has joined Maple Ridge, B.C.-based Vista Railing Systems Inc. as sales development manager for the Outdure product line. Vista announced recently that it had picked up exclusive distribution rights for the deck framing line across Canada. Vista has also announced three promotions: James Scott becomes national sales manager; Dwayne Walser is promoted to sales manager, Ontario; and Carol Mussi becomes marketing manager.

A backlash by shareholders of Reitmans has resulted in a shakeup at the specialty apparel retailer. That includes a new addition to its board of directors, longtime technology executive Martin Thibodeau. Thibodeau has over three decades of senior retail leadership experience in IT and is currently SVP and chief information officer at RONA inc. He’s also a board member at Centraide (United Way). Reitmans operates 390 stores across the country under a variety of banners.

…that Hardlines is calling for entries for the 33rd Outstanding Retailer Awards? Entries are due June 13, 2025. The ORAs are the only national awards program in Canada recognizing hardware, LBM, and paint retailers across all banners. Winners get to attend the Hardlines Conference and Awards Gala as our guests and be featured in Hardlines Home Improvement Quarterly magazine. Click here for more info and to download the nomination package (disponible en français également)! The ORAs will be presented Oct. 21 during the 2025 Hardlines Conference in Banff, Alta.

AD Building Supplies – Canada has announced that Epcor Building Supply of Burlington, Ont., has joined the buying group. The company sells construction and restoration products specializing in building envelopes. Epcor carries a comprehensive selection of materials for restoration, waterproofing, and maintenance.

The federal government will review, under the Investment Canada Act, the purchase of Calgary-based Parkland Corp. for US$9.1 billion by U.S. gasoline giant Sunoco. Under the act, Ottawa can disallow a foreign takeover if it finds there is likely to be damage to the national interest. Parkland has 4,000 retail locations in 26 countries, and operates gas stations under the Chevron, Esso, and Fas Gas Plus brands. It also holds the rights to the On The Run gas station convenience brand. Ian White moved from Parkland last November, where he was president of Parkland Canada, to become president and CEO of Home Hardware Stores Ltd.

Ace Hardware Corp. reported first-quarter revenues of US$2.2 billion, a 4.2 percent increase over the same quarter in 2024. However, net income was down by almost a third to $30.3 million. Consolidated revenues for the quarter reached $2.2 billion, while total wholesale revenues were $2.1 billion, an increase of $75.1 million, or 3.8 percent.

SUPPLIER NEWS

Orgill has partnered with Sodimac, Latin America’s largest home improvement retailer, as its exclusive U.S.-based distribution partner for hardlines products. Founded in 1952 and based in Chile, Sodimac has over 260 stores throughout South and Central America with estimated sales of $6.4 billion. It’s part of parent company Falabella, whose total sales exceed $17 billion.

All Weather at Home has been recognized again this year as a Platinum Club member of Canada’s Best Managed Companies. The award marks All Weather’s 17th consecutive year on the list and 11 straight years at the Platinum level. The Canada’s Best Managed Companies program highlights privately-owned Canadian businesses annually that exemplify resilience, innovation, and leadership.

A group of shareholders including the leaders of Technoform Industries has acquired the assets of Luxo Marbre. Technoform’s president Richard Davidson and VP Annie Caron say they want to “live up to the brand’s potential” under the new name of Créations Luxo. The new owners have also announced a partnership with Davidson Sales & Marketing, which will represent Luxo to Canadian retailers.

The Retail Council of Canada is hosting its 2025 Store Conference on June 3 and 4 at the Toronto Congress Centre. This two-day retail event gathers more than 2,000 participants and speakers this year including Ian White, president and CEO of Home Hardware Stores Ltd. (Visit the RCC Store 2025 website for more information on the agenda.)

ECONOMIC INDICATORS

In March, the total value of building permits decreased by $549.4 million, or 4.1 percent, to $12.9 billion. The decrease was led by the non-residential sector, down by 14.5 percent, or $716.3 million, but buoyed by the residential sector, which was up by 2.0 percent, or $166.9 million. (StatCan)

The latest edition of Hardlines Dealer News has landed in subscribers’ inboxes. In this issue, we get to know Home Hardware’s new president and CEO, explore the pitfalls of the Buy Canadian push, and unpack Lowe’s latest expansion. Hardlines Dealer News is monthly and it’s free: click here to subscribe now!

OVERHEARD…

“Consumers are very torn, where the consumer mindset is, and how it’s going to play out in different industries, is something we really need to watch.”—Tracy Platt, associate vice-president for product development at Canadian Tire, talking about the Buy Canadian movement at a CHPTA symposium in Toronto two weeks ago.

A panel discussion on the Buy Canadian movement was held last week to tackle concerns about tariffs and how they are impacting vendor-buyer relations. It was part of a symposium hosted by the Canadian Home Products Trade Association (CHPTA) in Toronto.

Five retail leaders were on the panel, including Shawn Ettinger, senior national procurement manager at TIMBER MART; Chris Parsons, an e-commerce consultant and former senior director of omnichannel marketing at Home Hardware Stores; and Tracy Platt, associate vice-president for product development at Canadian Tire. They were joined by Chris Saniga, chief B2B officer at Staples, and Alison Fletcher, founder of Cookery, a chain of specialty housewares stores. The discussion was moderated by Hardlines’ own Michael McLarney.

Chris Parsons described the complexity that goes into Buy Canadian programs. “Sometimes you’re going to have to pay a premium [after the Canadian “retaliatory” tariffs] to have some items in the stores,” he said. “If a customer loves, say, a Milwaukee drill, are they going to be satisfied with a Canadian-made drill?”

And then Parsons talked about Buy Canadian programs from the perspective of a dealer-owned co-op like Home Hardware. “Your dealers might have invested a lot of their dollars into American products. And now you’re going to go out with messaging about why they should buy Canadian? That is something that you’ve got to be careful about.”

Tracy Platt at Canadian Tire had her own story about what can go awry with Buy Canadian programs. “It becomes more of a challenge at the store level. I was in a grocery store and someone had been a little too happy about putting maple leaf flags out there. Consumers were picking things up and saying, ‘Well, that’s not made in Canada!’ When it gets to the store level, are the associates prepared to answer the customers’ enquiries about whether an item is really made in Canada?”

And Chris Saniga of Staples, who is in charge of the business-to-business effort at the office products giant, said that customers are even “more aggressive” on the B2B side. “People are coming to us and saying, ‘You need to tell us the country of origin of your products. And you need to tell me today by 3 p.m., otherwise we’re going out with an RFP [request for proposal]” for other suppliers.

When Home Hardware Stores Ltd. partnered last month with Canoe Procurement Group of Canada, the retailer effectively made a major step to fortify its dealers’ commercial and institutional sales prospects.

Canoe is a non-profit public-sector buying group. With the new agreement, which makes Home Hardware a preferred supplier, participating Home dealers have access to Canoe’s 6,000 public service partners across Canada, creating new opportunities to work with public sector entities in the dealers’ own communities.

Canoe says it grants its public sector members access to trusted suppliers that are invested in their success and ready to build long-term, meaningful relationships.

Home Hardware has been targeting commercial customers for years. It launched a commercial program at its fall market a decade ago (shown here) that provides services and products to help dealers to develop business with local institutions and government agencies.

Allison Kilby, dealer-owner of Pioneer Home Hardware Building Centre in Campbell River, B.C., was part of the pilot program with Canoe. “We can satisfy RFPs out for jobs and specific lot purchases or contracts,” she says. “Then we can satisfy the everyday maintenance needs of the Canoe client by making it quick and easy to drop by and pick up what they need on the daily.”

There’s more than one reason why private label brands are rising, and RONA is capitalizing on it.

According to findings from EY Canada’s latest Future Consumer Index, which surveyed 25,000 people globally, there’s a spike in private label purchases and a strong level of loyalty among consumers who buy them. (EY Canada was formerly known as Ernst & Young. It is multinational, but in Canada is one of the “big four” accounting and professional services firms.)

RONA has expanded its private brand portfolio recently with the launch of key brands: VALU+, consisting of project and home essentials offering good quality; Landon & Co., which represents trend products in home décor categories; Laflamme & Co. for outdoor cooking and grilling accessories; and Célébrations by Landon & Co.—collections for key holidays. The RONA brand remains the go-to for core home improvement products, offering national brand quality at a value price.

RONA’s initiatives over the past 18 months reflect a wider trend among retailers to aim more “down-market” with their offerings. The success of retailers such as Dollarama, Giant Tiger, and Walmart amidst higher prices and economic uncertainty bears out the move by consumers to make affordability the priority.

According to Sophie Marai, VP, client strategy at Environics in Toronto, discount brands will continue to grow in popularity over the next three or four years. Both high-income and low-income earners are looking for value, she notes.

And that’s what RONA’s proprietary brands promise. “It is possible to find good quality outdoor cooking items at great value with our new private label,” said Doug Young, chief merchandising officer at RONA, in a release, noting that the product assortment delivers “great value when Canadians need it the most.”

Just recently, the company announced the expansion of its exclusive Tilley Tuff workwear line to include new men’s products for spring and now, a women’s collection, designed for anyone from pros to interior design enthusiasts.

“Women play an important role in our industry, and we wanted to provide them options on what to wear on the worksite and offsite,” Young said. “Women are too often overlooked in the workwear category. Now, with Tilley Tuff, we offer them comfort, quality and great value.”

RONA’s teams have been working to build a private label assortment focused on the needs of pro and DIY customers. Private labels, according to the company, “help us strengthen customer loyalty and differentiate us from the market. They also enable us to respond faster to market trends and preferences, giving our customers more reasons to choose RONA.”

More than two-thirds of Canadians hoping to buy a home soon are taking a wait-and-see attitude. According to the latest BMO Real Financial Progress Index, 67 percent of homebuyers are waiting for interest rates to drop before purchasing a home, a five percent decrease from 2024. Additionally, 74 percent are reporting they are taking a “wait-and-see” approach to buying a new home due to economic concerns.

Thirty-eight percent of respondents said they are waiting for rates to drop below three percent before purchasing or refinancing a home. A further 52 percent reported they would move to a different province or country to be able to afford a home.

“Canada’s housing market remained under pressure heading into the spring, with sales and prices both weakening further,” said Robert Kavcic, senior economist, BMO Capital Markets. “There is some clear underlying weakness as inventory builds and investors remain absent. Suffice it to say, homebuyers are losing confidence and motivation, especially in areas of British Columbia and Southern Ontario.”

Affordability remains a key deterrent. Forty-five percent said they would consider buying a home with friends, family members, or other people they are not romantically involved with, with Gen Z (63 percent) and Millennials (50 percent) being the mostly likely to consider shared home ownership. And 43 percent of current homeowners say they could not have purchased their home without assistance from family.

At Home Hardware Stores Ltd., Julie Pouliot has been appointed chair of the board. She succeeds Christine Hand, a dealer-owner in Conception Bay South, N.L., who is retiring after 22 years on the board, including 13 of them as chair. Pouliot owns and operates three Home Hardware Building Centre locations in Northern Ontario. She has served on the Home Hardware board for 10 years, where she has held positions such as chair of the Corporate Governance and Nominating Committee and chair of the Human Resources and Compensation Committee.

Derek Smith has joined Federated Co-operatives Ltd. as senior manager, B2B Home and Building Solutions. Before that, he spent over 17 years at Peavey Industries, most recently as vice-president of that company’s Ace Canada and Main Street Hardware Division, before Peavey’s closing its doors earlier this year.

…that Hardlines is calling for entries for the 33rd Outstanding Retailer Awards? Entries are due June 13, 2025. The ORAs are the only national awards program in Canada recognizing hardware, LBM, and paint retailers across all banners. Winners get to attend the Hardlines Conference and Awards Gala as our guests. Winners will also receive marketing materials—including a write-up in Hardlines Home Improvement Quarterly magazine. Click here for more info and to download the nomination package (disponible en français également)! The ORAs will be presented Oct. 21 during the 2025 Hardlines Conference in Banff, Alta.

Canadian Tire Corp. has reported a strong first quarter of 2025. Revenue was $3.46 billion, up by 3.7 percent from a year earlier. Retail sales were $3.42 billion, up 5.1 percent from the same quarter in 2024. Retail sales excluding petroleum were up 4.9 percent and comp store sales were up 4.7 percent. Net income for the quarter was $47.0 million, for continuing operations, down from $79.1 million in the same period of 2024. The reason for the continuing operations note was that Canadian Tire had previously sold its Helly Hansen banner to Kontoor Brands, a transaction which is expected to close in the second quarter of 2025.

Canadian Tire Corp. and WestJet announced last week that they have signed a “strategic partnership” to link their loyalty programs, “enhancing the scale and value of both programs,” the companies said in a release. The combined program, which includes “stacked rewards” and special offers, will be launched in early 2026.

For the ninth consecutive year, Turkstra Lumber has been recognized as one of Deloitte Canada’s Best Managed companies. The southern Ontario home improvement retailer, which has 11 locations, achieved Platinum status in 2023 (the seventh consecutive year) and has maintained this standing into 2025. Canada’s Best Managed recognizes excellence in Canadian owned and managed companies based on strategy, culture and commitment, capabilities and innovation, governance, and financials.

As it continues to liquidate merchandise at its stores across the country, Hudson’s Bay Corp. has attracted bids to acquire various assets of the failing department store chain. Canadian Tire Corp. has submitted a bid for some of HBC’s intellectual property assets, which include the rights to the Zellers, Stripes, and Gluckstein brands. B.C. mall tycoon Weihong Liu has placed a bid for 25 HBC properties. And Toronto investment firm Urbana has come out with a proposal of its own to acquire the Hudson’s Bay brand and the company’s historic 1670 royal charter.

SUPPLIER NEWS

Jeld-Wen Holdings posted Q1 revenues of $776.0 million, down 19 percent driven by the court-ordered divestiture of the company’s Towanda, Penn., facility. The company further posted a net loss of $179.8 million, compared with $27.7 million in the same quarter last year. It will also begin steps to permanently close its facility in Chiloquin, Ore.

Retail sales reached $56.9 billion in February, an increase of 1.0 percent compared with the same month one year earlier. Higher sales were reported in 10 of the 18 commodity classes, with the largest monthly increase in dollar terms coming from food and beverage sales, up 1.9 percent year over year. The largest decline was in hardware, tools, and renovation and lawn and garden products, which tumbled by 7.5 percent. In dollar terms, the leading decrease within this product class came from 7.6 percent lower sales of lumber and other renovation materials and supplies. (StatCan)

For Canadians hoping to buy a home over the next couple of years, Over a quarter expect financial support from their parents or grandparents, says a new report from RBC. According to the BMO Real Financial Progress Index, 6.0 percent expect assistance for the down payment of a home, 8.0 percent expect help with monthly rent, and 7.0 percent expect support for home renovation costs.

OVERHEARD…

“We can deliver an assortment relevant to Canadians, offering the value, innovation, and design—built by Canadians, for Canadians. Over the past 18 months, our teams have been focused on building our private brand portfolio.”
—A spokesperson from RONA inc., on the recent expansion of its proprietary brands across a range of product categories.