Categories Earnings, Retail

Five Below stock jumps on upbeat results and rosy outlook

Five Below (FIVE) reported a 160% jump in earnings for the first quarter helped by new stores performance, healthy comparable sales, strong gross margin performance, SG&A leverage and tax rate favorability. The high-growth value retailer’s stock rose more than 6% in the aftermarket as its earnings and revenue exceeded market expectations, and it guided second quarter above Street’s view.

With revenue climbing by 27.2% to $296.3 million, the company’s earnings soared 159.8% to $21.8 million or $0.39 per share. EPS included a $0.04 benefit in the latest quarter due to the accounting for employee share-based payments. Comparable sales increased by 3.2%.

Looking ahead into the second quarter, the company expects net sales of $332-$335 million, net income of $20-$21.2 million, and EPS of $0.36-$0.38. The sales outlook is based on the opening of about 33 new stores and assuming about flat comparable sales.

For fiscal 2018, Five Below sees net sales of $1.502-$1.517 billion, net income of $136.5-$139.9 million, and EPS of $2.42-$2.48. The sales forecast is based on the opening of about 125 new stores and assuming a 1-2% rise in comparable sales.

Five Below first quarter 2018 earnings
Five Below Q1 2018 Earnings Infographic

Shares of Five Below ended Wednesday’s regular trading session up 3.07% at $81.28 on the Nasdaq. The stock had been trading between $44.30 and $81.77 for the past 52 weeks.

Most Popular

INTU Earnings: Intuit reports higher revenue and profit for Q2 2024

Financial technology company Intuit Inc. (NASDAQ: INTU) reported higher adjusted earnings and revenues for the second quarter of 2024. Earnings also exceeded Wall Street's projection. At $3.39 billion, second-quarter revenues

Nvidia (NVDA) looks set to thrive on AI power in the long term

Nvidia Corporation (NASDAQ: NVDA) this week reported blockbuster results for the fourth quarter of 2024, aided by the graphic card behemoth’s booming AI business. The Q4 outcome matched its blowout

What to look for when Lowe’s (LOW) reports Q4 2023 earnings

Shares of Lowe's Companies, Inc. (NYSE: LOW) stayed green on Wednesday. The stock has gained 15% over the past three months. The home improvement retailer is scheduled to report its

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top