Five Below got off to a strong start in fiscal 2021, with sales and earnings that topped analysts’ expectations.
The tween and teen value retailer opened 67 net new stores during the quarter, for a total of 1,087 stores. The openings were across various states, including Utah, its 39th state.
“We continued to invest in our growth,” said CEO Joel Anderson. “Six of these new stores finished in the top 25 of all spring grand openings.”
Five Below reported net earnings of $49.6 million, or $0.88 a share, in the quarter ended May 1, compared to a loss of $51 million, or $0.91 a share, in the year-ago period. Analysts has expected earnings per share of $0.65.
Sales rose 197.6% to $597.8 million compared to the year-ago period and 64% compared to the first quarter of 2019. Analysts had expected sales of $555 million. For the comparable subset of stores that were open in both the first quarter of fiscal 2019 and the first quarter of fiscal 2021, sales increased 23%.
“With the inherent flexibility of our eight worlds, unique merchandising approach and focus on innovation, we believe we remain in a position of strength to continue growing Five Below and driving sustainable, long-term value for all stakeholders,” said Anderson.
Five Below guided for second-quarter sales between $640 million and $660 million, and EPS between $1.01 and $1.13.