Sales Performance - Comparable store sales for stores opened at least 1 full year increased by 12.2% for the 4-week period ended August 30, 2025, compared to the prior year [1] - Total net sales for the 4-week fiscal month rose by 13.4% to $119.2 million, up from $105.1 million in the same period last year [2] - Men's sales increased by 4% for the same period, representing approximately 49.5% of total sales, down from 54% a year ago [2] Women's Sales - Women's sales surged by 25.5% for the 4-week fiscal period ended August 30, 2025, compared to the prior year [3] - The women's business accounted for approximately 50.5% of total sales, up from 46% in the same period last year [3] - Overall price points for women's products increased by about 7% during the fiscal month [3] Accessories Sales - Accessory sales for the fiscal month increased approximately 10% compared to the prior year [4]

Summary of Buckle (BKE) Update - September 03, 2025 Company Overview - The company discussed is Buckle (BKE), a retail company operating in the apparel sector, specifically focusing on men's and women's clothing and accessories. Key Financial Metrics - Comparable store sales for the four-week period ended August 30, 2025, increased by **12.2%** compared to the same period in the previous year [1] - Total net sales for the same period rose by **13.4%**, reaching **$119.2 million**, up from **$105.1 million** in the prior year [1] Sales Performance by Category - **Men's Sales**: Increased by **4%** for the four-week period, representing approximately **49.5%** of total sales, down from **54%** in the prior year [2] - **Women's Sales**: Increased significantly by **25.5%**, accounting for approximately **50.5%** of total sales, up from **46%** in the previous year [2] - Overall price points for men's products increased by **1.5%**, while women's price points rose by **7%** [2][3] Accessory and Footwear Sales - Accessory sales increased by approximately **10%**, while footwear sales saw a slight decline of **0.5%** [3] - Accessories accounted for about **9.5%** of current fiscal August net sales, while footwear represented **4%** [3] - Average accessory price points increased by **3%**, and average footwear price points rose by approximately **4.5%** [3] Customer Metrics - Units per transaction (UPT) decreased by approximately **1.5%**, while the average transaction value increased by **2.5%** compared to the prior year [4] Store Operations - Buckle operates **441 retail stores** across **42 states**, maintaining the same store count as of September 4, 2024 [4] Forward-Looking Statements - The company does not provide guidance on current sales or project results for the next quarter, citing material risks and uncertainties that could affect future performance [4][5] Additional Information - The commentary included a disclaimer regarding forward-looking statements and encouraged further inquiries to specific company contacts [5]

Core Insights - The article emphasizes the investment philosophy focused on small cap companies, highlighting the importance of identifying mispriced securities through understanding financial drivers and utilizing DCF model valuation [1] Group 1 - The investment strategy is not confined to traditional categories such as value, dividend, or growth investing, but rather considers all prospects of a stock to assess risk-to-reward [1]

Group 1 - The core investment strategy of Quipus Capital focuses on long-only investment, evaluating companies from an operational and buy-and-hold perspective rather than market-driven dynamics [1] - Quipus Capital emphasizes understanding the long-term earnings power of companies and the competitive dynamics within their industries [1] - The majority of recommendations from Quipus Capital will be holds, indicating a cautious approach to market conditions and a belief that only a small fraction of companies are suitable for buying at any given time [1] Group 2 - The articles produced by Quipus Capital aim to provide valuable information for future investors while maintaining a healthy skepticism towards a generally bullish market [1]

The Buckle, Inc. Reports Second Quarter Net Income [Key Financial Highlights (Q2 & YTD Fiscal 2025)](index=1&type=section&id=Key%20Financial%20Highlights%20%28Q2%20%26%20YTD%20Fiscal%202025%29) The Buckle, Inc. reported strong financial performance for both the second fiscal quarter and the first 26-week period of fiscal 2025, with notable year-over-year growth across key metrics including net income, net sales, comparable store sales, and online sales Q2 Fiscal 2025 vs. Q2 Fiscal 2024 Performance | Metric | Q2 FY25 | Q2 FY24 | Change (%) | | :-------------------------- | :-------- | :-------- | :--------- | | Net Income | $45.0 million | $39.3 million | +14.5% | | Basic EPS | $0.90 | $0.79 | +13.9% | | Diluted EPS | $0.89 | $0.78 | +14.1% | | Net Sales | $305.7 million | $282.4 million | +8.3% | | Comparable Store Net Sales | +7.3% | N/A | N/A | | Online Sales | $43.6 million | $37.0 million | +17.7% | - Net income for the fiscal quarter ended August 2, 2025, was **$45.0 million**, or **$0.90** per share (**$0.89** diluted), compared to **$39.3 million**, or **$0.79** per share (**$0.78** diluted) for the prior year's second quarter[3](index=3&type=chunk)[6](index=6&type=chunk) - Net sales for the 13-week fiscal quarter increased **8.3 percent** to **$305.7 million**, with comparable store net sales up **7.3 percent** and online sales up **17.7 percent** to **$43.6 million**[4](index=4&type=chunk) YTD Fiscal 2025 (26-week) vs. YTD Fiscal 2024 Performance | Metric | YTD FY25 | YTD FY24 | Change (%) | | :-------------------------- | :-------- | :-------- | :--------- | | Net Income | $80.2 million | $74.1 million | +8.2% | | Basic EPS | $1.60 | $1.49 | +7.4% | | Diluted EPS | $1.59 | $1.48 | +7.4% | | Net Sales | $577.9 million | $544.9 million | +6.1% | | Comparable Store Net Sales | +5.2% | N/A | N/A | | Online Sales | $90.0 million | $81.4 million | +10.5% | - Net income for the 26-week fiscal period ended August 2, 2025, was **$80.2 million**, or **$1.60** per share (**$1.59** diluted), up from **$74.1 million**, or **$1.49** per share (**$1.48** diluted) in the prior year[7](index=7&type=chunk) - Net sales for the 26-week period increased **6.1 percent** to **$577.9 million**, with comparable store net sales up **5.2 percent** and online sales up **10.5 percent** to **$90.0 million**[5](index=5&type=chunk) [Investor Webcast Information](index=1&type=section&id=Investor%20Webcast%20Information) Management will host a live audio webcast to discuss the quarter's results, with registration details provided and a replay available on the investor relations website - A live audio webcast was scheduled for August 22, 2025, at 10:00 a.m. EDT to discuss the quarter's results, with a replay accessible through Buckle's investor relations website[8](index=8&type=chunk) [About Buckle](index=1&type=section&id=About%20Buckle) Buckle is a specialty retailer offering a curated mix of apparel, accessories, and footwear, known for its denim selection and operating 440 retail stores across 42 states - Buckle is a specialty retailer focused on delivering exceptional service and style through a curated mix of high-quality, on-trend apparel, accessories, and footwear[9](index=9&type=chunk) - The company is known as a denim destination, carrying a wide selection from leading brands, including its exclusive brand, BKE[9](index=9&type=chunk) - Buckle currently operates **440 retail stores** in **42 states**, maintaining the same store count as the end of the second quarter of fiscal 2024[9](index=9&type=chunk) [Safe Harbor Statement](index=2&type=section&id=SAFE%20HARBOR%20STATEMENT%20UNDER%20THE%20PRIVATE%20SECURITIES%20LITIGATION%20REFORM%20ACT%20OF%201995) The statement advises that all forward-looking statements are subject to material risks and uncertainties beyond the Company's control, and future performance may differ materially from projections. The Company does not commit to publicly update or revise these statements - All forward-looking statements involve material risks and uncertainties and are subject to change based on factors beyond the Company's control[10](index=10&type=chunk) - The Company's future performance and financial results may differ materially from those expressed or implied in any forward-looking statements[10](index=10&type=chunk) - The Company does not undertake to publicly update or revise any forward-looking statements, even if experience or future changes indicate that projected results will not be realized[10](index=10&type=chunk) Consolidated Financial Statements [Consolidated Statements of Income](index=3&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20INCOME) The consolidated statements of income show an increase in net sales, gross profit, and net income for both the second quarter and the 26-week period of fiscal 2025 compared to the prior year, despite higher operating expenses Consolidated Statements of Income - Key Figures (Thirteen Weeks Ended, Thousands) | Metric | August 2, 2025 | August 3, 2024 | | :----------------- | :------------- | :------------- | | SALES, Net | $305,737 | $282,392 | | COST OF SALES | $160,728 | $149,858 | | Gross profit | $145,009 | $132,534 | | OPERATING EXPENSES | $88,668 | $84,274 | | INCOME FROM OPERATIONS | $56,341 | $48,260 | | NET INCOME | $45,006 | $39,255 | | Basic EPS | $0.90 | $0.79 | | Diluted EPS | $0.89 | $0.78 | Consolidated Statements of Income - Key Figures (Twenty-Six Weeks Ended, Thousands) | Metric | August 2, 2025 | August 3, 2024 | | :----------------- | :------------- | :------------- | | SALES, Net | $577,858 | $544,872 | | COST OF SALES | $305,873 | $291,641 | | Gross profit | $271,985 | $253,231 | | OPERATING EXPENSES | $172,098 | $162,575 | | INCOME FROM OPERATIONS | $99,887 | $90,656 | | NET INCOME | $80,199 | $74,098 | | Basic EPS | $1.60 | $1.49 | | Diluted EPS | $1.59 | $1.48 | [Consolidated Balance Sheets](index=4&type=section&id=CONSOLIDATED%20BALANCE%20SHEETS) The balance sheet shows an increase in total assets, driven by higher cash and cash equivalents, inventory, and operating lease right-of-use assets, alongside an increase in total liabilities and stockholders' equity as of August 2, 2025, compared to both February 1, 2025, and August 3, 2024 Consolidated Balance Sheets - Key Assets (Thousands) | Asset | August 2, 2025 | February 1, 2025 | August 3, 2024 | | :------------------------ | :------------- | :--------------- | :------------- | | Cash and cash equivalents | $297,811 | $266,929 | $287,266 | | Short-term investments | $22,118 | $23,801 | $21,856 | | Inventory | $142,486 | $120,789 | $131,418 | | Total current assets | $493,302 | $439,209 | $469,200 | | Property and equipment, net | $158,783 | $145,752 | $139,333 | | Operating lease right-of-use assets | $334,703 | $289,793 | $292,194 | | Total assets | $1,028,632 | $913,173 | $940,271 | Consolidated Balance Sheets - Key Liabilities & Equity (Thousands) | Liability/Equity | August 2, 2025 | February 1, 2025 | August 3, 2024 | | :--------------------------- | :------------- | :--------------- | :------------- | | Accounts payable | $72,630 | $45,982 | $62,820 | | Total current liabilities | $229,554 | $213,932 | $206,219 | | Non-current operating lease liabilities | $293,293 | $247,321 | $248,424 | | Total liabilities | $552,477 | $489,369 | $481,627 | | Total stockholders' equity | $476,155 | $423,804 | $458,644 | | Total liabilities and stockholders' equity | $1,028,632 | $913,173 | $940,271 |

Financial Data and Key Metrics Changes - Net income for the second quarter was $45 million or $0.89 per share, compared to $39.3 million or $0.78 per share in the prior year [4] - Year-to-date net income was $80.2 million or $1.59 per share, up from $74.1 million or $1.48 per share in the prior year [4] - Net sales for the second quarter increased by 8.3% to $305.7 million, compared to $282.4 million in the prior year [4] - Year-to-date net sales increased by 6.1% to $577.9 million, compared to $544.9 million in the prior year [4] Business Line Data and Key Metrics Changes - Women's merchandise sales increased by approximately 18.5%, representing about 47.5% of total sales, up from 43.5% last year [11] - Men's merchandise sales grew by about 1.5%, representing approximately 52.5% of total sales, down from 56.5% in the prior year [12] - Kids business increased approximately 23% year-over-year, growing to about 4.5% of total business for the quarter [14] - Overall average accessory sales increased by approximately 9.5%, while footwear sales were down about 0.5% [13] Market Data and Key Metrics Changes - Comparable store sales for the quarter increased by 7.3% compared to the same period last year [4] - Online sales increased by 17.7% to $43.6 million for the quarter [4] - Year-to-date comparable store sales increased by 5.2% compared to the same period last year [5] Company Strategy and Development Direction - The company continues to focus on customer-centric buying strategies, leading to double-digit growth in most categories [12] - There is an ongoing strategy to enhance the online shopping experience, with investments in digital commerce expected to continue benefiting future quarters [29] - The company plans to open four additional new stores and complete 12 more full remodeling projects for the remainder of the year [9] Management's Comments on Operating Environment and Future Outlook - Management noted that merchandise margin growth was strong, although the rate of growth decelerated compared to the previous quarter [20] - Tariff impacts on costs are currently low to mid-single digits, with some vendors experiencing higher costs [22] - The company is experiencing increased occupancy expenses due to new store openings and remodels, which is expected to continue [24] Other Important Information - Gross margin for the quarter was 47.4%, a 50 basis point increase from the previous year [5] - Selling, general, and administrative expenses for the quarter were 29% of sales, down from 29.8% in the prior year [6][7] - The company ended the quarter with $142.5 million in inventory, up 8.4% from the same time last year [8] Q&A Session Summary Question: Can you elaborate on the merchandise margin expansion? - Management indicated that the growth in merchandise margins was strong, but the rate of growth decelerated due to a decrease in private label mix [20][21] Question: What are the drivers behind the gross margin leverage? - The increase in occupancy expenses was identified as a key driver, with a 5.5% increase in Q2 compared to Q1 [24] Question: Is the 65 basis points from nonrecurring digital investments just for Q2? - Management confirmed that the impact of digital investments will also flow into Q3 [29]

Financial Data and Key Metrics Changes - Net income for Q2 2025 was $45 million or $0.89 per share, compared to $39.3 million or $0.78 per share in Q2 2024, representing a year-over-year increase of 14.3% in net income [4] - Year-to-date net income for the 26-week period ended August 2, 2025, was $80.2 million or $1.59 per share, up from $74.1 million or $1.48 per share in the prior year [4] - Net sales for Q2 2025 increased by 8.3% to $305.7 million compared to $282.4 million in Q2 2024 [4] - Year-to-date net sales increased by 6.1% to $577.9 million compared to $544.9 million in the prior year [4] Business Line Data and Key Metrics Changes - Women's merchandise sales increased by approximately 18.5%, representing about 47.5% of total sales, up from 43.5% last year [11] - Men's merchandise sales grew by about 1.5%, accounting for approximately 52.5% of total sales, down from 56.5% in the prior year [12] - Kids' business saw a significant increase of approximately 23% year-over-year, growing to about 4.5% of total business for the quarter [14] - Private label sales represented 43.5% of total sales, up from 43% in the prior year [14] Market Data and Key Metrics Changes - Online sales increased by 17.7% to $43.6 million in Q2 2025 [4] - Comparable store sales for the quarter increased by 7.3% compared to the same period last year [4] - Average unit retail (AUR) for women's products increased by about 5% from $43.15 to $45.35 [12] Company Strategy and Development Direction - The company continues to focus on customer-centric buying strategies, which have resulted in strong guest responses and double-digit growth in most categories [12] - The strategy includes evolving the denim category, which has been a significant driver of sales growth [11] - The company plans to open four additional new stores and complete 12 more full remodeling projects for the remainder of the year [9] Management's Comments on Operating Environment and Future Outlook - Management expressed satisfaction with the growth in merchandise margins despite a deceleration compared to the previous quarter, attributing it to strong full-price selling [20] - The company is experiencing low to mid-single-digit cost increases due to tariffs, with some vendors showing no increase at all [22] - Management noted that occupancy expenses increased due to new store openings and remodels, impacting overall margins [24] Other Important Information - Gross margin for Q2 2025 was 47.4%, a 50 basis point increase from 46.9% in Q2 2024 [5] - Selling, general, and administrative expenses for the quarter were 29% of sales, down from 29.8% in the prior year [6] - The company ended the quarter with $142.5 million in inventory, up 8.4% from the same time last year [8] Q&A Session Summary Question: Can you elaborate on the merchandise margin expansion? - Management indicated that the growth in merchandise margins was due to strong full-price selling, although the rate of growth decelerated compared to Q1 [20] Question: What are the drivers behind the occupancy expense increase? - The increase in occupancy expense was attributed to new store openings and remodels, which led to higher base rent and percentage rent due to strong sales performance [24] Question: Is the 65 basis points from nonrecurring digital investments just a one-time effect? - Management confirmed that the impact from nonrecurring digital investments will also flow into Q3, as efforts to improve the online experience began in Q1 and continued into Q2 [29]

Group 1 - The article discusses the unpredictability of geopolitical events such as the war between Iran and Israel and the trade war, which have impacted market performance [1] - It highlights that markets are struggling with negative headlines, alongside rising rates and inflation [1] Group 2 - The article emphasizes the importance of in-depth research on various investment vehicles including REITs, mREITs, Preferreds, BDCs, MLPs, and ETFs [1]

Financial Performance - Net sales increased from $262.5 million in Q1 2024 to $272.1 million in Q1 2025, a 3.7% increase [55] - Comparable store net sales for the thirteen-week period ended May 3, 2025, increased by 3.0% compared to the prior year [55] - Gross profit was $127.0 million in Q1 2025, representing 46.7% of net sales, up from 46.0% in Q1 2024 [57] - Income from operations was $43.5 million, or 16.0% of net sales, for Q1 2025, compared to $42.4 million, or 16.2% of net sales, for Q1 2024 [59] - Cash flow from operations was $31.0 million in Q1 2025, compared to $29.9 million in Q1 2024 [60] Capital Expenditures and Investments - Total capital expenditures for fiscal 2025 are estimated to be approximately $50.0 to $55.0 million [63] - The company had total cash and investments of $320.0 million as of May 3, 2025 [63] - The company has an unsecured line of credit of $25.0 million with Wells Fargo Bank, N.A., expiring on July 31, 2025 [65] - The Company has an unsecured line of credit of $25.0 million, with $10.0 million available for letters of credit [73] Inventory and Obligations - As of May 3, 2025, the adjustment to inventory for markdowns and/or obsolescence was $9.7 million, compared to $9.2 million as of February 1, 2025 [71] - The total contractual obligations as of May 3, 2025, amounted to $499.486 million, with operating lease payments contributing $452.013 million [73] - The Company had outstanding letters of credit totaling $1.1 million as of May 3, 2025, down from $2.2 million as of February 1, 2025 [73] Business Strategy and Operations - The company plans to open 7 new stores and complete 16 full store remodels during fiscal 2025 [63] - The holiday and back-to-school seasons accounted for approximately 35% of the Company's fiscal year net sales for fiscal years 2024, 2023, and 2022 [74] - Store leases typically have an initial term of 10 years, with options to renew for an additional 1 to 5 years [71] - Management reviews inventory levels against estimated future demand and current market conditions, which could significantly impact net earnings [71] Financial Risks and Trends - A one-quarter percent decline in the interest/dividend rate earned on cash and investments would decrease the Company's net income by approximately $0.5 million [76] - The Company has no known trends or uncertainties that would materially affect its financial condition or results of operations [72] - The Company does not undertake to update any forward-looking statements made from time to time [75]

Financial Performance - Net income for the first quarter of fiscal 2025 was $35.2 million, or $0.70 per share, compared to $34.8 million, or $0.70 per share for the same period in fiscal 2024[2][4] - Net sales for the 13-week fiscal quarter ended May 3, 2025, increased by 3.7% to $272.1 million from $262.5 million in the prior year[3] - Comparable store net sales increased by 3.0% for the same period[3] - Online sales rose by 4.5% to $46.4 million compared to $44.4 million in the prior year[3] - Gross profit for the quarter was $127.0 million, up from $120.7 million in the previous year[9] Assets and Equity - Total assets as of May 3, 2025, were $977.3 million, compared to $906.1 million a year earlier[10] - Total stockholders' equity increased to $445.3 million from $433.8 million year-over-year[10] - The company reported an increase in cash and cash equivalents to $268.9 million from $267.4 million year-over-year[10] Store Operations - The company operated 439 retail stores in 42 states, a slight decrease from 440 stores in the previous year[6] Liabilities - Current liabilities totaled $217.7 million, compared to $205.3 million in the prior year[10]