Ollie's Bargain Outlet (OLLI) - 2026 Q2 - Quarterly Report

PART I - FINANCIAL INFORMATION This section presents Ollie's unaudited condensed consolidated financial statements and management's discussion Item 1. Financial Statements This section presents the unaudited condensed consolidated financial statements of Ollie's Bargain Outlet Holdings, Inc. and its subsidiaries for the thirteen and twenty-six weeks ended August 2, 2025, and August 3, 2024, including statements of income, balance sheets, stockholders' equity, and cash flows, along with accompanying notes - Financial statements are unaudited and prepared in accordance with U.S. GAAP for interim financial information and SEC rules[21] - The Company's business is seasonal, and interim results are not necessarily indicative of full-year operating results[21] Condensed Consolidated Statements of Income This section details the company's financial performance through condensed consolidated statements of income Condensed Consolidated Statements of Income (Thirteen Weeks Ended) | Metric | August 2, 2025 (in thousands) | August 3, 2024 (in thousands) | Change (YoY) | | :--------------------------------- | :----------------------------- | :----------------------------- | :------------ | | Net sales | $679,556 | $578,375 | +17.5% | | Gross profit | $271,338 | $219,031 | +23.9% | | Operating income | $76,974 | $60,759 | +26.7% | | Net income | $61,310 | $48,982 | +25.2% | | Basic EPS | $1.00 | $0.80 | +25.0% | | Diluted EPS | $0.99 | $0.79 | +25.3% | Condensed Consolidated Statements of Income (Twenty-six Weeks Ended) | Metric | August 2, 2025 (in thousands) | August 3, 2024 (in thousands) | Change (YoY) | | :--------------------------------- | :----------------------------- | :----------------------------- | :------------ | | Net sales | $1,256,323 | $1,087,193 | +15.6% | | Gross profit | $508,369 | $428,389 | +18.7% | | Operating income | $133,160 | $117,256 | +13.6% | | Net income | $108,870 | $95,324 | +14.2% | | Basic EPS | $1.77 | $1.55 | +14.2% | | Diluted EPS | $1.76 | $1.54 | +14.3% | Condensed Consolidated Balance Sheets This section presents the company's financial position, including assets, liabilities, and equity Condensed Consolidated Balance Sheets (in thousands) | Metric | August 2, 2025 | February 1, 2025 | August 3, 2024 | | :------------------------- | :------------- | :--------------- | :------------- | | Total current assets | $967,818 | $993,791 | $895,430 | | Total assets | $2,801,852 | $2,561,145 | $2,374,293 | | Total current liabilities | $368,366 | $304,341 | $297,841 | | Total liabilities | $1,015,942 | $865,835 | $783,622 | | Total stockholders' equity | $1,785,910 | $1,695,310 | $1,590,671 | - Cash and cash equivalents increased to $231.2 million as of August 2, 2025, from $170.6 million as of August 3, 2024[11] - Inventories increased to $637.2 million as of August 2, 2025, from $531.3 million as of August 3, 2024[11] Condensed Consolidated Statements of Stockholders' Equity This section outlines changes in stockholders' equity, including net income, share repurchases, and compensation - Net income contributed $108.9 million to stockholders' equity for the twenty-six weeks ended August 2, 2025[14] - Shares repurchased amounted to $(28.6 million) for the twenty-six weeks ended August 2, 2025[14] - Stock-based compensation expense was $6.5 million for the twenty-six weeks ended August 2, 2025[14] Condensed Consolidated Statements of Cash Flows This section presents the company's cash inflows and outflows from operating, investing, and financing Condensed Consolidated Statements of Cash Flows (Twenty-six Weeks Ended, in thousands) | Cash Flow Activity | August 2, 2025 | August 3, 2024 | | :--------------------------------- | :------------- | :------------- | | Net cash provided by operating activities | $109,414 | $84,059 | | Net cash used in investing activities | $(58,010) | $(159,398) | | Net cash used in financing activities | $(25,364) | $(20,323) | | Net increase (decrease) in cash and cash equivalents | $26,040 | $(95,662) | - Cash and cash equivalents at period end increased to $231.2 million as of August 2, 2025, from $170.6 million as of August 3, 2024[16] Notes to Condensed Consolidated Financial Statements This section provides detailed disclosures and explanations for the figures presented in the condensed consolidated financial statements, covering accounting policies, revenue recognition, earnings per share, leases, commitments, debt, income taxes, equity incentive plans, common stock, and segment reporting (1) Basis of Presentation and Summary of Significant Accounting Policies This section describes the basis of financial statement presentation and outlines significant accounting policies - Ollie's operates 613 retail stores in 34 states as of August 2, 2025[19] - The Company's business model focuses on buying overproduced, overstocked, and closeout merchandise, supplemented by private label products[18] - The Company is comprised of one operating segment[23] (2) Net Sales This section details the company's revenue recognition policies, including net sales and loyalty program - Revenue is recognized when merchandise is sold and the customer takes possession, net of returns and sales tax[34] - Net sales also include revenue allocated to redeemed discounts from the Ollie's Army loyalty program and gift card breakage[34] Ollie's Army Loyalty Program Liability (in thousands) | Period | Beginning Balance | Revenue Deferred | Revenue Recognized | Ending Balance | | :----------------------- | :---------------- | :--------------- | :----------------- | :------------- | | Twenty-six weeks ended August 2, 2025 | $13,239 | $12,870 | $(11,220) | $14,889 | | Twenty-six weeks ended August 3, 2024 | $10,159 | $9,425 | $(8,164) | $11,420 | (3) Earnings per Common Share This section provides basic and diluted earnings per common share calculations for the periods presented Earnings per Common Share (Thirteen Weeks Ended) | Metric | August 2, 2025 | August 3, 2024 | | :------------- | :------------- | :------------- | | Basic EPS | $1.00 | $0.80 | | Diluted EPS | $0.99 | $0.79 | Earnings per Common Share (Twenty-six Weeks Ended) | Metric | August 2, 2025 | August 3, 2024 | | :------------- | :------------- | :------------- | | Basic EPS | $1.77 | $1.55 | | Diluted EPS | $1.76 | $1.54 | - Antidilutive stock options and restricted stock units were excluded from the diluted EPS calculation[40][41] (4) Leases This section details the company's operating lease liabilities, cash payments, and lease terms - Operating lease liabilities totaled $664.1 million as of August 2, 2025, with a long-term portion of $561.0 million[48] - Cash paid for operating leases was $68.3 million for the twenty-six weeks