Ollie’s Bargain Outlet Holdings, Inc. Announces First Quarter Fiscal 2025 Results

Core Insights - Ollie's Bargain Outlet Holdings, Inc. reported strong financial results for the first quarter of fiscal 2025, with net sales increasing by 13.4% year-over-year to $576.8 million, driven by new store openings and an increase in comparable store sales [2][5][4] - The company opened 25 new stores during the quarter, including 18 former Big Lots locations, bringing the total number of stores to 584, a 13.2$2.579 billion and $2.599 billion and comparable store sales growth of 1.4$47.6 million, or $0.77 per diluted share, compared to$46.3 million, or $0.75 per diluted share, in the same quarter last year [4][16] - Adjusted net income per diluted share increased to$0.75, up from $0.73 year-over-year, reflecting a 2.7$72.2 million, representing a margin of 12.5% of net sales [11][21] Operational Highlights - Comparable store sales increased by 2.6%, driven by a rise in transactions, although this was slightly lower than the 3.0% increase in the prior year [5][4] - The gross margin remained flat at 41.1%, with lower supply chain costs offset by a decrease in merchandise margin due to changes in product mix [5][4] - Selling, general, and administrative (SG&A) expenses as a percentage of sales rose to 28.6%, primarily due to higher medical and casualty claims [5][4] Store Expansion - The company ended the quarter with a total of 584 stores across 32 states, marking a significant expansion from 516 stores a year earlier [5][23] - The new store openings included 18 locations acquired through the bankruptcy auction of Big Lots, highlighting the company's strategic growth initiatives [5][4] Cash and Investments - The company reported cash, cash equivalents, and short-term investments totaling $369.5 million, an increase of 21.5$17.1 million in share repurchases during the quarter, with $315.5 million remaining available for future repurchases under the current authorization [11][23]