Core Insights - Boot Barn Holdings Inc. is experiencing significant growth driven by digital investments, with a 14.4% increase in e-commerce same-store sales for Q2 of fiscal 2026, surpassing the 7.8% growth in retail store same-store sales [1][9] - Total revenue for the company reached $505.4 million, reflecting an 18.7% year-over-year growth [1][9] E-commerce Performance - E-commerce sales now account for 9.3% of the net sales in the second quarter, attributed to initiatives enhancing online engagement and optimizing the shopping experience through technology [2] - BootBarn.com, which constitutes approximately 75% of total online sales, reported high-teens comps growth [1] Brand and Technology Initiatives - The Cody James and Hawx platforms are enhancing brand discovery and attracting new customers, with plans to launch a website for the Cheyenne brand post-holidays [3] - The integration of artificial intelligence is pivotal, improving website search tools for better product results and recommendations, while tools like Cassidy assist store associates [3] Future Growth Expectations - For fiscal 2026, Boot Barn anticipates same-store sales growth of 4% to 6%, with retail stores expected to grow by 3.3-5.3% and e-commerce sales projected to rise by 11-13% [4] - The company plans to open 70 new stores in the current fiscal year, reinforcing the synergy between digital and physical channels [4][5] Competitive Landscape - Levi Strauss & Co. is also advancing its digital-first strategy, with e-commerce sales increasing by 18% in Q3 of fiscal 2025, aiming for e-commerce to represent 15% of total revenues [6] - Tapestry, Inc. is leveraging data analytics and omnichannel capabilities, attracting over 6.8 million new North American customers in fiscal 2025 [7] Stock Performance and Valuation - Boot Barn's shares have increased by 25.9% year-to-date, contrasting with a 16.3% decline in the industry, and the company holds a Zacks Rank 1 (Strong Buy) [8] - The forward price-to-earnings ratio for Boot Barn is 24.99X, higher than the industry average of 16.51X [10] - The Zacks Consensus Estimate indicates a year-over-year earnings rise of 20.5% for fiscal 2026 and 13.4% for fiscal 2027 [11]

Boot Barn (NYSE:BOOT) Q2 2026 Earnings Call October 29, 2025 04:30 PM ET Company ParticipantsJim Watkins - CFOJay Sole - Managing DirectorCorey Tarlowe - Senior Vice President of Equity ResearchMax Rakhlenko - Managing DirectorSteven Zaccone - Director of Equity Research, Retail, Broadlines, and HardlinesJohn Hazen - CEOChris Nardone - Director, Equity ResearchMark Dedovesh - SVP, Investor Relations, and FinanceJanine Stichter - Managing Director of Consumer Equity ResearchConference Call ParticipantsMatt B ...

Boot Barn (NYSE:BOOT) Q2 2026 Earnings Call October 29, 2025 04:30 PM ET Speaker5Good day, everyone, and welcome to the Boot Barn Holdings, Inc. second quarter 2026 earnings. As a reminder, this call is being recorded. Now, I'd like to turn the conference over to your host, Mr. Mark Dedovesh, Senior Vice President of Investor Relations and Finance. Please go ahead, sir.Speaker8Thank you. Good afternoon, everyone. Thank you for joining us today to discuss Boot Barn's second quarter fiscal 2026 earnings resul ...

Financial Data and Key Metrics Changes - First quarter revenue increased by 19% to $504 million, with consolidated same store sales rising by 9.4% [5][17] - Earnings per diluted share grew by 38% to $1.74 compared to $1.26 in the prior year [5][19] - Merchandise margin rate increased by 180 basis points year-over-year, contributing to a gross profit increase of 26% to $197 million [5][17][18] Business Line Data and Key Metrics Changes - New store growth: 14 new stores opened in Q1, bringing the total to 473 stores across 49 states [5][6] - Same store sales: Brick and mortar same store sales increased by 9.5%, driven by an 8.5% increase in transactions [7][8] - Ecommerce same store sales grew by 9.3%, with bootbarn.com accounting for approximately 75% of online sales [10][17] Market Data and Key Metrics Changes - The denim business showed strong performance, with double-digit growth in both men's and women's categories [8][31] - The work boots business experienced low single-digit positive comp growth, indicating a steady recovery [12][62] Company Strategy and Development Direction - The company is focused on four strategic initiatives: new store growth, same store sales, omnichannel expansion, and merchandise margin expansion [5][12] - Plans to double the store count in the U.S. over the next several years, with a target of opening 65 to 70 new stores in fiscal 2026 [6][23] - Exclusive brand penetration increased to 40.6% of sales, with a goal to reach 50% over the next five to six years [12][49] Management's Comments on Operating Environment and Future Outlook - Management expressed caution regarding overall consumer sentiment and macroeconomic uncertainty, particularly in the second half of the year [15][21] - Despite challenges, the company remains confident in its ability to execute its strategic initiatives and drive growth [26][78] - The company raised its full-year guidance due to strong Q1 results and positive momentum into Q2 [20][21] Other Important Information - Inventory increased by 23% year-over-year to $774 million, with markdowns as a percentage of inventory below historical levels [19][20] - The company repurchased approximately 78,000 shares for $12.5 million as part of its $200 million share repurchase program [20] Q&A Session Summary Question: Drivers of demand strength in Q1 and July acceleration - Management noted that transaction growth was a key driver, with broad-based strength across all regions and categories, particularly in denim [30][31] Question: Markdown levels relative to last year - Markdowns remained low compared to last year and historical levels, with expectations for this trend to continue [34][36] Question: Exclusive brand marketing initiatives - The company is focusing on marketing its exclusive brands, with successful campaigns for Hawx and Cody James, targeting blue-collar customers [38][40] Question: Tariff-related price increases - Price increases from suppliers remain at mid-single digit levels, with reticketing expected to be completed by August [42][43] Question: Competitive landscape and share gain opportunities - Management believes the company is well-positioned relative to competitors, especially with exclusive brands and inventory management [68][70] Question: Inventory management and buying plans - The company feels confident in its inventory flow and believes it has enough inventory to meet guidance and potential upside [76][77] Question: Future strategic initiatives - Management is focused on current strategic priorities and is not considering new initiatives at this time [78][79]