BKE
$18.35
Buckle
($.25)
(1.34%)
Earnings Details
Quarter January 2017
Friday, March 10, 2017 7:00:00 AM
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Summary

Buckle Misses

Buckle (BKE) reported Quarter January 2017 earnings of $0.74 per share on revenue of $280.0 million. The consensus earnings estimate was $0.78 per share on revenue of $280.0 million. The Earnings Whisper number was $0.77 per share. Revenue fell 15.7% compared to the same quarter a year ago.

Buckle, Inc. is a retailer of casual apparel, footwear, and accessories for fashion conscious young men and women. It operates 450 stores located in 43 states throughout the continental United States.

Results
Reported Earnings
$0.74
Earnings Whisper
$0.77
Consensus Estimate
$0.78
Reported Revenue
$280.0 Mil
Revenue Estimate
$280.0 Mil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

The Buckle, Inc. Reports Fourth Quarter and Fiscal Year 2016 Net Income

The Buckle, Inc. (BKE) announced today that net income for the fiscal quarter ended January 28, 2017 was $36.0 million, or $0.75 per share ($0.74 per share on a diluted basis). Net income for the fiscal year ended January 28, 2017 was $98.0 million, or $2.04 per share ($2.03 per share on a diluted basis).

Dennis Nelson, President and Chief Executive Officer, commented:

"Thank you to each of Buckle’s 8,000+ teammates for their dedication and efforts to managing our business in what has proven to be a challenging and evolving retail environment. While overall results for both the quarter and year were below expectations, we were able to maintain merchandise margins and finish the year with an operating margin of 15.7 percent. Our focus on running a profitable business also enabled us to maintain a strong balance sheet, ending the year with $264.6 million in cash and investments and no debt."

Net sales for the 13-week fiscal quarter ended January 28, 2017 decreased 15.7 percent to $280.0 million from net sales of $332.0 million for the prior year 13-week fiscal quarter ended January 30, 2016. Comparable store net sales for the 13-week period ended January 28, 2017 decreased 16.1 percent from comparable store net sales for the prior year 13-week period ended January 30, 2016. Online sales decreased 8.8 percent to $32.2 million for the 13-week period ended January 28, 2017, compared to net sales of $35.3 million for the 13-week period ended January 30, 2016.

Net sales for the 52-week fiscal year ended January 28, 2017 decreased 12.9 percent to $974.9 million from net sales of $1.120 billion for the 52-week fiscal year ended January 30, 2016. Comparable store net sales for the 52-week period ended January 28, 2017 decreased 13.5 percent from comparable store net sales for the prior year 52-week period ended January 30, 2016. Online sales decreased 5.4 percent to $99.8 million for the 52-week period ended January 28, 2017, compared to net sales of $105.5 million for the 52-week period ended January 30, 2016.

Net income for the fourth quarter of fiscal 2016 was $36.0 million, or $0.75 per share ($0.74 per share on a diluted basis), compared with $54.3 million, or $1.13 per share ($1.13 per share on a diluted basis) for the fourth quarter of fiscal 2015.

Net income for the fiscal year ended January 28, 2017 was $98.0 million, or $2.04 per share ($2.03 per share on a diluted basis), compared with $147.3 million, or $3.06 per share ($3.06 per share on a diluted basis) for the fiscal year ended January 30, 2016.

Please note that net sales for the 13-week and 52-week periods ended January 28, 2017 are reported net of the impact of both reward redemptions and accruals for estimated future rewards related to the Company’s new Guest Loyalty program, which launched during the fiscal quarter ended April 30, 2016.

Management will hold a conference call at 9:00 a.m. EST today to discuss fourth quarter results. To participate in the call, please call (800) 230-1059 for domestic calls or (612) 234-9960 for international calls and reference the conference code 419676. A replay of the call will be available for a two-week period beginning March 10, 2017 at 11:00 a.m. EST by calling (800) 475-6701 for domestic calls or (320) 365-3844 for international calls and entering the conference code 419676.

About Buckle

Offering a unique mix of high-quality, on-trend apparel, accessories, and footwear, Buckle caters to fashion-conscious young men and women. Known as a denim destination, each store carries a wide selection of fits, styles, and finishes from leading denim brands, including the Company’s exclusive brand, BKE. Headquartered in Kearney, Nebraska, Buckle currently operates 465 retail stores in 44 states. As of the end of the fiscal year, it operated 467 stores in 44 states compared with 468 stores in 44 states at the end of fiscal 2015.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors which may be beyond the Company’s control. Accordingly, the Company’s future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company’s filings with the Securities and Exchange Commission. The Company does not undertake to publicly update or revise any forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Note: News releases and other information on The Buckle, Inc. can be accessed at www.buckle.com on the Internet.

THE BUCKLE, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in Thousands Except Per Share Amounts)
(Unaudited)
Thirteen Weeks Ended
Fifty-Two Weeks Ended
January 28,
January 30,
January 28,
January 30,
2017
2016
2017
2016 (1)
SALES, Net of returns and allowances
$
279,960
$
332,031
$
974,873
$
1,119,616
COST OF SALES (Including buying, distribution, and occupancy costs)
154,277
176,086
577,705
638,215
Gross profit
125,683
155,945
397,168
481,401
OPERATING EXPENSES:
Selling
61,485
64,751
205,933
212,531
General and administrative
8,770
7,883
38,475
39,282
70,255
72,634
244,408
251,813
INCOME FROM OPERATIONS
55,428
83,311
152,760
229,588
OTHER INCOME, Net
2,011
3,277
3,511
5,236
INCOME BEFORE INCOME TAXES
57,439
86,588
156,271
234,824
PROVISION FOR INCOME TAXES
21,444
32,249
58,310
87,541
NET INCOME
$
35,995
$
54,339
$
97,961
$
147,283
EARNINGS PER SHARE
Basic
$
0.75
$
1.13
$
2.04
$
3.06
Diluted
$
0.74
$
1.13
$
2.03
$
3.06
Basic weighted average shares
48,177
48,096
48,125
48,079
Diluted weighted average shares
48,335
48,209
48,256
48,204
(1) Derived from audited financial statements
THE BUCKLE, INC.
CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands Except Share and Per Share Amounts)
(Unaudited)
January 28,
January 30,
ASSETS
2017
2016 (1)
CURRENT ASSETS:
Cash and cash equivalents
$
196,536
$
161,185
Short-term investments
49,994
36,465
Receivables
8,210
9,651
Inventory
125,694
149,566
Prepaid expenses and other assets
6,023
6,030
Total current assets
386,457
362,897
PROPERTY AND EQUIPMENT
459,359
450,762
Less accumulated depreciation and amortization
(290,364 )
(277,981 )
168,995
172,781
LONG-TERM INVESTMENTS
18,092
33,826
OTHER ASSETS
6,303
3,269
Total assets
$
579,847
$
572,773
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable
$
25,079
$
33,862
Accrued employee compensation
26,906
33,126
Accrued store operating expenses
14,695
6,639
Gift certificates redeemable
21,199
22,858
Income taxes payable
10,737
11,141
Total current liabilities
98,616
107,626
DEFERRED COMPENSATION
13,092
12,849
DEFERRED RENT LIABILITY
37,600
39,655
Total liabilities
149,308
160,130
COMMITMENTS
STOCKHOLDERS’ EQUITY:
Common stock, authorized 100,000,000 shares of $.01 par value;
486
484
48,622,780 and 48,428,110 shares issued and outstanding at January
28, 2017 and January 30, 2016, respectively
Additional paid-in capital
139,398
134,864
Retained earnings
290,737
277,626
Accumulated other comprehensive loss
(82 )
(331 )
Total stockholders’ equity
430,539
412,643
Total liabilities and stockholders’ equity
$
579,847
$
572,773
(1) Derived from audited financial statements

http://cts.businesswire.com/ct/CT?id=bwnews&sty=20170310005126r1&sid=cmtx6&distro=nx&lang=en

View source version on businesswire.com: http://www.businesswire.com/news/home/20170310005126/en/

SOURCE: The Buckle, Inc.

The Buckle, Inc.
Karen B. Rhoads, 308-236-8491
Chief Financial Officer