BKE
$18.99
Buckle
($.19)
(.99%)
Earnings Details
3rd Quarter October 2018
Monday, November 26, 2018 4:05:00 PM
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Summary

Buckle Misses

Buckle (BKE) reported 3rd Quarter October 2018 earnings of $0.42 per share on revenue of $215.1 million. The consensus earnings estimate was $0.42 per share on revenue of $215.1 million. The Earnings Whisper number was $0.43 per share. Revenue fell 4.1% 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
$0.42
Earnings Whisper
$0.43
Consensus Estimate
$0.42
Reported Revenue
$215.1 Mil
Revenue Estimate
$215.1 Mil
Growth
Earnings Growth
Revenue Growth
Power Rating
Grade
Earnings Release

The Buckle, Inc. Reports Third Quarter Net Income

KEARNEY, Neb.--(BUSINESS WIRE)-- The Buckle, Inc. (NYSE: BKE) announced today that net income for the fiscal quarter ended November 3, 2018 was $20.5 million, or $0.42 per share ($0.42 per share on a diluted basis).

Net sales for the 13-week fiscal quarter ended November 3, 2018 decreased 4.1 percent to $215.1 million from net sales of $224.3 million for the prior year 13-week fiscal quarter ended October 28, 2017. Comparable store net sales for the 13-week period ended November 3, 2018 decreased 1.4 percent from comparable store net sales for the prior year 13-week period ended November 4, 2017. Online sales increased 8.8 percent to $25.5 million for the 13-week period ended November 3, 2018, compared to net sales of $23.4 million for the 13-week period ended October 28, 2017.

Net sales for the 39-week fiscal period ended November 3, 2018 decreased 1.8 percent to $621.1 million from net sales of $632.2 million for the prior year 39-week fiscal period ended October 28, 2017. Comparable store net sales for the 39-week period ended November 3, 2018 decreased 1.1 percent from comparable store net sales for the prior year 39-week period ended November 4, 2017. Online sales increased 7.8 percent to $69.8 million for the 39-week period ended November 3, 2018, compared to net sales of $64.7 million for the 39-week period ended October 28, 2017.

Due to the 53rd week in fiscal 2017, comparable store net sales for the quarter and year-to-date periods are compared to the 13-week and 39-week periods ended November 4, 2017.

Net income for the third quarter of fiscal 2018 was $20.5 million, or $0.42 per share ($0.42 per share on a diluted basis), compared with $19.9 million, or $0.41 per share ($0.41 per share on a diluted basis) for the third quarter of fiscal 2017.

Net income for the 39-week fiscal period ended November 3, 2018 was $54.5 million, or $1.13 per share ($1.12 per share on a diluted basis), compared with $47.7 million, or $0.99 per share ($0.99 per share on a diluted basis) for the 39-week period ended October 28, 2017.

Management will hold a conference call at 5:00 p.m. EST today to discuss results for the quarter. To participate in the call, please call (800) 398-9402 for domestic calls or (612) 234-9960 for international calls and reference the conference code 456802. A replay of the call will be available for a two-week period beginning today at 7:00 p.m. EST by calling (800) 475-6701 for domestic calls or (320) 365-3844 for international calls and entering the conference code 456802.

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 453 retail stores in 43 states. As of the end of the fiscal quarter, it operated 453 stores in 43 states compared with 461 stores in 44 states at the end of the third quarter of fiscal 2017.

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 Thirty-Nine Weeks Ended
November 3,
2018
   

October 28,
2017

November 3,
2018
    October 28,
2017
 
SALES, Net of returns and allowances $ 215,107 $ 224,307 $ 621,084 $ 632,208
 
COST OF SALES (Including buying, distribution, and occupancy costs)   128,950   133,379   376,305   385,424
 
Gross profit   86,157   90,928   244,779   246,784
 
OPERATING EXPENSES:
Selling 50,612 50,684 144,361 144,281
General and administrative   9,244   9,307   30,696   29,113
  59,856   59,991   175,057   173,394
 
INCOME FROM OPERATIONS 26,301 30,937 69,722 73,390
 
OTHER INCOME, Net   1,332   808   3,791   2,642
 
INCOME BEFORE INCOME TAXES 27,633 31,745 73,513 76,032
 
PROVISION FOR INCOME TAXES   7,157   11,841   19,040   28,360
 
NET INCOME $ 20,476 $ 19,904 $ 54,473 $ 47,672
 
 
EARNINGS PER SHARE:
Basic $ 0.42 $ 0.41 $ 1.13 $ 0.99
 
Diluted $ 0.42 $ 0.41 $ 1.12 $ 0.99
 
Basic weighted average shares 48,379 48,218 48,379 48,218
Diluted weighted average shares 48,611 48,339 48,584 48,331
 
 
THE BUCKLE, INC.
 
CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands Except Share and Per Share Amounts)
(Unaudited)
                 
ASSETS November 3,
2018
February 3,
2018 (1)
October 28,
2017
 
CURRENT ASSETS:
Cash and cash equivalents $ 177,918 $ 165,086 $ 205,247
Short-term investments 45,605 50,833 52,202
Receivables 8,266 8,588 11,247
Inventory 145,473 118,007 128,821
Prepaid expenses and other assets   19,862     18,070     8,317  
Total current assets   397,124     360,584     405,834  
 
PROPERTY AND EQUIPMENT 460,523 459,043 462,798
Less accumulated depreciation and amortization   (324,044 )   (309,497 )   (306,655 )
  136,479     149,546     156,143  
 
LONG-TERM INVESTMENTS 18,322 21,453 18,386
OTHER ASSETS   7,170     6,533     7,760  
 
Total assets $ 559,095   $ 538,116   $ 588,123  
 
LIABILITIES AND STOCKHOLDERS’ EQUITY
 
CURRENT LIABILITIES:
Accounts payable $ 48,400 $ 29,387 $ 41,294
Accrued employee compensation 17,996 22,307 14,899
Accrued store operating expenses 21,851 15,646 17,044
Gift certificates redeemable 13,907 18,202 14,853
Income taxes payable       12,364     4,087  
Total current liabilities   102,154     97,906     92,177  
 
DEFERRED COMPENSATION 13,804 15,154 14,581
DEFERRED RENT LIABILITY   30,287     33,808     35,452  
Total liabilities   146,245     146,868     142,210  
 
COMMITMENTS
 
STOCKHOLDERS’ EQUITY:
Common stock, authorized 100,000,000 shares of $.01 par value; issued and outstanding; 49,017,975 shares at November 3, 2018, 48,816,170 shares at February 3, 2018, and 48,841,280 shares at October 28, 2017 490 488 488
Additional paid-in capital 147,584 144,279 143,670
Retained earnings 264,776 246,570 301,834
Accumulated other comprehensive loss       (89 )   (79 )
Total stockholders’ equity   412,850     391,248     445,913  
 
Total liabilities and stockholders’ equity $ 559,095   $ 538,116   $ 588,123  
 
(1) Derived from audited financial statements.
 

Thomas B. Heacock, Chief Financial Officer
The Buckle, Inc.
(308) 236-8491

Source: The Buckle, Inc.