The Buckle, Inc. Reports Second Quarter Net Income

·6 min read

KEARNEY, Neb., August 19, 2022--(BUSINESS WIRE)--The Buckle, Inc. (NYSE: BKE) announced today that net income for the fiscal quarter ended July 30, 2022 was $50.1 million, or $1.02 per share ($1.01 per share on a diluted basis).

Net sales for the 13-week fiscal quarter ended July 30, 2022 increased 2.3 percent to $302.0 million from net sales of $295.1 million for the prior year 13-week fiscal quarter ended July 31, 2021. Comparable store net sales for the 13-week period ended July 30, 2022 increased 1.6 percent from comparable store net sales for the prior year 13-week period ended July 31, 2021. Online sales increased 6.5 percent to $46.2 million for the 13-week period ended July 30, 2022, compared to net sales of $43.4 million for the 13-week period ended July 31, 2021.

Net sales for the 26-week fiscal period ended July 30, 2022 increased 2.8 percent to $611.0 million from net sales of $594.2 million for the prior year 26-week fiscal period ended July 31, 2021. Comparable store net sales for the 26-week period ended July 30, 2022 increased 2.6 percent from comparable store net sales for the prior year 26-week period ended July 31, 2021. Online sales increased 3.5 percent to $100.6 million for the 26-week period ended July 30, 2022, compared to net sales of $97.2 million for the 26-week period ended July 31, 2021.

Net income for the second quarter of fiscal 2022 was $50.1 million, or $1.02 per share ($1.01 per share on a diluted basis), compared with net income of $51.4 million, or $1.05 per share ($1.04 per share on a diluted basis) for the second quarter of fiscal 2021.

Net income for the 26-week fiscal period ended July 30, 2022 was $105.4 million, or $2.14 per share ($2.13 per share on a diluted basis), compared with net income of $108.7 million, or $2.22 per share ($2.20 per share on a diluted basis) for the 26-week period ended July 31, 2021.

Management will hold a conference call at 10:00 a.m. EDT today to discuss results for the quarter. To participate in the call, please call (844) 867-6169 for domestic calls or (409) 207-6975 for international calls and reference the conference code 2084271. A replay of the call will be available for a two-week period beginning today at 1:00 p.m. EDT by calling (866) 207-1041 for domestic calls or (402) 970-0847 for international calls and entering the conference code 9468609.

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 442 retail stores in 42 states. As of the end of the fiscal quarter, it operated 441 stores in 42 states compared with 442 stores in 42 states at the end of the second quarter of fiscal 2021.

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.
Financial Tables to Follow

THE BUCKLE, INC.

CONSOLIDATED STATEMENTS OF INCOME

(Amounts in Thousands Except Per Share Amounts)

(Unaudited)

Thirteen Weeks Ended

Twenty-Six Weeks Ended

July 30,
2022

July 31,
2021

July 30,
2022

July 31,
2021

SALES, Net of returns and allowances

$

301,976

$

295,120

$

611,040

$

594,245

COST OF SALES (Including buying, distribution, and occupancy costs)

156,607

153,101

313,511

304,673

Gross profit

145,369

142,019

297,529

289,572

OPERATING EXPENSES:

Selling

67,982

63,056

135,228

123,056

General and administrative

11,674

11,081

23,529

22,832

79,656

74,137

158,757

145,888

INCOME FROM OPERATIONS

65,713

67,882

138,772

143,684

OTHER INCOME, Net

703

222

828

273

INCOME BEFORE INCOME TAXES

66,416

68,104

139,600

143,957

INCOME TAX EXPENSE

16,272

16,685

34,202

35,269

NET INCOME

$

50,144

$

51,419

$

105,398

$

108,688

EARNINGS PER SHARE:

Basic

$

1.02

$

1.05

$

2.14

$

2.22

Diluted

$

1.01

$

1.04

$

2.13

$

2.20

Basic weighted average shares

49,214

48,946

49,214

48,946

Diluted weighted average shares

49,535

49,341

49,531

49,325

THE BUCKLE, INC.

CONSOLIDATED BALANCE SHEETS

(Amounts in Thousands Except Share and Per Share Amounts)

(Unaudited)

ASSETS

July 30,
2022

January 29,
2022 (1)

July 31,
2021

CURRENT ASSETS:

Cash and cash equivalents

$

266,731

$

253,970

$

406,714

Short-term investments

17,387

12,926

8,592

Receivables

13,015

12,087

6,667

Inventory

128,498

102,095

95,276

Prepaid expenses and other assets

9,445

10,128

20,294

Total current assets

435,076

391,206

537,543

PROPERTY AND EQUIPMENT

460,362

453,228

452,460

Less accumulated depreciation and amortization

(353,929

)

(352,724

)

(352,773

)

106,433

100,504

99,687

OPERATING LEASE RIGHT-OF-USE ASSETS

234,634

258,914

264,177

LONG-TERM INVESTMENTS

20,640

19,352

19,558

OTHER ASSETS

12,281

10,908

11,720

Total assets

$

809,064

$

780,884

$

932,685

LIABILITIES AND STOCKHOLDERS’ EQUITY

CURRENT LIABILITIES:

Accounts payable

$

63,036

$

59,950

$

67,812

Accrued employee compensation

29,509

62,055

33,878

Accrued store operating expenses

30,497

20,264

30,724

Gift certificates redeemable

12,411

16,470

11,434

Current portion of operating lease liabilities

80,827

88,273

82,255

Income taxes payable

1,529

Total current liabilities

216,280

248,541

226,103

DEFERRED COMPENSATION

20,163

19,352

19,558

NON-CURRENT OPERATING LEASE LIABILITIES

183,643

200,067

209,472

Total liabilities

420,086

467,960

455,133

COMMITMENTS

STOCKHOLDERS’ EQUITY:

Common stock, authorized 100,000,000 shares of $.01 par value; issued and outstanding; 50,094,751 shares at July 30, 2022, 49,728,651 shares at January 29, 2022, and 49,783,381 shares at July 31, 2021

501

497

498

Additional paid-in capital

173,046

167,328

163,148

Retained earnings

215,431

145,099

313,906

Total stockholders’ equity

388,978

312,924

477,552

Total liabilities and stockholders’ equity

$

809,064

$

780,884

$

932,685

(1) Derived from audited financial statements.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220819005039/en/

Contacts

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