For the third quarter ended October 31, Five Below posted net sales of $169.7 million versus $138 million for the year-earlier period, and net income of $4.3 million, or eight cents per share, versus $3.3 million, or six cents per share, for the 2014 frame. Comparable store sales gained 4.8%.
Earnings surpassed a Market Beat analyst average estimate by a penny.
Operating income reached $7 million from $5.5 million in last year’s quarter, Five Below maintained.
“We are very pleased to report third quarter financial results that came in ahead of our expectations,” said Joel Anderson, Five Below CEO. “Continued strength in the performance of our new stores and above-plan comp results were driven by our compelling assortment of trend-right products at a great value that resonated with customers. We have been in preparation mode for the fourth quarter all year and believe we are well positioned for the peak holiday weeks that lie ahead. Our teams have planned exciting marketing campaigns to highlight a great holiday product assortment, which we believe will deliver ample newness and ‘wow’ for our customers and reinforce our position as a destination for holiday shopping.”
Five Below also announced that its co-founder David Schlessinger has decided to step down from Five Below’s board of directors to pursue personal interests. Since co-founding Five Below, Inc. in 2002, Schlessinger has served as co-founder, executive chairman until 2014, and most recently, director.
The company also appointed Daniel Kaufman to its board of directors. Kaufman currently serves as svp/general counsel and corporate secretary of GameStop.
Five Below opened 17 net new stores in the quarter, ending the period with 434 stores in 27 states.