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Buckle reports mixed August sales results

Published 09/05/2024, 06:57 AM
BKE
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KEARNEY, Neb. - The Buckle, Inc. (NYSE:BKE), a specialty retailer, disclosed its sales figures for the month ending August 31, 2024, revealing a slight increase in comparable store net sales but an overall decrease in net sales compared to the previous year. Specifically, comparable store net sales for the 4-week period saw a 1.7 percent rise from the same period in the prior year, yet total net sales for the month fell by 6.6 percent to $105.1 million.

For the 30-week period ended August 31, 2024, the retailer also reported a downturn, with comparable store net sales declining by 6.3 percent and total net sales dropping 5.5 percent to $650.0 million, compared to $687.8 million in the previous year.

The company, known for its denim and casual apparel, operates 441 stores across 42 states, including a new store opened in Visalia, California, during the reported fiscal month. This is a slight decrease from the 442 stores operated as of September 5, 2023.

The sales comparison for the month and year-to-date was adjusted due to the inclusion of a 53rd week in the fiscal year 2023. The Buckle's financial results and future performance are subject to risks and uncertainties, some of which are beyond the company's control. As such, future results could materially differ from current expectations, as stated in their Safe Harbor disclaimer.

This sales update is based on a press release statement from The Buckle, Inc., and it is important to note that such statements may change based on factors outside of the company's control. Investors are advised to consider these factors when evaluating the company's financial performance.

In other recent news, The Buckle, Inc. reported a strong second quarter with both earnings and revenue surpassing analyst estimates. The company posted adjusted earnings per share of $0.78, outperforming the analyst consensus of $0.76. Revenue was reported at $282.4 million, exceeding expectations of $272.41 million. Despite these positive figures, it's important to note a decrease in sales by 3.4% compared to the same quarter last year, with comparable store sales and online sales also witnessing a drop.

Despite these challenges, Buckle's CEO, Dennis Nelson, credited the team's focus on exceptional service and style for outperforming expectations. The company also maintained strong profitability with net income of $39.3 million for the quarter and a robust gross margin of 46.9% of net sales. These recent developments underscore the company's resilience amid a challenging retail environment.

InvestingPro Insights

The Buckle, Inc. (NYSE:BKE) has demonstrated resilience amid a challenging retail landscape, as evidenced by its latest sales figures. While the company experienced a decline in net sales for the month ending August 31, 2024, it still managed a slight increase in comparable store net sales. To provide investors with a deeper understanding of The Buckle's financial health and potential, we turn to some key metrics and InvestingPro Tips.

In terms of financial metrics, The Buckle boasts an impressive gross profit margin of 58.83% for the last twelve months as of Q2 2025, highlighting its ability to maintain profitability despite revenue challenges. The company's market capitalization stands at $2.06 billion, with a P/E ratio of 10.02, indicating that the stock could be reasonably valued relative to its earnings. Additionally, The Buckle has maintained a robust dividend yield of 9.44% as of the end of 2024, which is significant for income-focused investors.

Among the InvestingPro Tips, two particularly stand out for The Buckle. Firstly, the company has been consistent in paying dividends, maintaining this for 22 consecutive years, which is a testament to its commitment to returning value to shareholders. Secondly, The Buckle is trading at a high Price/Book multiple of 4.49, which suggests that investors have confidence in the company's assets and future growth potential. Moreover, there are 8 additional InvestingPro Tips available at https://www.investing.com/pro/BKE, which can provide investors with more nuanced insights into the company's performance and prospects.

For those considering an investment in The Buckle, these insights may provide a clearer picture of the company's strengths, such as its ability to generate a strong return over the last five years and its solid financial positioning with liquid assets exceeding short-term obligations. With a moderate level of debt, the company operates with financial prudence, which could be appealing to risk-averse investors.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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