Five Below (NASDAQ: FIVE) reported Q3 EPS of $0.36, $0.16 better than the analyst estimate of $0.20. Revenue for the quarter came in at $476.6 million versus the consensus estimate of $446.01 million.

For the third quarter ended October 31, 2020:

• Net sales increased by 26.3% to $476.6 million from $377.4 million in the third quarter of fiscal 2019; comparable sales increased by 12.8%.
• The Company opened 36 new stores and ended the quarter with 1,018 stores in 38 states. This represents an increase in stores of 13.9% from the end of the third quarter of fiscal 2019.
• Operating income increased by 91.2% to $24.2 million from $12.7 million in the third quarter of fiscal 2019.
• The effective tax rate was 13.4% compared to 24.2% in the third quarter of fiscal 2019.
• Net income increased by 100.5% to $20.4 million from $10.2 million in the third quarter of fiscal 2019.
• Diluted income per common share was $0.36 compared to $0.18 in the third quarter of fiscal 2019. The benefit from share-based accounting was approximately $0.04 in the third quarter of fiscal 2020 compared to less than a penny in the third quarter of fiscal 2019.

Joel Anderson, President and CEO, said, “Our third quarter results surpassed our expectations as customers responded very positively to our extreme value, trend-right offering. Our teams did a great job keeping the stores clean and safe, and our merchants pivoted quickly to ensure we met customer demand for products relevant in this COVID-impacted environment. Our performance this quarter demonstrates the inherent flexibility of our model and the agility of our teams to deliver a differentiated shopping experience with incredible value.”

Mr. Anderson continued, “In this high volume fourth quarter, we are focused on providing a safe and efficient shopping experience. In addition to several changes we made in store, such as adding expanded checkout capabilities, we are now offering a same-day delivery option for about 300 stores. The holiday selling season is off to an early and strong start, and COVID-related uncertainty notwithstanding, we believe we are well positioned to delight our customers with amazing Wow stocking stuffers and gifts at incredible values."

Fourth Quarter and Fiscal 2020 Outlook: Given the uncertainty related to COVID-19, the Company will not be providing sales or earnings guidance for the fourth quarter or fiscal 2020. The Company expects to open 120 net new stores in 2020 to end the year with 1,020 stores.

For earnings history and earnings-related data on Five Below (FIVE) click here.