Five Below (NASDAQ: FIVE) reported Q4 EPS of $2.20, $0.09 better than the analyst estimate of $2.11. Revenue for the quarter came in at $858.5 million versus the consensus estimate of $838.26 million.

For the fourth quarter ended January 30, 2021:

• Net sales increased by 24.9% to $858.5 million from $687.1 million in the fourth quarter of fiscal 2019; comparable sales increased by 13.8%.
• The Company opened 2 new stores and ended the quarter with 1,020 stores in 38 states. This represents an increase in stores of 13.3% from the end of the fourth quarter of fiscal 2019.
• Operating income increased by 17.7% to $169.6 million from $144.1 million in the fourth quarter of fiscal 2019.
• The effective tax rate was 26.6% compared to 23.6% in the fourth quarter of fiscal 2019.
• Net income increased by 12.3% to $123.9 million from $110.4 million in the fourth quarter of fiscal 2019.
• Diluted income per common share was $2.20 compared to $1.97 in the fourth quarter of fiscal 2019. The fourth quarter of fiscal 2019 included a $0.01 benefit from share-based accounting.

Joel Anderson, President and CEO of Five Below, stated, “We closed out an unprecedented year with fourth quarter results that were even stronger than we expected, highlighted by a record fourth quarter comparable sales increase of 13.8% with broad-based strength across our worlds. I am so grateful for our outstanding teams, who executed seamlessly against our key priorities, with an unwavering commitment to health and safety, maintaining financial discipline and always placing the customer at the center of our decision-making.”

Mr. Anderson continued, “We enter 2021 with this same focus and dedication as we continue to invest in our foundation and in innovation across product, experience and supply chain, while returning to more normalized annual store growth. With plans to open 170 to 180 new stores in our Five Beyond prototype, we are excited to enter the two new states of Utah and New Mexico, bringing the states we operate in to 40. Concurrently, we are expanding our distribution center network with the addition of our Arizona facility this year. With continued focus on providing extreme value, trend-right products our customers ‘just gotta have!', combined with execution against key strategic initiatives, we are well positioned to achieve our objectives for 2021 and beyond.”

GUIDANCE:

Five Below sees Q1 2021 EPS of $0.56-$0.68, versus the consensus of $0.39. Five Below sees Q1 2021 revenue of $540-560 million, versus the consensus of $440.91 million.

First Quarter and Fiscal 2021 Outlook:

The Company expects the following results for the first quarter of fiscal 2021. Given the uncertainty related to COVID-19 and potential future shifts in consumer spending, the Company will not be providing sales or earnings guidance for the full year of fiscal 2021.

For the first quarter of fiscal 2021:

• Net sales are expected to be in the range of $540 million to $560 million based on opening approximately 60 new stores.
• Net income is expected to be in the range of $31.6 million to $38.4 million.
• Diluted income per common share is expected to be in the range of $0.56 to $0.68 on approximately 56.4 million diluted weighted average shares outstanding.

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