Shares of Boot Barn Holdings Inc. rose about 17% to $9 and a $242 million market cap during Wednesday trading, after the company reported revenue and profits for the June quarter that beat Wall Street expectations.
The Irvine-based western and work wear retailer posted a 4.5% increase in sales to $139.4 million for the first quarter of its fiscal 2018, which ended on July 1. Its net income was $800,000, or 3 cents per diluted share, up from $600,000, or 2 cents per diluted share a year earlier. Analysts had anticipated $139 million in revenue and break-even earnings.
The revenue increase was “driven by the sales contribution of 11 new Boot Barn stores opened over the past 12 months, 1.3% same-store sales growth, and sales from the recently acquired Country Outfitter site,” President and Chief Executive Jim Conroy said during an earnings call Tuesday. “We saw growth in Texas, increased sales in the commodity impacted group of states, which includes North Dakota, Wyoming and Colorado, as well as sequential improvement in the balance of the country, which continues to comp positively.”
The company projects its second quarter same-store sales to be “roughly in line with the first quarter,” according to Chief Financial Officer Gregory Hackman. “We estimate our second quarter net earnings, our net income per diluted share to be in the range of 0 to 2 cents per share.”
Boot Barn operates 219 stores in 31 states, and plans to open 11 more by March 31, the end of its fiscal 2018.
