The Buckle, Inc. Reports Second Quarter Net Income

KEARNEY, Neb.--(BUSINESS WIRE)--The Buckle, Inc. (NYSE: BKE) announced today that net income for the fiscal quarter ended July 30, 2022 was $50.1 million, or $1.02 per share ($1.01 per share on a diluted basis).

Net sales for the 13-week fiscal quarter ended July 30, 2022 increased 2.3 percent to $302.0 million from net sales of $295.1 million for the prior year 13-week fiscal quarter ended July 31, 2021. Comparable store net sales for the 13-week period ended July 30, 2022 increased 1.6 percent from comparable store net sales for the prior year 13-week period ended July 31, 2021. Online sales increased 6.5 percent to $46.2 million for the 13-week period ended July 30, 2022, compared to net sales of $43.4 million for the 13-week period ended July 31, 2021.

Net sales for the 26-week fiscal period ended July 30, 2022 increased 2.8 percent to $611.0 million from net sales of $594.2 million for the prior year 26-week fiscal period ended July 31, 2021. Comparable store net sales for the 26-week period ended July 30, 2022 increased 2.6 percent from comparable store net sales for the prior year 26-week period ended July 31, 2021. Online sales increased 3.5 percent to $100.6 million for the 26-week period ended July 30, 2022, compared to net sales of $97.2 million for the 26-week period ended July 31, 2021.

Net income for the second quarter of fiscal 2022 was $50.1 million, or $1.02 per share ($1.01 per share on a diluted basis), compared with net income of $51.4 million, or $1.05 per share ($1.04 per share on a diluted basis) for the second quarter of fiscal 2021.

Net income for the 26-week fiscal period ended July 30, 2022 was $105.4 million, or $2.14 per share ($2.13 per share on a diluted basis), compared with net income of $108.7 million, or $2.22 per share ($2.20 per share on a diluted basis) for the 26-week period ended July 31, 2021.

Management will hold a conference call at 10:00 a.m. EDT today to discuss results for the quarter. To participate in the call, please call [phone] for domestic calls or [phone] for international calls and reference the conference code 2084271. A replay of the call will be available for a two-week period beginning today at 1:00 p.m. EDT by calling [phone] for domestic calls or [phone] for international calls and entering the conference code 9468609.

About Buckle

Offering a unique mix of high-quality, on-trend apparel, accessories, and footwear, Buckle caters to fashion-conscious young men and women. Known as a denim destination, each store carries a wide selection of fits, styles, and finishes from leading denim brands, including the Company’s exclusive brand, BKE. Headquartered in Kearney, Nebraska, Buckle currently operates 442 retail stores in 42 states. As of the end of the fiscal quarter, it operated 441 stores in 42 states compared with 442 stores in 42 states at the end of the second quarter of fiscal 2021.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors which may be beyond the Company’s control. Accordingly, the Company’s future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company’s filings with the Securities and Exchange Commission. The Company does not undertake to publicly update or revise any forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Note: News releases and other information on The Buckle, Inc. can be accessed at www.buckle.com on the Internet.
Financial Tables to Follow

THE BUCKLE, INC. CONSOLIDATED STATEMENTS OF INCOME (Amounts in Thousands Except Per Share Amounts) (Unaudited)
	Thirteen Weeks Ended				Twenty-Six Weeks Ended
	July 30, 2022		July 31, 2021		July 30, 2022		July 31, 2021
SALES, Net of returns and allowances	$	301,976	$	295,120	$	611,040	$	594,245
COST OF SALES (Including buying, distribution, and occupancy costs)		156,607		153,101		313,511		304,673
Gross profit		145,369		142,019		297,529		289,572
OPERATING EXPENSES:
Selling		67,982		63,056		135,228		123,056
General and administrative		11,674		11,081		23,529		22,832
		79,656		74,137		158,757		145,888
INCOME FROM OPERATIONS		65,713		67,882		138,772		143,684
OTHER INCOME, Net		703		222		828		273
INCOME BEFORE INCOME TAXES		66,416		68,104		139,600		143,957
INCOME TAX EXPENSE		16,272		16,685		34,202		35,269
NET INCOME	$	50,144	$	51,419	$	105,398	$	108,688
EARNINGS PER SHARE:
Basic	$	1.02	$	1.05	$	2.14	$	2.22
Diluted	$	1.01	$	1.04	$	2.13	$	2.20
Basic weighted average shares		49,214		48,946		49,214		48,946
Diluted weighted average shares		49,535		49,341		49,531		49,325

THE BUCKLE, INC. CONSOLIDATED BALANCE SHEETS (Amounts in Thousands Except Share and Per Share Amounts) (Unaudited)
ASSETS	July 30, 2022			January 29, 2022 (1)			July 31, 2021
CURRENT ASSETS:
Cash and cash equivalents	$	266,731		$	253,970		$	406,714
Short-term investments		17,387			12,926			8,592
Receivables		13,015			12,087			6,667
Inventory		128,498			102,095			95,276
Prepaid expenses and other assets		9,445			10,128			20,294
Total current assets		435,076			391,206			537,543
PROPERTY AND EQUIPMENT		460,362			453,228			452,460
Less accumulated depreciation and amortization		(353,929	)		(352,724	)		(352,773	)
		106,433			100,504			99,687
OPERATING LEASE RIGHT-OF-USE ASSETS		234,634			258,914			264,177
LONG-TERM INVESTMENTS		20,640			19,352			19,558
OTHER ASSETS		12,281			10,908			11,720
Total assets	$	809,064		$	780,884		$	932,685
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable	$	63,036		$	59,950		$	67,812
Accrued employee compensation		29,509			62,055			33,878
Accrued store operating expenses		30,497			20,264			30,724
Gift certificates redeemable		12,411			16,470			11,434
Current portion of operating lease liabilities		80,827			88,273			82,255
Income taxes payable		—			1,529			—
Total current liabilities		216,280			248,541			226,103
DEFERRED COMPENSATION		20,163			19,352			19,558
NON-CURRENT OPERATING LEASE LIABILITIES		183,643			200,067			209,472
Total liabilities		420,086			467,960			455,133
COMMITMENTS
STOCKHOLDERS’ EQUITY:
Common stock, authorized 100,000,000 shares of $.01 par value; issued and outstanding; 50,094,751 shares at July 30, 2022, 49,728,651 shares at January 29, 2022, and 49,783,381 shares at July 31, 2021		501			497			498
Additional paid-in capital		173,046			167,328			163,148
Retained earnings		215,431			145,099			313,906
Total stockholders’ equity		388,978			312,924			477,552
Total liabilities and stockholders’ equity	$	809,064		$	780,884		$	932,685
(1) Derived from audited financial statements.