Feb 01

Five Below Q4 2024 Earnings Report

Five Below reported its Q4 2024 results with net sales growth of 4.0% and adjusted EPS slightly above expectations despite a decrease in comparable sales.

Key Takeaways

Five Below delivered a solid performance in Q4 2024, with net sales reaching $1.39 billion, representing a 4.0% increase year-over-year. The company reported a GAAP EPS of $3.39 and adjusted EPS of $3.48. Net income totaled $187.5 million, and operating income was $246.8 million. Despite a 3.0% decline in comparable sales, the company’s strategic execution and new store openings contributed positively.

Net sales increased by 4.0% to $1.39 billion.

GAAP EPS was $3.39, and adjusted EPS was $3.48.

Comparable sales decreased by 3.0%.

Operating income reached $246.8 million.

Total Revenue
$1.39B
Previous year: $1.34B
+4.0%
EPS
$3.48
Previous year: $3.65
-4.7%
Comparable Store Sales
-3%
Total Stores
1.77K
Previous year: 1.54K
+14.7%
Cash and Equivalents
$332M
Previous year: $332M
-0.2%
Total Assets
$4.34B
Previous year: $3.32B
+30.5%

Five Below

Five Below

Forward Guidance

For Q1 fiscal 2025, Five Below expects net sales between $905 million and $925 million, with adjusted EPS between $0.50 and $0.61. The company anticipates approximately 50 new store openings and stable to slightly positive comparable sales growth.

Positive Outlook

  • Projected net sales of $905 million to $925 million for Q1 2025.
  • Approximately 50 new stores to be opened in Q1 2025.
  • Adjusted EPS guidance between $0.50 and $0.61.
  • Focus on affordability and value in product assortment.
  • Planned fiscal 2025 net sales between $4.21 billion and $4.33 billion.

Challenges Ahead

  • Flat to modest growth in comparable sales expected.
  • Cost pressures from tariffs and supply chain remain a concern.
  • Potential impact from macroeconomic headwinds.
  • Increased operating expenses could weigh on margins.
  • Challenges in managing inventory balance and shrinkage risks.