Ollie's Bargain Outlet (OLLI) Q3 2024 Earnings
How Did OLLI Stock React to Q3 2024 Earnings?
S&P 500 over the same 30 days: −3.42%.
Did OLLI Beat Earnings? Q3 2024 Results
Yes. Ollie's Bargain Outlet reported Q3 2024 earnings of $0.58 a share on Dec 10, 2024, beating the $0.57 consensus estimate by 1.4%. Revenue was $517.4M against a $519.5M estimate.
Ollie's Bargain Outlet posted a mixed but broadly encouraging third quarter of fiscal 2024, with adjusted EPS of $0.58 edging past the $0.57 consensus estimate while revenue of $517.43 million came in just shy of the $519.47 million Wall Street expected, representing 7.8% year-over-year growth driven entirely by new store openings rather than comparable sales. The quarter's defining story was aggressive unit expansion: the company opened a record 24 new stores and ended the period with 546 locations across 31 states, an 8.1% increase in store count that carried the top line even as comparable store sales dipped 0.5% against a demanding prior-year comparison. Gross margin expanded 100 basis points to 41.4%, aided by favorable supply chain costs, helping operating income climb 14.0% to $44.52 million. An opportunistic move to acquire locations from the Big Lots bankruptcy added a forward-looking dimension to the quarter. Management nudged full-year net sales guidance to $2.27 to $2.28 billion while maintaining adjusted EPS guidance of $3.22 to $3.30.
- New store unit growth drove 7.8% net sales increase
- Gross margin expanded 100 basis points to 41.4% driven by favorable supply chain costs
- Higher mix of consumables partially offset merchandise margin
- SG&A deleveraged 40 basis points to 29.9% due to comparable store sales decline
- Record 24 new stores opened in the quarter
“We had another great quarter and are pleased with our results. We delivered strong earnings on higher sales, gross margin, and disciplined expense control. We also took advantage of a number of real estate opportunities that strengthened our new store pipeline and enhanced our competitive positioning for the future.”
Ollie's Bargain Outlet CEO, on the earnings call
What Was Ollie's Bargain Outlet's Outlook in Q3 2024?
For fiscal 2024 (52-week year ending February 1, 2025), the company updated guidance: net sales of $2.270 to $2.280 billion (narrowed from $2.276 to $2.291 billion), comparable store sales increase of 2.7% to 3.0% (narrowed from 2.7% to 3.2%), gross margin of 40.0%, operating income of $251 to $258 million, adjusted net income of $199 to $203 million, adjusted net income per diluted share of $3.22 to $3.30, capital expenditures of $104 million, and 50 new store openings with 3 closures. The effective tax rate is expected to be 25.0% excluding excess tax benefits from stock-based compensation.
OLLI YoY Financials
| Metric | Q3 2024 | Q3 2023 | Year over year |
|---|---|---|---|
| Revenue | $517.4M | $480.0M | +7.8% |
| Gross Profit | $214.5M | $194.1M | +10.5% |
| Operating Income | $44.5M | $39.1M | +14.0% |
| Net Income | $35.9M | $31.8M | +12.8% |
Figures from SEC filings and company reports. Not investment advice.