Free Research Report as Ollie's Revenues Surged 21.1%; Non-GAAP EPS Soared 66.4%

LONDON, UK / ACCESSWIRE / July 5, 2018 / If you want access to our free earnings report on Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) ("Ollie's"), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=OLLI. The Company reported its first quarter fiscal 2018 operating and financial results on June 05, 2018. The retailer outperformed top- and bottom-line expectations. Additionally, the Company raised its sales and earnings guidance for FY18. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Ollie's Bargain Outlet Holdings most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

For the first quarter of the fiscal year 2018, Ollie's net sales increased 21.1% to $275.7 million compared to $227.6 million in Q1 FY17, driven by a growth in the number of stores of 15.5% and an increase in comparable store sales of 1.9%. The Company's revenue numbers beat analysts' estimates of $270.3 million.

For Q1 FY18, Ollie's gross profit increased 21.5% to $112.9 million from $92.9 million in Q1 FY17. The Company's gross margin increased 10 basis points (bps) to 40.9% in the reported quarter from 40.8% in the prior year's same quarter, driven by an increased merchandise margin partially offset by higher supply chain costs as a percentage of net sales.

Ollie's operating income surged 31.6% to $36.0 million in Q1 FY18 compared to $27.3 million in Q1 FY17. The Company's operating margin rose 110 bps to 13.1% in the reported quarter versus 12.0% in the prior year's comparable quarter.

Ollie's reported a net income of $30.5 million, or $0.46 per diluted share, in Q1 FY18 compared to $19.0 million, or $0.29 per diluted share, in Q1 FY17. The Company's Q1 FY18 and Q1 FY17 earnings results included a benefit of $0.06 and $0.05, respectively, due to excess tax benefits related to stock-based compensation.

For Q1 FY18, Ollie's adjusted net income soared 66.4% to $26.6 million, or $0.41 per diluted share, from $16.0 million, or $0.25 per diluted share, in Q1 FY17. The Company's earnings surpassed Wall Street's estimates of $0.36 per share.

During Q1 FY18, Ollie's opened 8 stores and ended the period with 276 locations compared to 239 stores at the end of the prior year's corresponding period, reflecting an increase in store count of 15.5% on a y-o-y basis.

Cash Matters

As of May 05, 2018, Ollie's cash balance was $27.6 million compared to $33.7 million as of April 29, 2017. The Company had no borrowings outstanding under its $100 million revolving credit facility and $95.3 million of availability under the facility as of the end of the reported quarter. Ollie's paid down $25 million in term loan debt during Q1 FY18 and ended the period with total borrowings of $24.2 million compared to $129.0 million at the end of the prior year's same period.

Ollie's inventory increased 11.9% to $276.0 million as of the end of Q1 FY18 compared to $246.6 million as of the end of Q1 FY17, primarily due to a new store growth and timing of deal flow. The Company's capital expenditure totaled $4.7 million in the reported quarter versus $3.0 million in the prior year's comparable quarter.

Outlook

For the full fiscal year 2018, Ollie's raised its net sales forecasts to be in the range of $1.207 billion to $1.215 billion. The Company is expecting comparable store sales growth of 1.0% to 2.0%.

For FY18, Ollie's is projecting an operating income of $152.0 million to $154.0 million, and adjusted net income to be in the band of $112.0 million to $114.0 million, or $1.69 to $1.72 per diluted share. The Company is planning to open 36 to 38 new stores and 1 relocation in FY18.

Stock Performance Snapshot

July 02, 2018 - At Monday's closing bell, Ollie's Bargain Outlet's stock rose 2.69%, ending the trading session at $72.55.

Volume traded for the day: 341.37 thousand shares.

Stock performance in the last three-month – up 20.02%; previous six-month period – up 39.65%; past twelve-month period – up 70.31%; and year-to-date – up 36.24%

After last Monday's close, Ollie's Bargain Outlet's market cap was at $4.53 billion.

Price to Earnings (P/E) ratio was at 34.09.

The stock is part of the Services sector, categorized under the Discount, Variety Stores industry.

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