Ollie's Bargain Outlet Expects Growth to Continue in 2025 Amid Macro Uncertainty

MT Newswires
Yesterday
ollies -Shutterstock
Ollie's Bargain Outlet (OLLI) expects fiscal 2025 results to increase on an annual basis as the ongoing economic uncertainty could bode well for the discount retailer.

Ollie's anticipates adjusted earnings of $3.65 to $3.75 per share for the year ending Jan. 31, 2026. That compares with last year's $3.28, which rose nearly 13% annually. Analysts on FactSet expect the metric to come in at $3.78 for fiscal 2025.

Net sales are expected between $2.56 billion and $2.59 billion, with analysts looking for $2.57 billion. In fiscal 2024, net sales grew 8% to $2.27 billion. Comparable sales are forecasted to rise by 1% to 2%, versus 2.8% growth in the previous year.

"Consumers remain under pressure and are seeking value," Chief Executive Eric van der Valk said during an earnings call, according to a FactSet transcript. "Many retailers are closing stores or shutting down entirely. Tariffs are creating uncertainty across the retail landscape. This all bodes well for Ollie's."

Shares of the company were up 11% in Wednesday trading.

For the fourth quarter, adjusted EPS fell to $1.19 from $1.23 a year earlier, matching the consensus on FactSet. Net sales rose 2.8% to $667.1 million, below Wall Street's forecast of $675.4 million. Comparable store sales grew 2.8% amid transaction and basket size gains, beating the Street's estimate of 2.4% growth.

The company opened 13 new stores in the quarter.

Ollie's said last month it's acquiring another 40 former Big Lots store leases, bringing to 63 the total number taken over so far. Big Lots filed for Chapter 11 bankruptcy last year.

"With so many retailers closing stores or going bankrupt in the past year, there are a considerable number of abandoned customers, merchandise, real estate, and talent in the marketplace," van der Valk said in a statement. "We think there is a unique opportunity to take on some of these assets in a manner that strengthens our competitive positioning, broadens our footprint, and bolsters shareholder returns for years to come."















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