Specialty value retailer, Five Below, Inc. (FIVE), Tuesday announced that the total sales for the first quarter increased 33 percent to $95.6 million. Comparable store sales increased 4.2 percent for the three-month period. Further, the firm also raised its first quarter guidance.
For the first quarter, GAAP net income is expected to be in the range of $0.8 million to $1.3 million, or $0.01 to $0.02 per share. Excluding $0.9 million,in tax-effected expenses related to the founders' transaction, adjusted net income is now expected to be about $1.7 million to $2.2 million or $0.03 to $0.04 per share. Analysts anticipate the firm to report earnings of $0.03 per share for the quarter.
Thomas Vellios, Co-Founder, President and CEO said, "We opened 14 net new stores in the first quarter, of which 6 were opened during the last 9 days of the quarter and we are on track for the planned 60 net openings in 2013."
In a separate statement, the firm said that it had filed registration statement with SEC, relating to a proposed secondary offering of 8,563,172 shares of its common stock. The underwriters are expected to have a 30-day option to purchase an additional 1,284,475 shares of common stock. Five Below will not receive any proceeds from the sale of shares in this offering.
Goldman, Sachs & Co., Barclays Capital Inc., Jefferies LLC, Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are acting as joint book-running managers of the offering, UBS Securities LLC and Wells Fargo Securities LLC are the co-managers of the offering, and Goldman, Sachs & Co., Barclays Capital Inc. and Jefferies LLC are the representatives of the underwriters.
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