The Buckle, Inc. Reports Fourth Quarter and Fiscal Year 2023 Net Income

The Buckle, Inc. (NYSE: BKE) announced today that net income for the fiscal quarter ended February 3, 2024 was $79.6 million, or $1.60 per share ($1.59 per share on a diluted basis). Net income for the fiscal year ended February 3, 2024 was $219.9 million, or $4.44 per share ($4.40 per share on a diluted basis).

Net sales for the 14-week fiscal quarter ended February 3, 2024 decreased 4.8 percent to $382.4 million from net sales of $401.8 million for the prior year 13-week fiscal quarter ended January 28, 2023. Comparable store net sales for the 14-week period ended February 3, 2024 decreased 9.6 percent from comparable store net sales for the prior year 14-week period ended February 4, 2023. Online sales decreased 12.4 percent to $65.5 million for the 14-week period ended February 3, 2024, compared to net sales of $74.8 million for the 13-week period ended January 28, 2023.

Net sales for the 53-week fiscal year ended February 3, 2024 decreased 6.3 percent to $1.261 billion from net sales of $1.345 billion for the 52-week fiscal year ended January 28, 2023. Comparable store net sales for the 53-week period ended February 3, 2024 decreased 8.0 percent from comparable store net sales for the prior year 53-week period ended February 4, 2023. Online sales decreased 10.3 percent to $206.5 million for the 53-week period ended February 3, 2024, compared to net sales of $230.4 million for the 52-week period ended January 28, 2023.

Net income for the fourth quarter of fiscal 2023 was $79.6 million, or $1.60 per share ($1.59 per share on a diluted basis), compared with $87.8 million, or $1.78 per share ($1.76 per share on a diluted basis) for the fourth quarter of fiscal 2022.

Net income for the fiscal year ended February 3, 2024 was $219.9 million, or $4.44 per share ($4.40 per share on a diluted basis), compared with $254.6 million, or $5.17 per share ($5.13 per share on a diluted basis) for the fiscal year ended January 28, 2023.

Management will hold a live audio webcast at 10:00 a.m. EDT today to discuss results for the quarter. To register for the live event, please visit https://buckle.zoom.us/webinar/register/WN_CBup_6qlSkqkYS6A6HUQIw. A replay of the event can be accessed through Buckle’s investor relations website within twenty-four hours after the conclusion of the live event (https://corporate.buckle.com/investors/earnings-webcasts).

About Buckle

Buckle is a specialty retailer focused on delivering exceptional service and style through unforgettable experiences. Offering a curated mix of high-quality, on-trend apparel, accessories, and footwear, Buckle is for those living the styled life. Known as a denim destination, each store carries a wide selection of fits, styles, and finishes from leading denim brands, including the Company’s exclusive brand, BKE. Headquartered in Kearney, Nebraska, Buckle currently operates 442 retail stores in 42 states. As of the end of the fiscal year, it operated 444 stores in 42 states compared with 441 stores in 42 states at the end of fiscal 2022.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: All forward-looking statements made by the Company involve material risks and uncertainties and are subject to change based on factors which may be beyond the Company’s control. Accordingly, the Company’s future performance and financial results may differ materially from those expressed or implied in any such forward-looking statements. Such factors include, but are not limited to, those described in the Company’s filings with the Securities and Exchange Commission. The Company does not undertake to publicly update or revise any forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Note: News releases and other information on The Buckle, Inc. can be accessed at www.buckle.com. Financial Tables to Follow

THE BUCKLE, INC.

CONSOLIDATED STATEMENTS OF INCOME

(Amounts in Thousands Except Per Share Amounts)

(Unaudited)

14-Weeks Ended

13-Weeks Ended

53-Weeks Ended

52-Weeks Ended

February 3, 2024

January 28, 2023

February 3, 2024

January 28, 2023 (1)

SALES, Net of returns and allowances

382,383

401,806

1,261,102

1,345,187

COST OF SALES (Including buying, distribution, and occupancy costs)

182,202

188,733

642,037

669,184

Gross profit

200,181

213,073

619,065

676,003

OPERATING EXPENSES:

Selling

85,937

84,515

291,018

293,891

General and administrative

17,741

18,621

56,988

53,980

103,678

103,136

348,006

347,871

INCOME FROM OPERATIONS

96,503

109,937

271,059

328,132

OTHER INCOME, Net

6,834

4,213

18,156

6,924

INCOME BEFORE INCOME TAXES

103,337

114,150

289,215

335,056

INCOME TAX EXPENSE

23,756

26,308

69,296

80,430

NET INCOME

79,581

87,842

219,919

254,626

EARNINGS PER SHARE

Basic

1.60

1.78

4.44

5.17

Diluted

1.59

1.76

4.40

5.13

Basic weighted average shares

49,791

49,435

49,582

49,269

Diluted weighted average shares

50,148

49,856

49,955

49,631

(1) Derived from audited financial statements

THE BUCKLE, INC.

CONSOLIDATED BALANCE SHEETS

(Amounts in Thousands Except Share and Per Share Amounts)

(Unaudited)

ASSETS

February 3, 2024

January 28, 2023 (1)

CURRENT ASSETS:

Cash and cash equivalents

268,213

252,077

Short-term investments

22,210

20,997

Receivables

8,697

12,648

Inventory

126,290

125,134

Prepaid expenses and other assets

18,846

12,480

Total current assets

444,256

423,336

PROPERTY AND EQUIPMENT

489,037

466,321

Less accumulated depreciation and amortization

(360,200

)

(353,919

)

128,837

112,402

OPERATING LEASE RIGHT-OF-USE ASSETS

280,813

271,421

LONG-TERM INVESTMENTS

24,993

20,624

OTHER ASSETS

10,911

9,796

Total assets

889,810

837,579

LIABILITIES AND STOCKHOLDERS’ EQUITY

CURRENT LIABILITIES:

Accounts payable

45,958

44,835

Accrued employee compensation

49,827

55,490

Accrued store operating expenses

19,067

19,754

Gift certificates redeemable

16,667

16,777

Current portion of operating lease liabilities

85,265

89,187

Income taxes payable

4,672

—

Total current liabilities

221,456

226,043

DEFERRED COMPENSATION

24,993

20,624

NON-CURRENT OPERATING LEASE LIABILITIES

230,141

214,598

Total liabilities

476,590

461,265

COMMITMENTS

STOCKHOLDERS’ EQUITY:

Common stock, authorized 100,000,000 shares of $.01 par value; 50,445,186 and 50,092,616 shares issued and outstanding at February 3, 2024 and January 28, 2023, respectively

504

501

Additional paid-in capital

192,686

178,964

Retained earnings

220,030

196,849

Total stockholders’ equity

413,220

376,314

Total liabilities and stockholders’ equity