EX-99.1 2 bke20160520-8kexhibit.htm EXHIBIT 99.1 SEC Exhibit
Exhibit 99.1
The Buckle, Inc.
 
2407 W. 24th St. Kearney, NE 68845
 
P.O. Box 1480 Kearney, NE 68848-1480
 
phone: 308-236-8491
 
fax: 308-236-4493
 
For Immediate Release: May 20, 2016
web: www.buckle.com

Contact:
Karen B. Rhoads, Chief Financial Officer
 
The Buckle, Inc.
 
(308) 236-8491

THE BUCKLE, INC. REPORTS FIRST QUARTER NET INCOME

KEARNEY, NE -- The Buckle, Inc. (NYSE: BKE) announced today that net income for the fiscal quarter ended April 30, 2016 was $23.1 million, or $0.48 per share ($0.48 per share on a diluted basis).

Net sales for the 13-week fiscal quarter ended April 30, 2016 decreased 10.2 percent to $243.5 million from net sales of $271.3 million for the prior year 13-week fiscal quarter ended May 2, 2015. Comparable store net sales for the 13-week period ended April 30, 2016 decreased 11.1 percent from comparable store net sales for the prior year 13-week period ended May 2, 2015. Online sales decreased 2.8 percent to $23.5 million for the 13-week period ended April 30, 2016, compared to net sales of $24.2 million for the 13-week period ended May 2, 2015.

Net income for the first quarter of fiscal 2016 was $23.1 million, or $0.48 per share ($0.48 per share on a diluted basis), compared with $33.6 million, or $0.70 per share ($0.70 per share on a diluted basis) for the first quarter of fiscal 2015.

Please note that net sales for the 13-week fiscal quarter ended April 30, 2016 are net of a $3.0 million adjustment recorded as a reduction to revenue to accrue for estimated future rewards related to the Company’s new Guest Loyalty program, which launched during the quarter. Absent the impact of this adjustment for estimated future rewards, total net sales for the quarter were down 9.1 percent and comparable store net sales were down 10.0 percent. Despite the impact on reported sales, the Company is excited about the many potential benefits Guest Loyalty will provide to both Buckle and its guests.

Management will hold a conference call at 10:00 a.m. EDT today to discuss results for the quarter. To participate in the call, please call (800) 230-1092 for domestic calls or (612) 332-0107 for international calls and reference the conference code 393064. A replay of the call will be available for a two-week period beginning today at 12:00 p.m. EDT by calling (800) 475-6701 for domestic calls or (320) 365-3844 for international calls and entering the conference code 393064.

About Buckle

Offering a unique mix of high-quality, on-trend apparel, accessories, and footwear, Buckle caters to fashion-conscious young men and women. 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 467 retail stores in 44 states, following the closing of one store earlier this month in Phoenix, Arizona. As of the end of the fiscal quarter, it operated 468 stores in 44 states compared with 463 stores in 44 states at the end of the first quarter of fiscal 2015.
  



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 on the Internet.

Financial Tables to Follow 



THE BUCKLE, INC.

CONSOLIDATED STATEMENTS OF INCOME
(Amounts in Thousands Except Per Share Amounts)
(Unaudited)
 
 
 
 
 
Thirteen Weeks Ended
 
April 30,
2016
 
May 2,
2015
 
 
 
 
SALES, Net of returns and allowances
$
243,543

 
$
271,345

 
 
 
 
COST OF SALES (Including buying, distribution, and occupancy costs)
148,814

 
157,748

 
 
 
 
Gross profit
94,729

 
113,597

 
 
 
 
OPERATING EXPENSES:
 
 
 
Selling
47,563

 
49,154

General and administrative
10,736

 
11,638

 
58,299

 
60,792

 
 
 
 
INCOME FROM OPERATIONS
36,430

 
52,805

 
 
 
 
OTHER INCOME, Net
408

 
736

 
 
 
 
INCOME BEFORE INCOME TAXES
36,838

 
53,541

 
 
 
 
PROVISION FOR INCOME TAXES
13,741

 
19,971

 
 
 
 
NET INCOME
$
23,097

 
$
33,570

 
 
 
 
 
 
 
 
EARNINGS PER SHARE:
 

 
 

Basic
$
0.48

 
$
0.70

 
 
 
 
Diluted
$
0.48

 
$
0.70

 
 
 
 
Basic weighted average shares
48,107

 
48,074

Diluted weighted average shares
48,203

 
48,188







THE BUCKLE, INC.

CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands Except Share and Per Share Amounts)
(Unaudited)
 
 
 
 
 
 
ASSETS
April 30,
2016
 
January 30,
2016 (1)
 
May 2,
2015
 
 
 
 
 
 
CURRENT ASSETS:
 
 
 
 
 
Cash and cash equivalents
$
153,415

 
$
161,185

 
$
134,632

Short-term investments
39,453

 
36,465

 
22,792

Receivables
8,853

 
9,651

 
6,627

Inventory
138,788

 
149,566

 
129,626

Prepaid expenses and other assets
16,977

 
6,030

 
27,552

Total current assets
357,486

 
362,897

 
321,229

 
 
 
 
 
 
PROPERTY AND EQUIPMENT
455,087

 
450,762

 
436,393

Less accumulated depreciation and amortization
(282,694
)
 
(277,981
)
 
(260,193
)
 
172,393

 
172,781

 
176,200

 


 


 
 
LONG-TERM INVESTMENTS
30,986

 
33,826

 
45,103

OTHER ASSETS
3,954

 
3,269

 
2,043

 
 
 
 
 
 
Total assets
$
564,819

 
$
572,773

 
$
544,575

 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS’ EQUITY
 

 
 

 
 
 
 
 
 
 
 
CURRENT LIABILITIES:
 

 
 

 
 
Accounts payable
$
32,139

 
$
33,862

 
$
38,778

Accrued employee compensation
9,857

 
33,126

 
12,037

Accrued store operating expenses
11,665

 
6,639

 
11,399

Gift certificates redeemable
18,590

 
22,858

 
19,402

Income taxes payable
13,231

 
11,141

 
19,265

Total current liabilities
85,482

 
107,626

 
100,881

 
 
 
 
 
 
DEFERRED COMPENSATION
13,770

 
12,849

 
13,541

DEFERRED RENT LIABILITY
40,066

 
39,655

 
39,940

OTHER LIABILITIES
—

 
—

 
10,192

Total liabilities
139,318

 
160,130

 
164,554

 
 
 
 
 
 
COMMITMENTS
 

 
 
 
 
 
 
 
 
 
 
STOCKHOLDERS’ EQUITY:
 

 
 

 
 

Common stock, authorized 100,000,000 shares of $.01 par value;
  issued and outstanding; 48,623,190 shares at April 30, 2016, 48,428,110
  shares at January 30, 2016, and 48,532,213 shares at May 2, 2015
486

 
484

 
485

Additional paid-in capital
136,743

 
134,864

 
133,446

Retained earnings
288,567

 
277,626

 
246,519

Accumulated other comprehensive loss
(295
)
 
(331
)
 
(429
)
Total stockholders’ equity
425,501

 
412,643

 
380,021

 
 
 
 
 
 
Total liabilities and stockholders' equity
$
564,819

 
$
572,773

 
$
544,575

 
 
 
 
 
 
(1) Derived from audited financial statements.