Buckle's Strong First Quarter Performance: Growth Across Key Metrics
As reported in its Q1 2026 conference call transcript, Buckle has kicked off the year with a robust set of results. The company's net income for the first quarter ended May 3, 2025, came in at $35.2 million or $0.70 per share on a diluted basis, up from $34.8 million or $0.69 per share in the prior year's corresponding period.
Net sales increased by 3.7% to $272.1 million compared to $262.5 million for the same period last year, while comparable store sales grew 3%. Online sales also saw a significant boost of 4.5%, reaching $46.4 million. This growth was driven in part by a 10.5% increase in merchandise sales from Buckle's women's business, which accounted for approximately 50% of total sales.
The company's gross margin expanded to 46.7%, a 70-basis-point improvement over the same period last year. This increase was largely attributed to a 60-basis-point rise in merchandise margins and a 10-basis-point gain from more efficient buying, distribution, and occupancy expenses. However, selling, general, and administrative (SG&A) expenses as a percentage of net sales ticked up to 30.7% due to various factors including higher incentive compensation accruals.
Operating margin came in at 16%, down slightly from 16.2% in the prior year's first quarter but still indicating a solid performance by Buckle. As for its balance sheet, Buckle held $132.4 million in inventory as of May 3, 2025, up 1.3% from the same period last year and maintained a healthy total cash and investments pool of $320 million.
In terms of capital expenditures, Buckle spent $11.4 million during the quarter on initiatives such as new store construction, remodels, technology upgrades, and corporate headquarters and distribution center improvements. The company also closed 2 stores and completed 5 full store remodels during this period, with plans to open 7 new stores by year-end.
"Our women's business continued its strong momentum from the back half of 2024 through the first quarter of 2025," noted Adam Akerson, Vice President of Finance. "The strong results continue to be headlined by the performance of our denim category."
