Ollie’s Bargain Outlet Holdings Inc. (OLLI) shares surged 7.43% in the after-market on Thursday, May 27, 2021, and closed at $86.36 per share. earlier, OLLI’s stock lost 0.02% to close Thursday’s session at $80.39 per share. OLLI shares have fallen 8.44% over the last 12 months, and they have moved up 2.71% in the past week. Over the past three months, the stock has lost 2.77%, while over the past six months, it has declined 14.48%.
Let’s discuss its recent developments.
Financial results announcement
On May 27, 2021, Ollie’s Bargain Outlet Holdings, Inc released its reported financial results for the first quarter ended May 1, 2021.
Q1 2021 financial highlights
- Ollie’s Bargain reported net sales of $452.5 million in the first quarter of 2021 as compared with net sales of $349.4 million in the first quarter of fiscal 2020.
- Gross profit increased was $182.6 million in the first quarter of fiscal 2021 from $140.4 million in the first quarter of fiscal 2020.
- The gross margin was 40.4% in Q1 2021 compared to 40.2% in Q1 2020.
- Selling, general and administrative expenses were $104.4 million in Q1 2021 compared to $89.7 million in the first quarter of fiscal 2020.
- Income from operations was $71.2 million in the first quarter of fiscal 2021 compared to $43.0 million in Q1 2020.
- The company reported a net income of $55.2 million, or $0.84 per diluted share, in Q1 2021 compared with net income of $33.5 million, or $0.51 per diluted share, in the first quarter of fiscal 2020.
- Adjusted EBITDA was $79.2 million in Q1 2021 compared to $49.7 million in the first quarter of fiscal 2020.
- As of March 31, 2021, the company had a cash and cash equivalents balance of $472.2 million compared with $119.4 million as of March 31, 2020.
400th Store milestone
On May 12, 2021, Ollie’s Bargain Outlet, Inc. celebrated the grand opening of its 400th store in Springfield, VT. The new location marks the first Ollie’s in the state of Vermont, officially expanding the company’s footprint into 26 states.
The new store in Springfield will generate roughly 50-60 new jobs for the local community. Ollie’s employs more than 10,000 associates across the company.
New Executive Vice President & Chief Operating Officer
On May 03, 2021, Ollie’s Bargain Outlet Holdings, Inc appointed Eric van der Valk as Executive Vice President and Chief Operating Officer, effective May 3, 2021. Mr. van der Valkwill lead the Store Operations, Supply Chain, Real Estate, and Asset Protection teams and will be reporting to John Swygert, President and Chief Executive Officer of the company.
OLLI stock flipped on Thursday after the company announced its much improved financial results. OLLI stock can continue to surge on Friday to finish the week at a high price.