The Buckle, Inc. Reports Third Quarter Net Income

KEARNEY, Neb.--(BUSINESS WIRE)--

The Buckle, Inc. BKE announced today that net income for the fiscal quarter ended November 1, 2014 was $40.6 million, or $0.85 per share ($0.84 per share on a diluted basis).

Net sales for the 13-week fiscal quarter ended November 1, 2014 increased 1.9 percent to $292.2 million from net sales of $286.8 million for the prior year 13-week fiscal quarter ended November 2, 2013. Comparable store net sales for the 13-week period ended November 1, 2014 decreased 0.3 percent from comparable store net sales for the prior year 13-week period ended November 2, 2013. Online sales (which are not included in comparable store sales) increased 3.8 percent to $22.8 million for the 13-week period ended November 1, 2014, compared to net sales of $22.0 million for the 13-week period ended November 2, 2013.

Net sales for the 39-week fiscal period ended November 1, 2014 increased 1.3 percent to $799.6 million from net sales of $789.0 million for the prior year 39-week fiscal period ended November 2, 2013. Comparable store net sales for the 39-week period ended November 1, 2014 decreased 0.5 percent from comparable store net sales for the prior year 39-week period ended November 2, 2013. Online sales (which are not included in comparable store sales) increased 2.8 percent to $61.4 million for the 39-week period ended November 1, 2014, compared to net sales of $59.7 million for the 39-week period ended November 2, 2013.

Net income for the third quarter of fiscal 2014 was $40.6 million, or $0.85 per share ($0.84 per share on a diluted basis), compared with $40.6 million, or $0.85 per share ($0.85 per share on a diluted basis) for the third quarter of fiscal 2013.

Net income for the 39-week fiscal period ended November 1, 2014 was $102.4 million, or $2.14 per share ($2.13 per share on a diluted basis), compared with $103.3 million, or $2.17 per share ($2.15 per share on a diluted basis) for the 39-week period ended November 2, 2013.

Management will hold a conference call at 9:30 a.m. EST today to discuss results for the quarter. To participate in the call, please call (800) 230-1059 and reference the conference code 343649. A replay of the call will be available for a two-week period beginning today at 11:30 a.m. EST by calling (800) 475-6701 and entering the conference code 343649.

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 463 retail stores in 44 states. As of the end of the fiscal quarter, it operated 461 stores in 44 states compared with 452 stores in 43 states at the end of the third quarter of fiscal 2013.

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.

THE BUCKLE, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in Thousands Except Per Share Amounts)
(Unaudited)
			Thirteen Weeks Ended								Thirty-Nine Weeks Ended
			November 1,				November 2,				November 1,				November 2,
			2014				2013				2014				2013
SALES, Net of returns and allowances			$	292,201			$	286,761			$	799,601			$	789,002
COST OF SALES (Including buying, distribution, and occupancy costs)				164,409				160,536				459,684				451,283
Gross profit				127,792				126,225				339,917				337,719
OPERATING EXPENSES:
Selling				52,950				51,991				147,055				144,225
General and administrative				10,289				10,176				30,326				30,776
				63,239				62,167				177,381				175,001
INCOME FROM OPERATIONS				64,553				64,058				162,536				162,718
OTHER INCOME, Net				226				361				831				1,218
INCOME BEFORE INCOME TAXES				64,779				64,419				163,367				163,936
PROVISION FOR INCOME TAXES				24,163				23,835				60,936				60,656
NET INCOME			$	40,616			$	40,584			$	102,431			$	103,280
EARNINGS PER SHARE:
Basic			$	0.85			$	0.85			$	2.14			$	2.17
Diluted			$	0.84			$	0.85			$	2.13			$	2.15
Basic weighted average shares				47,891				47,707				47,890				47,703
Diluted weighted average shares				48,079				47,984				48,064				47,959

THE BUCKLE, INC.
CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands Except Share and Per Share Amounts)
(Unaudited)
			November 1,					February 1,					November 2,
ASSETS			2014					2014 (1)					2013
CURRENT ASSETS:
Cash and cash equivalents			$	182,267				$	164,868				$	130,841
Short-term investments				25,811					20,197					25,455
Receivables				13,052					4,318					7,866
Inventory				147,221					124,141					146,290
Prepaid expenses and other assets				31,667					28,613					29,017
Total current assets				400,018					342,137					339,469
PROPERTY AND EQUIPMENT				420,868					393,656					395,272
Less accumulated depreciation and amortization				(249,556	)				(235,087	)				(230,386	)
				171,312					158,569					164,886
LONG-TERM INVESTMENTS				44,310					43,436					39,307
OTHER ASSETS				2,013					2,151					2,121
			$	617,653				$	546,293				$	545,783
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable			$	53,501				$	37,147				$	49,079
Accrued employee compensation				24,484					36,933					25,781
Accrued store operating expenses				13,018					9,983					12,738
Gift certificates redeemable				15,943					23,131					15,152
Income taxes payable				7,978					16,187					10,623
Total current liabilities				114,924					123,381					113,373
DEFERRED COMPENSATION				14,248					12,797					12,626
DEFERRED RENT LIABILITY				40,212					37,564					37,488
OTHER LIABILITIES				9,618					10,621					10,432
Total liabilities				179,002					184,363					173,919
COMMITMENTS
STOCKHOLDERS' EQUITY:
Common stock, authorized 100,000,000 shares of $.01 par value; issued and outstanding; 48,374,622 shares at November 1, 2014, 48,336,392 shares at February 1, 2014, and 48,329,282 shares at November 2, 2013				484					483					483
Additional paid-in capital				130,266					124,134					125,158
Retained earnings				308,654					238,151					246,995
Accumulated other comprehensive loss				(753	)				(838	)				(772	)
Total stockholders' equity				438,651					361,930					371,864
			$	617,653				$	546,293				$	545,783
(1) Derived from audited financial statements.