Ollie’s Outpaces Retail Peers with Record Store Growth and Upgraded Outlook
Third Quarter Delivers Double-Digit Sales and Profit Growth
Ollie’s Bargain Outlet Holdings, Inc. has announced a standout third quarter for fiscal 2025, marked by an 18.6% increase in net sales and a 29.3% boost in earnings per diluted share compared to the same period last year. Notably, the company opened a record 32 new stores in the quarter, accelerating its footprint and signaling significant momentum in a challenging retail landscape.
Membership Surges as Comparable Store Sales Return to Positive Territory
Ollie’s continued to strengthen customer loyalty with an 11.8% year-over-year increase in Ollie’s Army loyalty members, reaching 16.6 million. Comparable store sales climbed 3.3%, reversing last year’s slight decline. According to management, the growth was fueled by strong customer traffic and a wider price gap versus full-priced competitors.
Operating Performance and Margin Trends Reflect Discipline and Scale
Key operational metrics highlight efficiency improvements:
| Metric | Q3 2025 | Q3 2024 | Year-over-Year Change |
|---|---|---|---|
| Net Sales | $613.62M | $517.43M | +18.6% |
| Adjusted Net Income/Share | $0.75 | $0.58 | +29.3% |
| Comparable Store Sales | +3.3% | -0.5% | N/A |
| Adjusted EBITDA | $72.88M | $59.84M | +21.8% |
| Gross Margin | 41.3% | 41.4% | -0.1 pt |
| SG&A (% of sales) | 29.4% | 29.9% | -0.5 pt |
| Operating Income Margin | 9.0% | 8.6% | +0.4 pt |
| Stores Opened in Q3 | 32 | 24 | +8 |
| Cash & Investments | $432.16M | $303.91M | +42.2% |
Strong Cash Position Supports Growth Ambitions
Total cash and investments climbed to $432.2 million, providing Ollie’s with significant financial flexibility as it looks ahead to further expansion. The company exceeded its original target by opening 86 new stores in fiscal 2025 and is setting sights on another 75 openings in fiscal 2026—mostly in the year’s first half.
Full-Year Guidance Raised as Momentum Continues
Given the strength of third quarter results and a positive start to the holiday season, Ollie’s raised its sales and earnings outlook for the full year:
| Metric | Current FY25 Guidance | Previous FY25 Guidance |
|---|---|---|
| Store Openings | 86 | 85 |
| Net Sales | $2.648B–$2.655B | $2.631B–$2.644B |
| Comparable Sales Increase | 3.2%–3.5% | 3.0%–3.5% |
| Adjusted Net Income | $236M–$239M | $233M–$237M |
| Adj. Net Income/Share | $3.81–$3.87 | $3.76–$3.84 |
| Capital Expenditures | ~$88M | $83M–$88M |
| Effective Tax Rate | ~24% | ~25% |
Takeaway: Ollie’s Expands While Driving Profitability
Ollie’s isn’t just growing its store count—it’s leveraging scale to deliver bottom-line gains, build customer loyalty, and maintain margin discipline in the face of higher supply chain costs. With a healthy balance sheet and a clear commitment to further expansion, the company looks poised to continue outperforming peers, especially as value-seeking consumers fuel traffic during the holiday shopping season and beyond.
For investors and retail-watchers, Ollie’s next conference call could reveal how management plans to keep the growth engine running—and whether its value-driven model will maintain its edge in a competitive environment.
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