8-K
Boot Barn Holdings, Inc. (BOOT)
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): May 14, 2024
Boot Barn Holdings, Inc.
(Exact name of registrant as specified in its charter)
| | | |
|---|---|---|
| Delaware | 001-36711 | 90-0776290 |
| (State or other jurisdiction<br>of incorporation) | (Commission<br>File Number) | (I.R.S. Employer<br>Identification No.) |
| | |
|---|---|
| 15345 Barranca Parkway , Irvine , California | 92618 |
| (Address of principal executive offices) | (Zip Code) |
( 949 ) 453-4400
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
☐ Emerging growth company
☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to section 13(a) of the Exchange Act.
Securities registered pursuant to Section 12(b) of the Act:
| | | |
|---|---|---|
| Title of each class | Trading Symbol | Name of each exchange on which registered |
| Common Stock, $0.0001 par value | BOOT | New York Stock Exchange |
Item 2.02 Results of Operations and Financial Condition
On May 14, 2024, Boot Barn Holdings, Inc. issued a press release announcing certain financial results for its fiscal fourth quarter and fiscal year ended March 30, 2024. The press release is attached hereto as Exhibit 99.1.
The information provided in this Item 2.02, including Exhibit 99.1, is intended to be “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference into any other filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 7.01 Regulation FD Disclosure.
Boot Barn Holdings, Inc. (the “Company”) is furnishing this Current Report on Form 8-K in connection with the disclosure of information contained in a supplemental financial presentation (the “Presentation”) to be used by the Company at various meetings with institutional investors and analysts. This information may be amended or updated at any time and from time to time through another Current Report on Form 8-K or other means. A copy of the Presentation is furnished herewith as Exhibit 99.2 and is incorporated into this Item 7.01 by reference.
The information furnished in this Item 7.01, including Exhibits 99.1 and 99.2, is being furnished and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference into any registration statement filed pursuant to the Securities Act of 1933, as amended, except as may be expressly set forth by specific reference in such filing.
The Company expressly disclaims any obligation to update or revise any of the information contained in the Presentation.
The Presentation is available on the Company’s investor relations website located at investor.bootbarn.com, although the Company reserves the right to discontinue that availability at any time.
Item 9.01. Financial Statements and Exhibits.
| | |
|---|---|
| Exhibit 99.1 | Earnings press release dated May 14, 2024. |
| Exhibit 99.2 | Supplemental Financial Presentation dated May 14, 2024. |
| Exhibit 104 | The cover page of this Current Report on Form 8-K, formatted in Inline XBRL. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| | BOOT BARN HOLDINGS, INC. | |
|---|---|---|
| Date: May 14, 2024 | By: | /s/ James M. Watkins |
| | | Name: James M. Watkins |
| | | Title: Chief Financial Officer and Secretary |
Exhibit 99.1
Boot Barn Holdings, Inc. Announces Fourth Quarter and Fiscal Year 2024
Financial Results
IRVINE, California – May 14, 2024 – Boot Barn Holdings, Inc. (NYSE: BOOT) today announced its financial results for the fourth fiscal quarter and fiscal year ended March 30, 2024. A Supplemental Financial Presentation is available at investor.bootbarn.com.
For the quarter ended March 30, 2024 (13 weeks) compared to the quarter ended April 1, 2023 (14 weeks):
| ● | Net sales decreased 8.7% over the prior-year period to $388.5 million. Net sales decreased 2.2% when excluding $28.3 million of sales from the 14th week of the prior-year period. |
|---|---|
| ● | Same store sales decreased 5.9% compared to the prior-year period, cycling 55% same store sales growth on a 3-year stack basis. The 5.9% decrease in consolidated same store sales is comprised of a decrease in retail store same store sales of 5.7% and a decrease in e-commerce same store sales of 7.6%. |
| --- | --- |
| ● | Net income was $29.4 million, or $0.96 per diluted share, compared to $46.4 million, or $1.53 per diluted share in the prior-year period. Net income per diluted share in the fourth quarter includes a non-cash charge of $2.0 million, or $0.05 per diluted share, related to the partial impairment of the Sheplers’ trademark. |
| --- | --- |
| ● | The Company opened 18 new stores, bringing its total store count to 400. |
| --- | --- |
For the fiscal year ended March 30, 2024 (52 weeks) compared to the fiscal year ended April 1, 2023 (53 weeks):
| ● | Net sales increased 0.6% over the prior-year to $1.667 billion. Net sales increased 2.3% when excluding $28.3 million of sales from the 53rd week of the prior year. |
|---|---|
| ● | Same store sales decreased 6.2% compared to the prior year, cycling 57% same store sales growth on a 3-year stack basis. The 6.2% decrease in consolidated same store sales is comprised of a decrease in retail store same store sales of 5.6% and a decrease in e-commerce same store sales of 10.6%. |
| --- | --- |
| ● | Net income, inclusive of the non-cash partial impairment, was $147.0 million, or $4.80 per diluted share, compared to $170.6 million, or $5.62 per diluted share in the prior year. |
| --- | --- |
| ● | The Company opened 55 new stores, bringing its total store count to 400. |
| --- | --- |
Jim Conroy, president and chief executive officer, commented, “I am pleased with our fourth quarter performance and proud of the efforts of the entire Boot Barn team. We crossed the 400-store milestone prior to year-end and extended the Boot Barn brand to 45 states across the country. In the year, revenue showed modest growth despite experiencing a mid-single digit decline in consolidated same store sales and cycling a 53-week fiscal year. We also grew exclusive brand penetration by 370 basis points which contributed to merchandise margin expansion.
Encouragingly, our fourth quarter same store sales performance was meaningfully better than the third quarter and, based on the recent trends in the business, we believe we will continue to experience further improvement going forward. In fact, we have seen broad-based sequential improvement across virtually all major merchandise departments, both stores and ecommerce channels, and in all four regional geographies. This trajectory began as we progressed from our third quarter into the fourth quarter, then improved in April and again into May where we have seen positive same store sales in both channels on a month-to-date basis. While we expect the consumer to continue to be cautious for the foreseeable future, we feel well positioned to further execute on our long-term strategic initiatives.” 1
Operating Results for the Fourth Quarter Ended March 30, 2024 (13 weeks) Compared to the Fourth Quarter Ended April 1, 2023 (14 weeks)
| ● | Net sales decreased 8.7% to $388.5 million from $425.7 million in the prior-year period. Consolidated same store sales decreased 5.9% with retail store same store sales decreasing 5.7% and e-commerce same store sales decreasing 7.6%. The decrease in net sales was the result of the decrease in consolidated same store sales and the impact of a 13-week quarter when compared to a 14-week quarter in the prior-year period, partially offset by the incremental sales from new stores opened over the past twelve months. |
|---|---|
| ● | Gross profit was $139.4 million, or 35.9% of net sales, compared to $155.8 million, or 36.6% of net sales, in the prior-year period. Gross profit decreased primarily due to a decrease in sales, partially offset by merchandise margin expansion. The decrease in gross profit rate of 70 basis points was driven primarily by 230 basis points of deleverage in buying, occupancy and distribution center costs, partially offset by a 160 basis-point increase in merchandise margin rate. The deleverage in buying, occupancy and distribution center costs was driven primarily by the higher occupancy costs of new stores, the impact of a 13-week quarter when compared to a 14-week quarter in the prior-year period, and depreciation expense related to the opening of the new Kansas City distribution center. The increase in merchandise margin rate was driven by a 160 basis-point improvement in freight expense and supply chain efficiencies as a percentage of net sales. |
| --- | --- |
| ● | Selling, general and administrative expenses were $101.2 million, or 26.1% of net sales, compared to $93.1 million, or 21.9% of net sales, in the prior-year period. The increase in selling, general and administrative expenses as compared to the prior-year period was primarily a result of normalized incentive-based compensation when compared to the prior-period reversal of incentive-based compensation, higher marketing expenses, and a $2.0 million partial impairment of the Sheplers’ trademark, partially offset by the impact of the 14^th^ week in the prior-year period and lower store labor. Selling, general and administrative expenses as a percentage of net sales increased by 420 basis points primarily as a result of higher marketing expenses, normalized incentive-based compensation when compared to the prior-period reversal of incentive-based compensation, a $2.0 million partial impairment of the Sheplers’ trademark, higher store labor and the impact of a 13-week quarter when compared to a 14-week quarter in the prior year. |
| --- | --- |
| ● | Income from operations decreased $24.5 million to $38.2 million, or 9.8% of net sales, compared to $62.7 million, or 14.7% of net sales, in the prior-year period, primarily due to the factors noted above. |
| --- | --- |
| ● | Net income was $29.4 million, or $0.96 per diluted share, compared to net income of $46.4 million, or $1.53 per diluted share in the prior-year period. |
| --- | --- |
Operating Results for the Fiscal Year Ended March 30, 2024 (52 weeks) Compared to the Fiscal Year Ended April 1, 2023 (53 weeks)
| ● | Net sales increased 0.6% to $1.667 billion from $1.658 billion in the prior year. Consolidated same store sales decreased 6.2% with retail store same store sales decreasing 5.6% and e-commerce same store sales decreasing 10.6%. The increase in net sales was the result of the incremental sales from new stores opened over the past twelve months, partially offset by the decrease in consolidated same store sales and sales from the 53rd week of the prior year. |
|---|
| ● | Gross profit was $614.4 million, or 36.9% of net sales, compared to $610.6 million, or 36.8% of net sales, in the prior year. Gross profit increased primarily due to merchandise margin expansion and sales growth. As a percentage of net sales, gross profit rate was approximately flat driven primarily by a 160 basis-point increase in merchandise margin rate offset by 160 basis points of deleverage in buying, occupancy and distribution center costs. The increase in merchandise margin rate was driven primarily by a 120 basis-point improvement in freight expense as a percentage of net sales and 40 basis points of product margin expansion resulting primarily from growth in exclusive |
|---|
2
| brand penetration and buying economies of scale. The deleverage in buying, occupancy and distribution center costs was driven primarily by the higher occupancy costs of new stores, depreciation expense related to the opening of the new Kansas City distribution center and the impact of a 52-week year when compared to a 53-week year last year. |
|---|
| ● | Selling, general and administrative expenses were $416.2 million, or 25.0% of net sales, compared to $378.8 million, or 22.9% of net sales, in the prior year. Selling, general and administrative expenses increased primarily as a result of higher general and administrative expenses, store payroll associated with operating 55 new stores and other operating expenses in the current year. Selling, general and administrative expenses as a percentage of net sales increased by approximately 210 basis points primarily as a result of higher general and administrative expenses and store payroll costs. |
|---|
| ● | Income from operations decreased $33.6 million to $198.2 million, or 11.9% of net sales, compared to $231.8 million, or 14.0% of net sales, in the prior year, primarily due to the factors noted above. |
|---|
| ● | Net income was $147.0 million, or $4.80 per diluted share, compared to net income of $170.6 million, or $5.62 per diluted share in the prior year. |
|---|
Sales by Channel
The following table includes total net sales (decline)/growth, same store sales (“SSS”) (decline)/growth and e-commerce as a percentage of net sales for the periods indicated below.
| | | | | | | | | | | | | | | | | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | **** | Thirteen Weeks | **** | **** | | **** | | **** | | **** | **** | | **** | **** | Two Weeks | |
| | | Ended | | | Four Weeks | | Four Weeks | | Five Weeks | | | Four Weeks | **** | | Ended | **** |
| | | March 30, 2024 | | | Fiscal January | | Fiscal February | | Fiscal March | | | Fiscal April | **** | | May 11, 2024 | **** |
| | | | | | | | | | | | | | | | | |
| Total Net Sales (Decline)/Growth | (8.7) | % * | | (12.6) | % | 3.6 | % | (13.7) | % * | | 8.2 | % | | 10.5 | % | |
| | | | | | | | | | | | | | | | | |
| Retail Stores SSS | (5.7) | % | | (7.2) | % | (8.1) | % | (2.8) | % | | (1.5) | % | | 1.1 | % | |
| E-commerce SSS | (7.6) | % | | (11.3) | % | (5.9) | % | (6.0) | % | | 5.3 | % | | 3.1 | % | |
| Consolidated SSS | (5.9) | % | | (7.7) | % | (7.8) | % | (3.2) | % | | (0.8) | % | | 1.3 | % | |
| | | | | | | | | | | | | | | | | |
| E-commerce as a % of Net Sales | 10.5 | % | | 11.2 | % | 10.4 | % | 10.0 | % | | 10.1 | % | | 9.5 | % | |
| | | | | | | | | | | | | | | | | |
*Total net sales decline for the five weeks ended fiscal 2024 March compares to the six weeks ended fiscal 2023 March. Total net sales decline for the thirteen weeks ended March 30, 2024 compares to the fourteen weeks ended April 1, 2023. Fiscal 2024 was a 52-week year, compared to fiscal 2023 which was a 53-week year.
Balance Sheet Highlights as of March 30, 2024
| ● | Cash of $76 million. |
|---|---|
| ● | Zero drawn under our $250 million revolving credit facility. |
| --- | --- |
| ● | Average inventory per store increased approximately 1% on a same store basis compared to April 1, 2023. |
| --- | --- |
3
Fiscal Year 2025 Outlook
The Company is providing guidance for what it can reasonably estimate at this time. For the fiscal year ending March 29, 2025 the Company expects:
| ● | To open 60 new stores. |
|---|---|
| ● | Total sales of $1.766 billion to $1.800 billion, representing growth of 5.9% to 8.0% over the prior year. |
| --- | --- |
| ● | Same store sales decline of approximately (3.6)% to (1.6)%, with retail store same store sales declines of approximately (4.0)% to (2.0)% and e-commerce same store sales declines of (0.5)% to growth of 2.0%. |
| --- | --- |
| ● | Gross profit between $647.2 million and $664.1 million, or approximately 36.6% to 36.9% of sales. |
| --- | --- |
| ● | Selling, general and administrative expenses between $458.9 million and $463.4 million, or approximately 26.0% to 25.7% of sales. |
| --- | --- |
| ● | Income from operations between $188.3 million and $200.7 million, or approximately 10.7% to 11.2% of sales. |
| --- | --- |
| ● | Effective tax rate of 26.2%. |
| --- | --- |
| ● | Net income of $140.2 million to $149.3 million. |
| --- | --- |
| ● | Net income per diluted share of $4.55 to $4.85 based on 30.8 million weighted average diluted shares outstanding. |
| --- | --- |
| ● | Capital expenditures between $115.0 million and $120.0 million, which is net of estimated landlord tenant allowances of $30.2 million. |
| --- | --- |
For the fiscal first quarter ending June 29, 2024, the Company expects:
| ● | Total sales of $399 million to $407 million, representing growth of 4.0% to 6.1% over the prior-year period. |
|---|---|
| ● | Same store sales decline of approximately (4.5)% to (2.5)%, with retail store same store sales declines of (5.0)% to (3.0)% and e-commerce same store sales growth of flat to 2.0%. |
| --- | --- |
| ● | Income from operations between $38.7 million and $41.2 million, or approximately 9.7% to 10.1% of sales. |
| --- | --- |
| ● | Net income per diluted share of $0.94 to $1.00 based on 30.7 million weighted average diluted shares outstanding. |
| --- | --- |
Conference Call Information
A conference call to discuss the financial results for the fourth quarter and fiscal year 2024 is scheduled for today, May 14, 2024, at 4:30 p.m. ET (1:30 p.m. PT). Investors and analysts interested in participating in the call are invited to dial (800) 717-1738. The conference call will also be available to interested parties through a live webcast at investor.bootbarn.com. Please visit the website and select the “Events and Presentations” link at least 15 minutes prior to the start of the call to register and download any necessary software. A Supplemental Financial Presentation is also available on the investor relations section of the Company’s website. A telephone replay of the call will be available until June 14, 2024, by dialing (844) 512-2921 (domestic) or (412) 317-6671 (international) and entering the conference identification number: 1145625. Please note participants must enter the conference identification number in order to access the replay.
About Boot Barn
Boot Barn is the nation’s leading lifestyle retailer of western and work-related footwear, apparel and accessories for men, women and children. The Company offers its loyal customer base a wide selection of work and lifestyle brands. As of the date of this release, Boot Barn operates 403 stores in 45 states, in addition to an e-commerce channel www.bootbarn.com. The Company also operates www.sheplers.com, the nation’s leading pure play online western and work retailer and www.countryoutfitter.com, an e-commerce site selling to customers who live a country lifestyle. For more information, call 888-Boot-Barn or visit www.bootbarn.com. 4
Forward Looking Statements
This press release contains forward-looking statements that are subject to risks and uncertainties. All statements other than statements of historical fact included in this press release are forward-looking statements. Forward-looking statements refer to our current expectations and projections relating to, by way of example and without limitation, our financial condition, liquidity, profitability, results of operations, margins, plans, objectives, strategies, future performance, business and industry. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate”, “estimate”, “expect”, “project”, “plan“, “intend”, “believe”, “may”, “might”, “will”, “could”, “should”, “can have”, “likely”, “outlook” and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events, but not all forward-looking statements contain these identifying words. These forward-looking statements are based on assumptions that the Company’s management has made in light of their industry experience and on their perceptions of historical trends, current conditions, expected future developments and other factors they believe are appropriate under the circumstances. As you consider this press release, you should understand that these statements are not guarantees of performance or results. They involve risks, uncertainties (some of which are beyond the Company’s control) and assumptions. These risks, uncertainties and assumptions include, but are not limited to, the following: decreases in consumer spending due to declines in consumer confidence, local economic conditions or changes in consumer preferences; the Company’s ability to effectively execute on its growth strategy; and the Company’s failure to maintain and enhance its strong brand image, to compete effectively, to maintain good relationships with its key suppliers, and to improve and expand its exclusive product offerings. The Company discusses the foregoing risks and other risks in greater detail under the heading “Risk factors” in the periodic reports filed by the Company with the Securities and Exchange Commission. Although the Company believes that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect the Company’s actual financial results and cause them to differ materially from those anticipated in the forward-looking statements. Because of these factors, the Company cautions that you should not place undue reliance on any of these forward-looking statements. New risks and uncertainties arise from time to time, and it is impossible for the Company to predict those events or how they may affect the Company. Further, any forward-looking statement speaks only as of the date on which it is made. Except as required by law, the Company does not intend to update or revise the forward-looking statements in this press release after the date of this press release.
Investor Contact: ICR, Inc.
Brendon Frey, 203-682-8216
BootBarnIR@icrinc.com
or
Company Contact: Boot Barn Holdings, Inc.
Mark Dedovesh, 949-453-4489
Senior Vice President, Investor Relations & Financial Planning
BootBarnIRMedia@bootbarn.com
5
Boot Barn Holdings, Inc.
Consolidated Balance Sheets
(In thousands, except per share data)
(Unaudited)
| | | | | | | |
|---|---|---|---|---|---|---|
| | **** | March 30, | **** | April 1, | ||
| | | 2024 | **** | 2023 | ||
| Assets | | | ||||
| Current assets: | | | ||||
| Cash and cash equivalents | | $ | 75,847 | | $ | 18,193 |
| Accounts receivable, net | | 9,964 | | 13,145 | ||
| Inventories | | 599,120 | | 589,494 | ||
| Prepaid expenses and other current assets | | 44,718 | | 48,341 | ||
| Total current assets | | 729,649 | | 669,173 | ||
| Property and equipment, net | | 323,667 | | 257,143 | ||
| Right-of-use assets, net | | 390,501 | | | 326,623 | |
| Goodwill | | 197,502 | | 197,502 | ||
| Intangible assets, net | | 58,697 | | 60,751 | ||
| Other assets | | 5,576 | | 6,189 | ||
| Total assets | | $ | 1,705,592 | | $ | 1,517,381 |
| Liabilities and stockholders’ equity | | | | | | |
| Current liabilities: | | | | | | |
| Line of credit | | $ | — | | $ | 66,043 |
| Accounts payable | | 132,877 | | | 134,246 | |
| Accrued expenses and other current liabilities | | 116,477 | | 122,958 | ||
| Short-term lease liabilities | | 63,454 | | | 51,595 | |
| Total current liabilities | | 312,808 | | 374,842 | ||
| Deferred taxes | | 42,033 | | 33,260 | ||
| Long-term lease liabilities | | 403,303 | | | 330,081 | |
| Other liabilities | | 3,805 | | 2,748 | ||
| Total liabilities | | 761,949 | | | 740,931 | |
| | | | | | | |
| Stockholders’ equity: | | | | | | |
| Common stock, $0.0001 par value; March 30, 2024 - 100,000 shares authorized, 30,572 shares issued; April 1, 2023 - 100,000 shares authorized, 30,072 shares issued | | 3 | | 3 | ||
| Preferred stock, $0.0001 par value; 10,000 shares authorized, no shares issued or outstanding | | — | | — | ||
| Additional paid-in capital | | 232,636 | | 209,964 | ||
| Retained earnings | | 723,026 | | 576,030 | ||
| Less: Common stock held in treasury, at cost, 228 and 192 shares at March 30, 2024 and April 1, 2023, respectively | | (12,022) | | | (9,547) | |
| Total stockholders’ equity | | 943,643 | | 776,450 | ||
| Total liabilities and stockholders’ equity | | $ | 1,705,592 | | $ | 1,517,381 |
6
Boot Barn Holdings, Inc.
Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
| | | | | | | | | | | | | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | **** | Thirteen Weeks Ended | | Fourteen Weeks Ended | **** | Fifty-Two Weeks Ended | | Fifty-Three Weeks Ended | ||||
| | **** | March 30, | | April 1, | | March 30, | | April 1, | ||||
| | | 2024 | **** | 2023 | **** | 2024 | **** | 2023 | ||||
| Net sales | | $ | 388,459 | | $ | 425,661 | | $ | 1,667,009 | | $ | 1,657,615 |
| Cost of goods sold | | 249,021 | | 269,829 | | 1,052,585 | | 1,047,043 | ||||
| Gross profit | | 139,438 | | 155,832 | | 614,424 | | 610,572 | ||||
| Selling, general and administrative expenses | | 101,194 | | 93,116 | | 416,210 | | 378,785 | ||||
| Income from operations | | 38,244 | | 62,716 | | 198,214 | | 231,787 | ||||
| Interest expense | | 230 | | 1,535 | | 2,238 | | 5,880 | ||||
| Other income/(loss), net | | 871 | | 181 | | 1,396 | | (29) | ||||
| Income before income taxes | | 38,885 | | 61,362 | | 197,372 | | 225,878 | ||||
| Income tax expense | | 9,446 | | 14,953 | | 50,376 | | 55,325 | ||||
| Net income | | $ | 29,439 | | $ | 46,409 | | $ | 146,996 | | $ | 170,553 |
| | | | | | | | | | | | | |
| Earnings per share: | | | | | | | | | ||||
| Basic | | $ | 0.97 | | $ | 1.55 | | $ | 4.87 | | $ | 5.72 |
| Diluted | | $ | 0.96 | | $ | 1.53 | | $ | 4.80 | | $ | 5.62 |
| Weighted average shares outstanding: | | | | | | | | | ||||
| Basic | | 30,317 | | 29,847 | | 30,167 | | 29,805 | ||||
| Diluted | | 30,717 | | 30,422 | | 30,611 | | 30,370 |
7
Boot Barn Holdings, Inc.
Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
| | | | | | | | | | |
|---|---|---|---|---|---|---|---|---|---|
| | **** | Fiscal Year Ended | |||||||
| | | March 30, | | April 1, | **** | March 26, | |||
| | | 2024 | | 2023 | **** | 2022 | |||
| Cash flows from operating activities | | | | | |||||
| Net income | | $ | 146,996 | | $ | 170,553 | | $ | 192,450 |
| Adjustments to reconcile net income to net cash provided by operating activities: | | | | | | | |||
| Depreciation | | 49,531 | | 35,883 | | 27,280 | |||
| Stock-based compensation | | 12,935 | | 9,711 | | 9,475 | |||
| Amortization of intangible assets | | 54 | | 62 | | 72 | |||
| Impairment of intangible assets | | | 2,000 | | | — | | | — |
| Noncash lease expense | | 55,148 | | 47,869 | | 39,286 | |||
| Amortization and write-off of debt issuance fees and debt discount | | 108 | | 130 | | 1,878 | |||
| Loss on disposal of assets | | 660 | | 334 | | 175 | |||
| Gain on adjustment of right-of-use assets and lease liabilities | | | — | | | — | | | (259) |
| Deferred taxes | | 8,773 | | 6,365 | | 4,902 | |||
| Changes in operating assets and liabilities: | | | | | | | |||
| Accounts receivable, net | | 3,282 | | (2,716) | | 5,222 | |||
| Inventories | | (9,626) | | (115,194) | | (198,540) | |||
| Prepaid expenses and other current assets | | 3,515 | | (11,276) | | (24,577) | |||
| Other assets | | 613 | | (2,874) | | (236) | |||
| Accounts payable | | 425 | | (2,636) | | 25,502 | |||
| Accrued expenses and other current liabilities | | (6,208) | | (18,541) | | 45,229 | |||
| Other liabilities | | 1,057 | | 516 | | (1,192) | |||
| Operating leases | | (33,183) | | (29,299) | | (37,803) | |||
| Net cash provided by operating activities | | $ | 236,080 | | $ | 88,887 | | $ | 88,864 |
| Cash flows from investing activities | | | | | | | |||
| Purchases of property and equipment | | $ | (118,782) | | $ | (124,534) | | $ | (60,443) |
| Net cash used in investing activities | | $ | (118,782) | | $ | (124,534) | | $ | (60,443) |
| Cash flows from financing activities | | | | | | | |||
| (Payments)/Borrowings on line of credit, net | | $ | (66,043) | | $ | 37,494 | | $ | 28,549 |
| Repayments on debt and finance lease obligations | | (863) | | (838) | | (112,304) | |||
| Tax withholding payments for net share settlement | | (2,475) | | (4,689) | | (2,904) | |||
| Proceeds from the exercise of stock options | | 9,737 | | 1,199 | | 5,764 | |||
| Net cash (used in)/provided by financing activities | | $ | (59,644) | | $ | 33,166 | | $ | (80,895) |
| | | | | | | | | | |
| Net increase/(decrease) in cash and cash equivalents | | 57,654 | | (2,481) | | (52,474) | |||
| Cash and cash equivalents, beginning of period | | 18,193 | | 20,674 | | 73,148 | |||
| Cash and cash equivalents, end of period | | $ | 75,847 | | $ | 18,193 | | $ | 20,674 |
| | | | | | | | | | |
| Supplemental disclosures of cash flow information: | | | | | | | |||
| Cash paid for income taxes | | $ | 57,157 | | $ | 60,171 | | $ | 41,684 |
| Cash paid for interest | | $ | 2,385 | | $ | 5,835 | | $ | 3,808 |
| Supplemental disclosure of non-cash activities: | | | | | | | |||
| Unpaid purchases of property and equipment | | $ | 17,269 | | $ | 21,487 | | $ | 14,963 |
8
Boot Barn Holdings, Inc.
Store Count
| | | | | | | | | | | | | | | | | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended | **** | Quarter Ended |
| | | March 30, | | December 30, | | September 30, | | July 1, | | April 1, | | December 24, | | September 24, | | June 25, |
| | | 2024 | | 2023 | | 2023 | | 2023 | | 2023 | | 2022 | | 2022 | | 2022 |
| Store Count (BOP) | 382 | | 371 | | 361 | | 345 | | 333 | | 321 | | 311 | | 300 | |
| Opened/Acquired | 18 | | 11 | | 10 | | 16 | | 12 | | 12 | | 10 | | 11 | |
| Closed | — | | — | | — | | — | | — | | — | | — | | — | |
| Store Count (EOP) | 400 | | 382 | | 371 | | 361 | | 345 | | 333 | | 321 | | 311 |
Boot Barn Holdings, Inc.
Selected Store Data
| | | | | | | | | | | | | | | | | | | | | | | | | | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | | | | | | | | | **** | | | | | | | | | | | | | | | ||
| | | Thirteen Weeks Ended | | Fourteen Weeks Ended | | Thirteen Weeks Ended | |||||||||||||||||||
| | | March 30, | | December 30, | | September 30, | | July 1, | | April 1, | | December 24, | | September 24, | | June 25, | | ||||||||
| | **** | 2024 | **** | 2023 | **** | 2023 | **** | 2023 | **** | 2023 | **** | 2022 | **** | 2022 | **** | 2022 | **** | ||||||||
| Selected Store Data: | | | | | | | | | | | | | | | | | | ||||||||
| Same Store Sales (decline)/growth | | (5.9) | % | | (9.7) | % | | (4.8) | % | | (2.9) | % | | (5.5) | % | | (3.6) | % | | 2.3 | % | | 10.0 | % | |
| Stores operating at end of period | | 400 | | 382 | | 371 | | 361 | | 345 | | 333 | | 321 | | 311 | |||||||||
| Comparable stores operating at end of period^(1)^ | | | 335 | | | 322 | | | 312 | | | 302 | | | 290 | | | 280 | | | 275 | | | 272 | |
| Total retail store selling square footage, end of period (in thousands) | | 4,371 | | 4,153 | | 4,027 | | 3,914 | | 3,735 | | 3,598 | | 3,451 | | 3,333 | |||||||||
| Average retail store selling square footage, end of period | | 10,929 | | 10,872 | | 10,855 | | 10,841 | | 10,825 | | 10,806 | | 10,751 | | 10,717 | |||||||||
| Average sales per comparable store (in thousands)^(2)^ | | $ | 917 | | $ | 1,256 | | $ | 950 | | $ | 1,014 | | $ | 1,092 | | $ | 1,424 | | $ | 1,001 | | $ | 1,060 | |
| (1) | Comparable stores have been open at least 13 full fiscal months as of the end of the applicable reporting period, although we include or exclude stores in accordance with the additional criteria disclosed in our annual Form 10-K. |
|---|---|
| (2) | Average sales per comparable store is calculated by dividing comparable store trailing three-month sales for the applicable period by the number of comparable stores operating at the end of the period. |
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9
Exhibit 99.2
| 0<br>Supplemental Financial Presentation<br>May 2024<br>Offering everyone a piece of the American spirit—one handshake at a time. |
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| 1<br>Important Information<br>Forward-Looking Statements<br>This presentation contains forward-looking statements that are subject to risks and uncertainties. All statements other than statements of historical fact included in this presentation are forward-looking statements. You can identify forward-looking statements by the fact that they generally include words such as "anticipate," "estimate," "expect," "project," "plan,“ "intend," "believe,"<br>“outlook” and other words of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events but not all forward-looking<br>statements contain these identifying words. These forward-looking statements are based on assumptions that the Company’s management has made in light of their industry experience and on<br>their perceptions of historical trends, current conditions, expected future developments and other factors they believe are appropriate under the circumstances. As you consider this presentation,<br>you should understand that these statements are not guarantees of performance or results. They involve risks, uncertainties (some of which are beyond the Company’s control) and assumptions.<br>These risks, uncertainties and assumptions include, but are not limited to, the following: decreases in consumer spending due to declines in consumer confidence, local economic conditions or<br>changes in consumer preferences; the Company’s ability to effectively execute on its growth strategy; the Company’s failure to maintain and enhance its strong brand image, to compete<br>effectively, to maintain good relationships with its key suppliers, and to improve and expand its exclusive product offerings. The Company discusses the foregoing risks and other risks in greater<br>detail under the heading “Risk factors” in the periodic reports filed by the Company with the Securities and Exchange Commission. Although the Company believes that these forward-looking<br>statements are based on reasonable assumptions, you should be aware that many factors could affect the Company’s actual financial results and cause them to differ materially from those<br>anticipated in the forward-looking statements. Because of these factors, the Company cautions that you should not place undue reliance on any of these forward-looking statements. New risks<br>and uncertainties arise from time to time, and it is impossible for the Company to predict those events or how they may affect the Company. Further, any forward-looking statement speaks only<br>as of the date on which it is made. Except as required by law, the Company does not intend to update or revise the forward-looking statements in this presentation after the date of this<br>presentation.<br>Industry and Market Information<br>Statements in this presentation concerning our industry and the markets in which we operate, including our general expectations and competitive position, business opportunity and market size,<br>growth and share, are based on information from independent industry organizations and other third-party sources, data from our internal research and management estimates. Management<br>estimates are derived from publicly available information and the information and data referred to above and are based on assumptions and calculations made by us based upon our<br>interpretation of such information and data. The information and data referred to above are imprecise and may prove to be inaccurate because the information cannot always be verified with<br>complete certainty due to the limitations on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties. As a result,<br>please be aware that the data and statistical information in this presentation may differ from information provided by our competitors or from information found in current or future studies<br>conducted by market research institutes, consultancy firms or independent sources.<br>Recent Developments<br>Our business and opportunities for growth depend on consumer discretionary spending, and as such, our results are particularly sensitive to economic conditions and consumer confidence.<br>Inflation and other challenges affecting the global economy could impact our operations and will depend on future developments, which are uncertain. These and other effects make it more<br>challenging for us to estimate the future performance of our business, particularly over the near-to-medium term. For further discussion of the uncertainties and business risks affecting the<br>Company, see the sections captioned “Risk factors” in our periodic reports filed with the Securities and Exchange Commission. |
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| 2<br>Full Year Fiscal 2024 Highlights<br>Results Fiscal 2024<br>Total Sales $ $1.67 Billion<br>Total Sales Growth %<br>+0.6%<br>+2.3% excluding<br>the 53rd week in Fiscal 2023<br>Consolidated Same Store Sales Growth %<br>(6.2)%<br>Stores (5.6)%<br>E-comm (10.6)%<br>Active B Rewarded Customers Purchasing 8.4M<br>+18%<br>New Store Openings<br>400 stores in 45 states<br>55<br>+16%<br>Exclusive Brands Penetration % 37.7%<br>+370bps<br>EBIT % 11.9%<br>GAAP EPS $ $4.80<br>1Fiscal 2023 was a 53-week year. Management estimates the 53rd week contributed $28.3M of sales.<br>2As of March 30, 2024, our loyalty program included approximately 8.4 million members who have purchased merchandise from us in the last three fiscal years.<br>3Fiscal 2024 includes a $2.0M charge related to the partial impairment of the Sheplers’ trademark, worth approximately $0.05 of earnings per diluted share. Excluding the impairment charge, EBIT % would have been 12.0%.<br>1<br>2<br>3<br>3 |
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| 3<br>Q4 Fiscal 2024 Results<br>$193 $189<br>$259<br>$383<br>$426<br>$388<br>Q4 '19 Q4 '20 Q4 '21 Q4 '22 Q4 '23 Q4 '24<br>Q4 Total Sales ($M)<br>8.7%<br>-4.7%<br>26.9%<br>33.3%<br>-5.5% -5.9%<br>Q4 '19 Q4 '20 Q4 '21 Q4 '22 Q4 '23 Q4 '24<br>Q4 Consolidated SSS%<br>+150bps (10)bps<br>+300bps<br>+120bps<br>(120)bps<br>+160bps<br>Q4 '19 Q4 '20 Q4 '21 Q4 '22 Q4 '23 Q4 '24<br>Q4 Merchandise Margin %<br>$0.30 $0.20<br>$0.82<br>$1.47 $1.53<br>$0.96<br>Q4 '19 Q4 '20 Q4 '21 Q4 '22 Q4 '23 Q4 '24<br>Q4 EPS<br>1<br>1 2<br>1Q4 Fiscal 2023 was a 14-week quarter as a result of the 53rd week in Fiscal 2023. Management estimates the 14th week of Q4 Fiscal 2023 contributed $28.3M in sales and approximately $0.16 of earnings per diluted share.<br>2Q4 Fiscal 2024 includes a $2.0M charge related to the partial impairment of the Sheplers’ trademark, worth approximately $0.05 of earnings per diluted share.<br>14 weeks<br>14 weeks<br>onset of COVID<br>onset of COVID<br>onset of COVID<br>onset of COVID |
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| 4<br>Full Year Fiscal 2024 Results<br>10.0% 5.0% 3.1%<br>53.7%<br>-0.1%<br>-6.2%<br>FY19 FY20 FY21 FY22 FY23 FY24<br>Full Year Consolidated SSS%<br>+110bps<br>+90bps<br>+90bps<br>+270bps<br>(70)bps<br>+160bps<br>FY19 FY20 FY21 FY22 FY23 FY24<br>Full Year Merchandise Margin %<br>$1.35 $1.64 $2.01<br>$6.33<br>$5.62<br>$4.80<br>FY19 FY20 FY21 FY22 FY23 FY24<br>Full Year EPS<br>$777 $846 $893<br>$1,488<br>$1,658 $1,667<br>FY19 FY20 FY21 FY22 FY23 FY24<br>Full Year Sales ($M)<br>16.5% five-year CAGR<br>+650bps over six years 28.9% five-year CAGR<br>1Fiscal 2023 was a 53rd week year. Management estimates the 53rd week contributed $28.3M in sales and approximately $0.16 of earnings per diluted share.<br>2Fiscal 2024 includes a $2.0M charge related to the partial impairment of the Sheplers’ trademark, worth approximately $0.05 of earnings per diluted share.<br>1<br>1 2<br>53 weeks<br>53 weeks<br>65.5% six-year stack |
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| 5<br>Strategic Initiatives Update<br>1<br>2<br>3<br>4<br>Expand Our Store Base<br>Drive Same Store Sales Growth<br>Continue Omni-Channel Leadership<br>Build Out Exclusive Brand Portfolio |
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| 6<br>15% New Unit Growth<br>86<br>117<br>152<br>169<br>208 219 226<br>240<br>259<br>273<br>300<br>345<br>400<br>460<br>FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 E<br>Annual Store Count<br>1<br>1Represents management’s guidance to open 60 new stores in Fiscal 2025 provided on the Company’s fourth quarter earnings call on May 14, 2024.<br>1 |
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| 7<br>1 Profitable New Units & Expanding Our National Footprint<br>• 400 stores<br>• 45 states<br>• 86 stores<br>• 8 states<br>2012<br>Today<br>New Store Economics<br>SqFt<br>$1.7M<br>$3.0M<br>1st Year Sales<br>$700K<br>Investment Return on Investment<br>FY25 E<br>3yr<br>Payback<br>~1.5yr<br>Payback<br>IPO Model<br>$1.5M 32%<br>12K ~60%<br>10K |
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| 8<br>400<br>460<br>900<br>FY24 FY25 E FY26 FY27 FY28 FY29 FY30<br>1<br>Illustrative example of 15% new unit growth annually.<br>2Represents management’s guidance to open 60 new stores in Fiscal 2025 provided on the Company’s fourth quarter earnings call on May 14, 2024.<br>New Store Opportunity1<br>Looking Forward: 15% New Unit Growth<br>• 500 additional stores opportunity<br>• Expected to contribute ~$1.5 billion in sales<br>• Payback in ~18 months (ROIC ~60%)<br>• All stores positive 4-wall EBITDA<br>1<br>2 |
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| 9<br>11.9%<br>6.7% 7.3%<br>-0.1%<br>0.3%<br>5.2%<br>10.0%<br>5.0% 3.1%<br>53.7%<br>-0.1%<br>-6.2%<br>-1.6%<br>FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 E<br>Consolidated SSS%<br>2 Over A Decade of Strong Same Store Sales<br>FY13 – FY19<br>+41% seven-year stack, +6% SSS avg<br>FY20 – FY25 E<br>+54% six-year stack, +9% SSS avg<br>1<br>1Reflects the high end of the Company’s guidance range provided on its May 14, 2024 earnings call. |
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| 10<br>2<br>$4.6<br>$4.1<br>FY23 FY24<br>Average Sales per Comparable Store ($M)<br>Fiscal 2023 45 new stores at<br>~$3.1M average sales per store<br>Average sales decline<br>of the 290 comparable<br>stores in FY24<br>Average Comparable Store Sales<br>1 1<br>1Average sales per comparable store is calculated by dividing comparable store trailing twelve month sales for the applicable period by the number of comparable stores operating at the end of the period.<br>2Comparable stores have been open at least 13 full fiscal months as of the end of the current reporting period, although we include or exclude stores in accordance with the additional criteria disclosed in our annual form 10-K.<br>290 Comparable Stores2 335 Comparable Stores2<br>• Average sales per comparable store have remained elevated compared to historical levels (pre-pandemic).<br>• Negative retail store SSS% has put pressure on year-over-year comparable store sales in combination with adding new<br>stores with lower average sales than a mature store. |
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| 11<br>Western Country Fashion<br>Mens Womens<br>Customer Segmentation<br>Work<br>2 |
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| 12<br>2 Tailored Marketing - Western |
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| 13<br>2 Tailored Marketing - Work |
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| 14<br>2 Tailored Marketing - Country |
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| 15<br>2 Tailored Marketing - Fashion<br>Kentucky Derby Marketing |
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| 16<br>-1.5%<br>1.1%<br>Apr May 1<br>2 Store SSS% by Month<br>FY24<br>-5.0% -2.6%<br>1.5% 1.1%<br>-3.7%<br>-7.3% -8.8% -11.5% -8.5% -7.2% -8.1%<br>-2.8%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>FY25<br>FY23<br>8.1%<br>14.8%<br>8.1%<br>1.6% 4.4% 5.1%<br>1.5% 1.9%<br>-3.2%<br>0.6%<br>-1.9%<br>-6.2%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>Stores are<br>~90% of<br>FY24 Q4 Sales<br>1Represents preliminary retail store same store sales for April Fiscal 2025 and two weeks of May Fiscal 2025.<br>FY22<br>323.1%<br>98.2%<br>54.0% 74.8% 72.9% 55.5% 50.4% 56.7% 57.8% 38.2% 47.8% 17.3%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>1 |
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| 17<br>3 Omni-Channel Capabilities<br>Drive Store Traffic<br>• Bring Long Tail to Stores<br>• Ship to Store / BOPIS<br>• Return in Store<br>Deliver Digital Experience in<br>Stores<br>• Mobile App<br>• Range Finder (AI enabled)<br>• WHIP (endless aisle)<br>Fulfill Online Demand<br>Efficiently<br>• DC Fulfillment<br>• Store Fulfillment<br>• Same Day Delivery<br>Drive Online Profitability<br>• Boot Barn retail price<br>consistent across channels<br>• Infrequent promotions<br>• Profitable ROAS standard<br>• Maximize clearance margin |
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| 18<br>3 Differentiated Online Presence<br>• Branded site<br>• Same price as stores<br>• Sales performing better than other sites<br>• Most profitable online site<br>• ~75% of Q4 fiscal 2024 online sales<br>• Price sensitive customer<br>• Same assortment as Bootbarn.com<br>• ~13% of Q4 fiscal 2024 online sales • Mostly ladies’ product<br>• More fashionable customer<br>• ~5% of Q4 fiscal 2024 online sales<br>• Least profitable online site<br>• ~7% of Q4 fiscal 2024 online sales |
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| 19<br>3 Ecommerce SSS% by Month<br>5.3% 3.1%<br>Apr May<br>FY24<br>-19.1%<br>-9.0% -3.5%<br>-11.9% -13.0% -10.6%<br>-16.8% -15.1%<br>-8.4% -11.3% -5.9% -6.0%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>FY25<br>FY23<br>13.1% 8.5% 6.4%<br>-3.0% -1.3%<br>-13.5% -18.5%<br>-25.4%<br>-10.1%<br>-16.3% -18.7% -19.4%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>Ecommerce is<br>~10% of<br>FY24 Q4 Sales<br>1Represents preliminary retail store same store sales for April Fiscal 2025 and two weeks of May Fiscal 2025.<br>1<br>FY22<br>26.1%<br>-4.4%<br>10.2%<br>32.1% 40.3% 49.3% 55.5% 59.4%<br>42.4%<br>63.1% 57.2%<br>35.4%<br>Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar<br>1 |
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| 20<br>WESTERN COUNTRY ARTIST INSPIRED<br>WORK RANCH & RODEO<br>4 Exclusive Brands Portfolio<br>PREMIUM<br>VALUE |
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| 21<br>3.0% 5.0% 7.0%<br>9.7% 11.1% 10.7%<br>13.5%<br>16.2%<br>22.0% 23.7%<br>28.3%<br>34.0%<br>37.7% 38.8%<br>FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 E<br>Full Year Exclusive Brands Penetration %<br>Margin enhancement ~1,000 bps vs. 3rd party brands<br>$5 $12 $24 $39 $63 $67 $92 $126<br>$186 $212<br>$421<br>$564<br>$628<br>$698<br>FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 E<br>Full Year Exclusive Brands Sales ($M)<br>4<br>1FY25 estimated 38.8% consolidated exclusive brand penetration reflects 110 basis points of growth over fiscal 2024 as provided in the Company’s guidance outlined on their May 14, 2024 earnings call.<br>1<br>1<br>Exclusive Brands Penetration Growth |
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| 22<br>Exclusive Brands Growth & Margin Expansion<br>Estimated 760bps<br>total margin expansion<br>Exclusive Brands Penetration Growth Over Seven Years<br>13.5%<br>37.7% 38.8%<br>FY18 FY24 FY25 E<br>EB is Only 1/3 of Margin Appreciation<br>EB<br>Expansion<br>250bps<br>Improved<br>full-price selling &<br>buying economies<br>of scale<br>510bps<br>+110bps<br>+90bps<br>+90bps<br>+270bps<br>(70)bps<br>+160bps<br>+110bps<br>FY19 FY20 FY21 FY22 FY23 FY24 FY25 E<br>Merchandise Margin Growth Over Seven Years<br>1<br>2<br>4<br>1FY25 estimated 38.8% consolidated exclusive brand penetration reflects 110 basis points of growth over fiscal 2024<br>as provided in the Company’s guidance outlined on their May 14, 2024 earnings call.<br>2FY25 estimated 110 basis points of merchandise margin as provided in the Company’s guidance outlined on their<br>May 14, 2024 earnings call. |
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| 23<br>FY25 Guidance |
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| 24<br>Full Year Fiscal 2025 Financial Guidance<br>Full Year FY25 Financial Guidance Low End<br>($M)<br>High End<br>($M)<br>High End Guidance<br>Comments<br>Total Net Sales<br>Consolidated SSS%<br>Store SSS%<br>E-commerce SSS%<br>Total Net Sales Growth %<br>New Store Openings<br>$1,766<br>(3.6)%<br>(4.0)%<br>(0.5)%<br>5.9%<br>60<br>$1,800<br>(1.6)%<br>(2.0)%<br>2.0%<br>8.0%<br>60<br>15% new unit growth<br>~25 first half, ~35 second half<br>Gross Profit<br>%<br>$647.2<br>36.6%<br>$664.1<br>36.9%<br>+110bps merchandise margin<br>+110bps exclusive brands penetration<br>(110)bps buying & occupancy deleverage<br>SG&A<br>%<br>$458.9<br>26.0%<br>$463.4<br>25.7%<br>Income from Operations<br>%<br>$188.3<br>10.7%<br>$200.7<br>11.2%<br>GAAP Earnings per Diluted Share $4.55 $4.85 |
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| 25<br>Q1 Fiscal 2025 Financial Guidance<br>Q1 FY25 Financial Guidance Low End<br>($M)<br>High End<br>($M)<br>Total Net Sales<br>Consolidated SSS%<br>Store SSS%<br>E-commerce SSS%<br>Total Net Sales Growth %<br>New Store Openings<br>$399<br>(4.5)%<br>(5.0)%<br>0.0%<br>4.0%<br>10<br>$407<br>(2.5)%<br>(3.0)%<br>2.0%<br>6.1%<br>10<br>Gross Profit<br>%<br>$142.6<br>35.7%<br>$146.2<br>36.0%<br>SG&A<br>%<br>$103.9<br>26.0%<br>$105.0<br>25.8%<br>Income from Operations<br>%<br>$38.7<br>9.7%<br>$41.2<br>10.1%<br>GAAP Earnings per Diluted Share $0.94 $1.00 |
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| 26<br>National Leader in<br>Attractive Market<br>• Leading player in estimated $40<br>billion industry<br>• Brick-and-mortar presence in 45<br>states and online sales in all 50 states<br>plus international<br>• Pressure-tested model<br>World Class Omni-Channel<br>Capabilities<br>• Strong variety of omni-channel<br>offerings in place<br>• Ability to drive incremental traffic to<br>stores<br>• Improved customer satisfaction with<br>added convenience and quicker<br>delivery<br>Strong New Unit Growth<br>Opportunities<br>• Proven ability to open stores in both<br>new and existing markets<br>• Store-preferred shopping experience<br>• Minimal sales cannibalization from<br>new stores<br>Lifestyle Brand with Loyal<br>Customer<br>• Genuine lifestyle retail brand<br>• Extremely loyal customers seeking<br>authenticity<br>• Lifestyle experience across stores, e-commerce and events<br>Profit Enhancement<br>Opportunities<br>• Proven ability to drive merchandise<br>margin expansion<br>• Economies of scale in purchasing &<br>ability to leverage expenses<br>Investment Considerations<br>Exclusive Brands<br>• 1,000bps margin enhancement vs. 3rd<br>party brands<br>• Differentiated assortment to satisfy<br>all customer segments<br>• Proven supply chain reliability |
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| 27<br>investor.bootbarn.com |
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