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(State or other jurisdiction
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(Commission
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(I.R.S. Employer
Identification No.) |
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(Address of principal executive offices)
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(Zip Code)
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Title of each class
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Trading Symbol
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Name of each exchange on which registered
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Exhibit 104
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The cover page of this Current Report on Form 8-K, formatted in Inline XBRL.
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BOOT BARN HOLDINGS, INC.
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Date: July 27, 2022
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By:
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/s/ James M. Watkins
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Name: James M. Watkins
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Title: Chief Financial Officer and Secretary
(Principal Financial Officer and Principal
Accounting Officer)
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| Exhibit 99.1 |
IRVINE, Calif.--(BUSINESS WIRE)--July 27, 2022--Boot Barn Holdings, Inc. (NYSE: BOOT) today announced its financial results for the first fiscal quarter ended June 25, 2022. The Company has also filed a Supplemental Financial Presentation that has been made available at investor.bootbarn.com.
For the quarter ended June 25, 2022:
“Our first quarter performance represents a strong start to the new year,” said Jim Conroy, President and Chief Executive Officer. “Following the tremendous growth and profitability we achieved in fiscal 2022, we are very pleased to report another quarter of double-digit same store sales growth and earnings per share that were ahead of our expectations. Our merchandise and marketing strategies combined with our expanding omni-channel capabilities continue to fuel strong full-price selling in stores and online. Our new stores are proving to be highly productive and we feel great about our real estate pipeline. We believe the addition of these new stores will help us to further gain share in the combined $40 billion western, work and country lifestyle markets. Given the current tone of the business, we continue to expect total sales to grow double digits versus last year driven by new store openings with same store sales flat to growing low single digits.”
Operating Results for the First Quarter Ended June 25, 2022 Compared to the First Quarter Ended June 26, 2021
Current Business
The following table includes same store sales and total net sales growth for the periods indicated below:
| Four Weeks Fiscal April |
Four Weeks Fiscal May |
Five Weeks Fiscal June |
Thirteen Weeks Ended June 25, 2022 |
Preliminary Four Weeks Fiscal July |
||||||||||||||||||||
| Retail Stores SSS |
8.1 |
% |
14.8 |
% |
8.1 |
% |
10.1 |
% |
1.5 |
% |
||||||||||||||
| E-commerce SSS |
13.1 |
% |
8.5 |
% |
6.4 |
% |
9.3 |
% |
(4.3) |
% |
||||||||||||||
| Total SSS |
8.8 |
% |
13.9 |
% |
7.9 |
% |
10.0 |
% |
0.6 |
% |
||||||||||||||
| Total Net Sales Growth |
18.3 |
% |
22.8 |
% |
17.7 |
% |
19.4 |
% |
10.1 |
% |
||||||||||||||
Balance Sheet Highlights as of June 25, 2022
Fiscal Year 2023 Outlook
In light of recent macroeconomic uncertainty, the Company is providing updated guidance for the fiscal year ending April 1, 2023, superseding in its entirety the previous guidance issued in its fourth quarter and fiscal year 2022 earnings report on May 10, 2022. As a result, for the fiscal year ending April 1, 2023, the Company now expects:
For the fiscal second quarter ending September 24, 2022, the Company expects:
Conference Call Information
A conference call to discuss the financial results for the first quarter of fiscal year 2023 is scheduled for today, July 27, 2022, at 4:30 p.m. ET (1:30 p.m. PT). Investors and analysts interested in participating in the call are invited to dial (877) 451-6152. 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 August 27, 2022, by dialing (844) 512-2921 (domestic) or (412) 317-6671 (international) and entering the conference identification number: 13731781. 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 313 stores in 39 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.
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: the effect of COVID-19 on our business operations, growth strategies, store traffic, employee availability, financial condition, liquidity and cash flow; 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.
|
Boot Barn Holdings, Inc. Consolidated Balance Sheets (In thousands, except per share data) (Unaudited) |
||||||||
| June 25, | March 26, | |||||||
|
2022 |
2022 |
|||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ |
16,014 |
|
$ |
20,674 |
|
||
| Accounts receivable, net |
9,240 |
|
9,662 |
|
||||
| Inventories |
534,380 |
|
474,300 |
|
||||
| Prepaid expenses and other current assets |
57,781 |
|
37,195 |
|
||||
| Total current assets |
617,415 |
|
541,831 |
|
||||
| Property and equipment, net |
177,447 |
|
155,247 |
|
||||
| Right-of-use assets, net |
264,569 |
|
241,147 |
|
||||
| Goodwill |
197,502 |
|
197,502 |
|
||||
| Intangible assets, net |
60,797 |
|
60,813 |
|
||||
| Other assets |
3,488 |
|
3,315 |
|
||||
| Total assets | $ |
1,321,218 |
|
$ |
1,199,855 |
|
||
| Liabilities and stockholders’ equity | ||||||||
| Current liabilities: | ||||||||
| Line of credit | $ |
74,873 |
|
$ |
28,549 |
|
||
| Accounts payable |
151,638 |
|
131,394 |
|
||||
| Accrued expenses and other current liabilities |
119,229 |
|
133,408 |
|
||||
| Short-term lease liabilities |
45,116 |
|
43,117 |
|
||||
| Total current liabilities |
390,856 |
|
336,468 |
|
||||
| Deferred taxes |
28,470 |
|
26,895 |
|
||||
| Long-term lease liabilities |
259,976 |
|
234,584 |
|
||||
| Other liabilities |
2,382 |
|
2,232 |
|
||||
| Total liabilities |
681,684 |
|
600,179 |
|
||||
| Stockholders’ equity: | ||||||||
| Common stock, $0.0001 par value; June 25, 2022 - 100,000 shares authorized, 29,995 shares issued; March 26, 2022 - 100,000 shares authorized, 29,820 shares issued |
3 |
|
3 |
|
||||
| Preferred stock, $0.0001 par value; 10,000 shares authorized, no shares issued or outstanding |
— |
|
— |
|
||||
| Additional paid-in capital |
204,002 |
|
199,054 |
|
||||
| Retained earnings |
444,795 |
|
405,477 |
|
||||
| Less: Common stock held in treasury, at cost, 188 and 135 shares at June 25, 2022 and March 26, 2022, respectively |
(9,266 |
) |
(4,858 |
) |
||||
| Total stockholders’ equity |
639,534 |
|
599,676 |
|
||||
| Total liabilities and stockholders’ equity | $ |
1,321,218 |
|
$ |
1,199,855 |
|
||
|
Boot Barn Holdings, Inc. Consolidated Statements of Operations (In thousands, except per share data) (Unaudited) |
||||||||
| Thirteen Weeks Ended | ||||||||
|
June 25, |
|
June 26, |
||||||
|
2022 |
|
2021 |
||||||
| Net sales | $ |
365,856 |
|
$ |
306,327 |
|||
| Cost of goods sold |
228,026 |
|
189,900 |
|||||
| Gross profit |
137,830 |
|
116,427 |
|||||
| Selling, general and administrative expenses |
85,405 |
|
62,784 |
|||||
| Income from operations |
52,425 |
|
53,643 |
|||||
| Interest expense |
725 |
|
2,563 |
|||||
| Other (loss)/income, net |
(273 |
) |
104 |
|||||
| Income before income taxes |
51,427 |
|
51,184 |
|||||
| Income tax expense |
12,109 |
|
10,539 |
|||||
| Net income | $ |
39,318 |
|
$ |
40,645 |
|||
| Earnings per share: | ||||||||
| Basic | $ |
1.32 |
|
$ |
1.38 |
|||
| Diluted | $ |
1.29 |
|
$ |
1.35 |
|||
| Weighted average shares outstanding: | ||||||||
| Basic |
29,747 |
|
29,361 |
|||||
| Diluted |
30,386 |
|
30,213 |
|||||
|
Boot Barn Holdings, Inc. Consolidated Statements of Cash Flows (In thousands) (Unaudited) |
||||||||
| Thirteen Weeks Ended | ||||||||
| June 25, | June 26, | |||||||
|
2022 |
2021 |
|||||||
| Cash flows from operating activities | ||||||||
| Net income | $ |
39,318 |
|
$ |
40,645 |
|
||
| Adjustments to reconcile net income to net cash (used in)/provided by operating activities: | ||||||||
| Depreciation |
8,022 |
|
6,152 |
|
||||
| Stock-based compensation |
4,701 |
|
3,201 |
|
||||
| Amortization of intangible assets |
16 |
|
18 |
|
||||
| Noncash lease expense |
11,119 |
|
9,221 |
|
||||
| Amortization and write-off of debt issuance fees and debt discount |
44 |
|
1,064 |
|
||||
| Loss/(gain) on disposal of assets |
177 |
|
(4 |
) |
||||
| Gain on adjustment of right-of-use assets and lease liabilities |
— |
|
(33 |
) |
||||
| Deferred taxes |
1,575 |
|
(5,891 |
) |
||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable, net |
600 |
|
4,912 |
|
||||
| Inventories |
(60,080 |
) |
(21,002 |
) |
||||
| Prepaid expenses and other current assets |
(20,630 |
) |
(7,309 |
) |
||||
| Other assets |
(173 |
) |
(457 |
) |
||||
| Accounts payable |
18,024 |
|
5,252 |
|
||||
| Accrued expenses and other current liabilities |
(21,523 |
) |
19,071 |
|
||||
| Other liabilities |
150 |
|
568 |
|
||||
| Operating leases |
(7,108 |
) |
(9,080 |
) |
||||
| Net cash (used in)/provided by operating activities | $ |
(25,768 |
) |
$ |
46,328 |
|
||
| Cash flows from investing activities | ||||||||
| Purchases of property and equipment | $ |
(20,835 |
) |
$ |
(9,294 |
) |
||
| Net cash used in investing activities | $ |
(20,835 |
) |
$ |
(9,294 |
) |
||
| Cash flows from financing activities | ||||||||
| Borrowings on line of credit - net | $ |
46,324 |
|
$ |
— |
|
||
| Repayments on debt and finance lease obligations |
(220 |
) |
(61,682 |
) |
||||
| Tax withholding payments for net share settlement |
(4,408 |
) |
(2,476 |
) |
||||
| Proceeds from the exercise of stock options |
247 |
|
3,616 |
|
||||
| Net cash provided by/(used in) financing activities | $ |
41,943 |
|
$ |
(60,542 |
) |
||
| Net decrease in cash and cash equivalents |
(4,660 |
) |
(23,508 |
) |
||||
| Cash and cash equivalents, beginning of period |
20,674 |
|
73,148 |
|
||||
| Cash and cash equivalents, end of period | $ |
16,014 |
|
$ |
49,640 |
|
||
| Supplemental disclosures of cash flow information: | ||||||||
| Cash paid for income taxes | $ |
19,226 |
|
$ |
— |
|
||
| Cash paid for interest | $ |
534 |
|
$ |
1,496 |
|
||
| Supplemental disclosure of non-cash activities: | ||||||||
| Unpaid purchases of property and equipment | $ |
17,473 |
|
$ |
4,130 |
|
||
|
Boot Barn Holdings, Inc. Store Count |
|||||||||||||||
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
Quarter Ended |
|
|
June 25, |
|
March 26, |
|
December 25, |
|
September 25, |
|
June 26, |
|
March 27, |
|
December 26, |
|
September 26, |
|
|
2022 |
|
2022 |
|
2021 |
|
2021 |
|
2021 |
|
2021 |
|
2020 |
|
2020 |
|
| Store Count (BOP) |
300 |
289 |
278 |
276 |
273 |
266 |
265 |
264 |
|||||||
| Opened/Acquired |
11 |
11 |
11 |
3 |
3 |
8 |
1 |
1 |
|||||||
| Closed |
— |
— |
— |
(1) |
— |
(1) |
— |
— |
|||||||
| Store Count (EOP) |
311 |
300 |
289 |
278 |
276 |
273 |
266 |
265 |
|||||||
|
Boot Barn Holdings, Inc. Selected Store Data |
||||||||||||||||||||||||||
| Thirteen Weeks Ended | ||||||||||||||||||||||||||
|
June 25, |
|
March 26, |
|
December 25, |
|
September 25, |
|
June 26, |
|
March 27, |
|
December 26, |
|
September 26, |
||||||||||||
|
2022 |
|
2022 |
|
2021 |
|
2021 |
|
2021 |
|
2021 |
|
2020 |
|
2020 |
|
|||||||||||
| Selected Store Data: | ||||||||||||||||||||||||||
| Same Store Sales growth/(decline) |
10.0 |
% |
33.3 |
% |
54.2 |
% |
61.7 |
% |
78.9 |
% |
26.9 |
% |
4.6 |
% |
(5.1 |
)% |
||||||||||
| Stores operating at end of period |
311 |
300 |
289 |
278 |
276 |
273 |
266 |
265 |
|
|||||||||||||||||
| Total retail store square footage, end of period (in thousands) |
3,333 |
3,194 |
3,063 |
2,940 |
2,915 |
2,854 |
2,787 |
2,779 |
|
|||||||||||||||||
| Average store square footage, end of period |
10,717 |
10,648 |
10,597 |
10,575 |
10,563 |
10,455 |
10,477 |
10,486 |
|
|||||||||||||||||
| Average net sales per store (in thousands) | $ |
1,031 |
$ |
1,094 |
$ |
1,372 |
$ |
965 |
$ |
942 |
$ |
792 |
$ |
889 |
$ |
565 |
|
|||||||||
Investor Contact:
ICR, Inc.
Brendon Frey, 203-682-8216
[email protected]
or
Company Contact:
Boot Barn Holdings, Inc.
Mark Dedovesh
Vice President, Investor Relations & Financial Planning
[email protected]
| Exhibit 99.2 |
















