Thanks to the contribution from new stores and a strong improvement in the women's category, Boot Barn saw sales for its fiscal fourth quarter ended on March 31 jump by 12.1 percent to $170.8 million, with double-digit same-store growth online and offline. The American shoe retail company, which specializes in Western and work boots, also benefited from the roll out of a new performance boot platform.
The management attributed these results, which exceeded its guidance, to investments in merchandising, marketing and omni-channel. Every major product category posted positive results for the quarter. In particular, the management said that work apparel and work boots continued to grow, benefiting from a healthier microenvironment. Western apparel, in both men's and women'sw, also showed strong growth.
The gross margin improved by 0.7 percentage points, driven by more full-price selling, fewer promotions, and increased exclusive brand penetration. Net income soared by 165 percent to $6.9 million.
For the full fiscal year, Boot Barn's revenues were up by 7.6 percent to $677.9 million - with an increase of 5.2 percent in same-store sales - thanks to strong sales from the Country Outfitter site acquired in February 2017, coupled with the contribution from the nine new stores added over the past 12 months. The company closed two stores over the period and ended the year with 226 units.
The gross margin improved by 0.6 percentage points for the year to 30.7 percent. Net income jumped by 103 percent to $28.9 million.
The management announced that Anne MacDonald, an experienced branding and marketing executive, has been appointed to its board of directors. She will replace Fred Simmons, who has resigned from the board. Previously, MacDonald has served as chief marketing officer for several global companies including Macy's, Citigroup, and Travelers Insurance.
Moving forward to the current financial year, Boot Barn expects to open 23 new stores. It anticipates same-store sales to grow by a mid-single-digit rate and net income to reach a level of between $26.2 million and $29.2 million.