Western boots are apparently escaping the downturn in boot sales in the U.S. Boot Barn's second quarter earnings swung back into the black as the American retailer specializing in western boots posted profits of $479,000 in the three months to Sept. 24, rebounding from a loss of $3.3 million in the same period a year earlier.
Consolidated revenues rose by 3.3 percent to $134 million, with same-store sales up by 1.8 percent, bolstered by strength in work boots and men's western boots, as well as new merchandise categories and product offerings.
The Boot Barn chain reported growth in men's and women's western apparel, led by sales of dresses and graphic tees as part of its summer festival styling. Men's jeans, shirts and outerwear also experienced strong growth during the quarter.
Despite challenges in Colorado, Wyoming and North Dakota, where the local economies have been hit by lower oil and commodity prices, same-store sales in these three states improved from negative teens in the first quarter to high-single-digit declines in the second quarter.
In its full-year outlook, Boot Barn slightly raised its guidance on the back of the improved second-quarter performance. Earnings per share are forecast in a range of 66 cents to 73 cents a share for the year, up from 63 cents to 73 cents previously. They should also be higher than expected for the fourth quarter.