Back-to-School Season Gives Five Below a Boost
The retail industry has been under fire lately, but some pockets of the sector have handled those difficulties pretty well. Among them is Five Below (NASDAQ: FIVE), which caters to teens and pre-teens looking for inexpensive products that are still stylish and in demand. Early investors in Five Below have been happy with their investment, but the rapidly shifting retail environment has still forced shareholders to stay on their toes.
Coming into Wednesday's second-quarter financial report, Five Below shareholders wanted evidence that the retailer's growth would keep up the pace. The numbers that it reported weren't perfect in all respects, but they did seem to give investors confidence.
Five Below delivered another in its long string of quarters with consistent growth. Revenue climbed 20% to $417.4 million, which just under the 21% growth rate that most of those following the stock had anticipated. Net income of $28.8 million was up 15% from year-ago levels, and the resulting earnings of $0.51 per share topped the consensus forecast among investors by $0.01 per share.
Source Fool.com
