Here's Why Ollie's Bargain Outlet Stock Traded Higher Today

Shares of discount retailer Ollie's Bargain Outlet Holdings (NASDAQ: OLLI) traded higher on Friday after the company released financial results for the first quarter of 2021 showing continued strong results. As of 12:20 p.m. EDT, the stock was up 10%.

In Q1, Ollie's Bargain Outlet's net sales were up almost 30% year over year to $453 million. Some of this came from having over 40 more store locations than this time last year. However, sales at older stores were up as well, tracked with a metric called comparable sales (comp sales). Q1 comp sales were up a robust 18.8% from last year. And for brick-and-mortar retail chains like Ollie's, they gain operating leverage when sales per location go up. Accordingly, its net profit was up a whopping 65% to $55 million.

Image source: Getty Images.

Source Fool.com