Five Below, Inc. announced impressive first-quarter fiscal 2026 financial results, with net sales surging by 32.5% to $1.2856 billion, up from $970.5 million in the prior year's first quarter. Comparable sales also saw a significant increase of 22.7%. The company expanded its store count by 49 net new locations, ending the quarter with 1,970 stores across 46 states, marking a 7.9% increase from the first quarter of fiscal 2025. Operating income reached $154.2 million, a substantial rise from $50.8 million in the first quarter of fiscal 2025.
CEO Winnie Park attributed this strong performance to the company's customer-centric strategy, which drove broad-based growth across product categories, customer segments, and demographics. Park highlighted the success in amplifying social media trends and driving increased traffic through coordinated merchandising and marketing efforts. The company's focus on offering compelling newness at great value has been central to its operating model, positioning Five Below as a destination for both children and adults.
Looking ahead, Five Below raised its full-year 2026 sales and earnings per share outlook. For fiscal 2026, net sales are projected to be in the range of $5.40 billion to $5.48 billion, based on opening approximately 150 net new stores and an anticipated 6% to 8% increase in comparable sales. Diluted income per common share is expected to range from $8.62 to $9.02. For the second quarter of fiscal 2026, the company expects net sales between $1.18 billion and $1.20 billion, with comparable sales increasing by approximately 7% to 9%. This positive outlook underscores the company's confidence in its ability to sustain growth by appealing to younger consumers, including Gen Alpha, Gen Z, and millennial parents, through aligned product assortments and digital marketing strategies.
