Executive Summary

• Five Below reported 1Q17 EPS of $0.15, up 25% from the year-ago quarter and slightly above the $0.14 consensus estimate. Total revenues were $232.9 million versus expectations of $230.6 million and were up 20.8% year over year.
• Total comps increased by 2.6% for the quarter, beating the 1.4% consensus estimate and the company’s guidance of 2.0%; the spinner trend drove the comp outperformance.
• The company raised its full-year EPS guidance from $1.55–$1.61 to $1.59–$1.64, versus consensus of $1.60. Five Below raised its FY17 revenue guidance from $1.21–$1.23 billion to $1.23–$1.24 billion, including the additional 53rd week, which is expected to contribute approximately $15 million to sales and $0.02 to EPS. The consensus estimate calls for full-year revenue of $1.22 billion.