Ollie’s Bargain Outlet Holdings, Inc. (NASDAQ:OLLI) traded sharply lower in premarket action after turning in third-quarter results that beat profit expectations but narrowly missed on revenue, dampening investor sentiment.
The discount retailer posted earnings per share of $0.75, ahead of the $0.73 analyst estimate. Revenue, however, came in at $613.6 million—slightly under the $614.56 million consensus figure. Even so, sales were up 18.6% year over year, supported by strong new-store expansion and a 3.3% increase in comparable store sales.
Ollie’s opened a record 32 stores during the quarter, bringing its total to 645 across 34 states—an increase of 18.1% from a year earlier. With 86 new stores launched so far in fiscal 2025, the company has already surpassed its initial target of 75 openings.
Eric van der Valk, President and CEO, praised the quarterly results, saying,
“Thanks to the extraordinary execution of our team, we delivered another strong performance in the third quarter. We opened a record number of stores, continued to accelerate membership growth of our Ollie’s Army loyalty program, widened our price gaps to the fancy stores, and delivered industry-leading sales growth.”
The retailer’s loyalty program, Ollie’s Army, grew 11.8% year over year to 16.6 million members. Operating income rose 24.5% to $55.4 million, with operating margin increasing 40 basis points to 9.0%.
In light of the stronger-than-expected earnings performance, Ollie’s raised its full-year guidance. The company now expects revenue of $2.648–$2.655 billion, up from the previous $2.631–$2.644 billion forecast and slightly ahead of analyst expectations. Adjusted EPS guidance was also lifted to $3.81–$3.87, compared to the earlier range of $3.76–$3.84.
Looking to fiscal 2026, Ollie’s plans to open approximately 75 new stores, with the majority scheduled for the first half of the year.