Buckle’s Women’s Business Outpaces Overall Growth
The Buckle Inc. (NYSE:BKE) reported second-quarter net sales of $319.8 million, a 4.6% increase year-over-year despite a slight drop in net income to $44.4 million from $45 million. The women's apparel segment drove much of the growth, rising 9.5% and now accounting for half of total sales—up from 47.5%. Denim saw an 11% increase with higher average prices, while alternative pants surged nearly 50%, reflecting strong consumer demand. In contrast, the men's business remained flat or declined slightly in key categories like denim and footwear. Rising marketing and labor costs also pressured gross margins, which rose only modestly to 47.8%. The company opened five new stores during the quarter and ended with $323 million in cash and investments. Despite these challenges, Buckle's stock trades at a forward P/E of just 11.75, suggesting it may not yet reflect the strength of its women’s business.
Tickers: $BKE
Topics: denim sales sales growth store expansion women’s apparel