Boot Barn Holdings, Inc. raised its earnings outlook for the year after reporting sales and earnings top expectations for the fiscal first quarter ended June 28.

For the quarter ended June 27, 2026 compared to the quarter ended June 28, 2025:

  • Net sales increased 17.7 percent to $593.5 million.
  • Same store sales increased 4.7 percent, with retail store same store sales increasing 3.8 percent and e-commerce same store sales increasing 13.4 percent.
  • Tariff refunds of $14.7 million were recognized in cost of goods sold during the current-year period.
  • Net income was $70.1 million, or $2.29 per diluted share, compared to $53.4 million, or $1.74 per diluted share, in the prior-year period.
  • Included in net income per diluted share is an estimated $0.38 per share benefit from tariff refunds.
  • The company opened 27 new stores, bringing its total store count to 566 as of the quarter end.

John Hazen, chief executive officer, commented, “We are pleased with our strong start to fiscal 2027, as first quarter results exceeded our expectations and reflected broad-based strength across the business. Our team continues to execute at a high level, delivering solid same store sales growth, expanding margin, and opening new stores that continue to perform above our expectations.”

Hazen continued, “Exiting our first quarter, fiscal July sales moderated given the more challenging year-over-year comparisons. While July’s sales came in slightly below our expectations, we believe the shortfall primarily reflected the impact of seasonal events and concerts on our business during a lower-volume month. We remain confident in our outlook for the balance of the fiscal year and believe our four strategic initiatives continue to strengthen our competitive position and support long-term profitable growth.”

Operating Results for the First Quarter Ended June 27, 2026 Compared to the First Quarter Ended June 28, 2025

  • Net sales increased 17.7 percent to $593.5 million from $504.1 million in the prior-year period. Consolidated same store sales increased 4.7 percent, with retail store same store sales increasing 3.8 percent and e-commerce same store sales increasing 13.4 percent. The increase in net sales was the result of incremental sales from new stores and the increase in consolidated same store sales.
  • Gross profit was $239.9 million, or 40.4 percent of net sales, compared to $197.2 million, or 39.1 percent of net sales, in the prior-year period. Included in gross profit is $14.7 million of tariff refunds recognized in cost of goods sold during the current-year period. The remaining increase was driven by an increase in sales, partially offset by the occupancy costs of new stores. The 130 basis-point increase in gross profit rate was driven primarily by a 220 basis-point increase in merchandise margin rate partially offset by 90 basis points of deleverage in buying, occupancy and distribution center costs. The 220 basis-point increase in merchandise margin rate was primarily driven by a 250 basis-point benefit from tariff refunds recognized during the current-year period and 60 basis points of product margin expansion, partially offset by a 90 basis-point headwind due to higher freight expense in the current-year period. The deleverage in buying, occupancy and distribution center costs was driven by the occupancy costs of new stores.
  • Selling, general and administrative (“SG&A”) expenses were $149.4 million, or 25.2 percent of net sales, compared to $126.5 million, or 25.1 percent of net sales, in the prior-year period. The increase in SG&A expenses compared to the prior-year period was primarily the result of higher store payroll and store-related expenses associated with operating more stores, corporate general and administrative expenses, and marketing expenses in the current-year period. SG&A expenses as a percentage of net sales deleveraged by 10 basis points primarily as a result of the timing of marketing expenses.
  • Income from operations increased $19.8 million to $90.5 million, or 15.3 percent of net sales, compared to $70.7 million, or 14.0 percent of net sales, in the prior-year period, primarily due to the factors noted above.
  • Income tax expense was $22.3 million, or a 24.1 percent effective tax rate, compared to $17.9 million, or a 25.1 percent effective tax rate, in the prior-year period. The decrease in the effective tax rate was primarily due to a higher income tax benefit from income tax accounting for stock-based compensation in the current-year period.
  • Net income was $70.1 million, or $2.29 per diluted share, compared to $53.4 million, or $1.74 per diluted share, in the prior-year period. Included in net income per diluted share is an estimated $0.38 per share benefit from tariff refunds. The increase in net income was primarily attributable to the factors noted above.

Sales by Channel
The following table includes total net sales growth and same store sales (“SSS”) growth/(decline) for the periods indicated below.

Tariff Refunds
The following table reflects the impact of tariff refunds for the first quarter ended June 27, 2026 and the estimated impact for the remainder of fiscal 2027.

Balance Sheet Highlights as of June 27, 2026

  • Cash of $139 million.
  • The company repurchased 158,451 shares of its common stock during the thirteen weeks ended June 27, 2026, for an aggregate purchase price of $25.0 million under its $200 million authorized repurchase program.
  • Average inventory per store increased approximately 1.2 percent on a same-store basis compared to June 28, 2025.
  • Zero drawn under the revolving credit facility, the capacity of which was increased from $250 million to $500 million on July 28, 2026.

Fiscal Year 2027 Outlook
The company is providing updated guidance for the fiscal year ending March 27, 2027, which supersedes in its entirety the previous guidance issued in its fourth fiscal quarter and fiscal year 2026 earnings report on May 14, 2026. For the fiscal year ending March 27, 2027, the company now expects:

  • To open 70 stores.
  • Total sales of $2.580 billion to $2.625 billion, representing growth of 14 percent to 16 percent over Fiscal 2026. (Previous guidance: sales of $2.578 billion to $ 2.623 billion, representing growth of 14 percent to 16 percent.)
  • Consolidated same store sales growth of 2.0 percent to 4.0 percent, with retail store same store sales growth of 1.0 percent to 3.0 percent and e-commerce same store sales growth of 11.0 percent to 13.0 percent. (Previous guidance: consolidated same store sales growth of 2.0 percent to 4.0 percent, with retail store same store sales growth of 1.0 percent to 3.0 percent and e-commerce same store sales growth of 11.0 percent to 13.0 percent.)
  • Merchandise margin between $1.347 billion and $1.370 billion, or approximately 52.2 percent of sales. Included in merchandise margin is an estimated $17.8 million benefit related to tariff refunds.
  • Gross profit between $993 million and $1.016 billion, or approximately 38.5 percent to 38.7 percent of sales.
  • SG&A expenses between $636 million and $642 million, or approximately 24.7 percent to 24.4 percent of sales.
  • Income from operations between $357 million and $374 million, or approximately 13.8 percent to 14.3 percent of sales.
  • Net income of $267.9 million to $281.0 million.
  • Net income per diluted share of $8.80 to $9.23, based on 30.45 million weighted average diluted shares outstanding. Included in net income per diluted share is an estimated $0.46 benefit related to tariff refunds. (Previous guidance: Net income per diluted share of $8.21 to $8.64.)
  • Effective tax rate of 25.7 percent for the remaining nine months of the fiscal year.
  • Capital expenditures between $125 million and $130 million, which is net of estimated landlord tenant allowances of $47.6 million.

For the second fiscal quarter ending September 26, 2026, the company expects:

  • Total sales of $572 million to $582 million, representing growth of 13 percent to 15 percent over the prior-year period.
  • Consolidated same store sales of flat to 2.0 percent growth, with retail store same store sales declines of (1.0) percent to growth of 1.0 percent and e-commerce same store sales growth of 10.0 percent to 12.0 percent.
  • Merchandise margin between $297 million and $302 million, or approximately 51.8 percent of sales. Included in merchandise margin is an estimated $2.4 million benefit related to tariff refunds.
  • Gross profit between $208 million and $213 million, or approximately 36.3 percent to 36.6 percent of sales.
  • SG&A expenses between $145 million and $146 million, or approximately 25.4 percent to 25.1 percent of sales.
  • Income from operations between $63 million and $67 million, or approximately 11.0 percent to 11.5 percent of sales.
  • Net income per diluted share of $1.55 to $1.65, based on 30.4 million weighted average diluted shares outstanding. Included in net income per diluted share is an estimated $0.06 benefit related to tariff refunds.

Image courtesy Boot Barn