Boot Barn Holdings, Inc. has recently released its 10-Q report, providing a comprehensive overview of the company's financial condition and operations. Boot Barn operates specialty retail stores offering western and work-related footwear, apparel, and accessories for men, women, and kids. The company operates 438 stores in 46 states, alongside e-commerce websites and third-party marketplaces. Its product offering includes a wide range of brands and styles under various labels such as Shyanne, Cody James, and Idyllwind.
In its 10-Q report, Boot Barn focuses on assessing the performance of its business through various financial measures. The company emphasizes net sales and gross profit as key indicators, with net sales reflecting revenue from retail locations and e-commerce websites. Notably, the report states that the company's business is moderately seasonal, with the third quarter historically producing higher sales due to the Christmas shopping season.
The report also delves into the concept of same store sales, which measures net sales from stores that have been open for at least 13 full fiscal months. Boot Barn highlights the factors that affect same store sales, including economic trends, product mix, pricing, and competition. Additionally, the report discusses new store openings, noting that the number and timing of store openings significantly impact the company's results of operations.
Gross profit, another important metric, is detailed in the report as equal to net sales less cost of goods sold, which includes various expenses such as merchandise costs, occupancy costs, and inbound and outbound freight.
Furthermore, the report provides insights into selling, general, and administrative expenses (SG&A), which encompass labor and related expenses, other operating expenses, and general and administrative expenses not included in cost of goods sold. Boot Barn expects its SG&A expenses to increase in future periods due to various factors such as incremental stock-based compensation and legal expenses.
The market has reacted to these announcements by moving the company's shares -2.3% to a price of $170.57. For the full picture, make sure to review Boot Barn's 10-Q report.
