Ollie's Bargain Outlet Holdings, Inc.

EX-99.1 ef20081496_ex99-1.htm EXHIBIT 99.1 Exhibit 99.1 Ollie’s Bargain Outlet Holdings, Inc. Announces

Second Quarter Fiscal 2026 Results Net Sales Increased 9.1% Opened 15 New Stores and Grew Ollie’s Army 12.7%

“We delivered strong earnings growth in the second quarter and continued to execute against our key strategic initiatives,” said Eric van der Valk, President and Chief Executive Officer. “Comparable store sales declined 1.8% against a challenging multi-year stack. We believe our sales results were negatively impacted by the combination of less favorable weather, continued economic pressure on the consumer, and an elevated promotional environment, which all led to a more challenging backdrop than we originally expected.”

Mr. van der Valk continued, “Consumers continue to seek value and many of the same pressures affecting our customers are creating buying opportunities across the closeout market. We continue to see strong deal flow and remain committed to reinvesting in price and strengthening our competitive position. With a flexible business model, deep vendor relationships, growing scale, and a talented team, we believe Ollie's is well positioned to deliver long-term profitable growth through any retail environment.”

(2)

Gross number that does not include any store closures in the period.

Gross margin increased 360 basis points to 43.5%. The increase was driven by lower supply chain costs, primarily from IEEPA tariff refunds and lower tariff rates. IEEPA tariff refunds benefited gross margin by 380 basis points in this year’s second quarter.

Selling, general, and administrative (“SG&A”) expenses as a percentage of net sales increased 80 basis points to 26.6%, with the increase primarily driven by the deleverage of fixed costs from the decline in comparable store sales and higher marketing expenses primarily from one additional merchandise flyer in the second quarter.

Pre-opening expenses decreased 42.0% to $5.2 million, driven primarily by a lower number of new store openings and lower dark rent expense.

Total cash and investments increased $46.8 million, to $507.1 million. This included cash and cash equivalents of $120.8 million, short-term investments of $66.7 million, and long-term investments of $319.6 million.

The Company invested $84.0 million of cash to repurchase 1.107 million shares of its common stock in the second quarter. In the first half of the year, the Company repurchased $137.3 million, or 1.6 million shares, of its common stock. At the end of the second quarter, $121.5 million remained available for future share repurchases under the current share repurchase authorization.

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Current

Previous New store openings (1)

Comparable store sales growth 0% to 0.5% ~2%

Gross margin ~41.3% ~40.7%

Operating income $345 to $350 million $340 to $348 million Adjusted net income (2)(3)

~25% ~25%

Diluted weighted average shares outstanding ~60.0 million ~60.9 million