Five Below, Inc. reported that net sales for its holiday‑period, spanning November 2 2025 through January 3 2026, rose 23.2% year‑over‑year to $1.47 billion, while comparable sales climbed 14.5%. The nine‑week period delivered a 23.2% increase in revenue, driven by a surge in demand for the retailer’s trend‑right, value‑priced merchandise and a sharpened customer‑experience strategy.
Compared with the same nine‑week period in 2024, when net sales were $1.19 billion, the holiday‑period growth represents a 23.2% jump that far exceeds the 9.4%–10.1% comparable‑sales growth range the company had previously guided for the full fiscal year. The 14.5% comparable‑sales increase also outpaced the 6%–8% range that had been forecast for the fourth quarter, underscoring a strong acceleration in customer demand.
CEO Winnie Park highlighted that the results were a result of “maniacal focus on the customer: the kid and the kid in all of us,” and that the company’s ability to offer “trend‑right products at exceptional value” had created a better‑connected customer journey. The comments point to a mix of product‑category strength—particularly in the core $1–$5 price range—and a successful omnichannel experience that drove repeat visits and higher basket sizes.
In light of the holiday‑period performance, Five Below has raised its fiscal 2025 guidance. The company now expects fourth‑quarter net sales of approximately $1.71 billion, with comparable sales growth of about 14.5%, up from the prior guidance of $1.58–$1.61 billion and 6%–8% comparable growth. Full‑year net sales guidance has been increased to $4.75 billion, with comparable sales growth of roughly 12.5%, compared with the previous $4.62–$4.65 billion and 9.4%–10.1% range. Adjusted diluted earnings per share guidance for the fourth quarter has been lifted to $3.95–$4.00, from $3.36–$3.54, and full‑year EPS guidance is now $6.10–$6.15, reflecting management’s confidence in sustained demand and cost control.
The guidance revision signals that Five Below’s leadership believes the momentum from the holiday season will carry into the remainder of the year, despite potential headwinds such as supply‑chain disruptions and rising operating costs. The company’s gross margin of 35.63% and net margin of 6.96% as of the trailing twelve months ending October 31 2025 suggest that the retailer has maintained pricing power and operational leverage, even as it expands its store footprint toward a 3,500‑store target by 2030. The strong comparable‑sales growth, coupled with the upward revision of guidance, indicates that Five Below is well positioned to sustain its growth trajectory in a competitive value‑retail landscape.
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