FIVE BELOW, INC
For the period ended Aug 2, 2025. Filed Aug 28, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Aug 2, 2025 · Filed Aug 28, 2025
FIVE$240.30-0.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-05-03; filed 2025-06-05.
0001177609-25-000025
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-08-02; filed 2025-08-28.
0001177609-25-000041
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 130 previous paragraphs and 135 current paragraphs.
104 unchanged; 20 reworded; 7 added; 2 removed; 4 previous and 4 current paragraphs rearranged.
Tables are not compared: 2 previous and 2 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (7)
Current report
Twenty-Six Weeks Ended August 2, 2025 Compared to the Twenty-Six Weeks Ended August 3, 2024
Current report
Cost of goods sold increased to$1,331.1 million in thetwenty-six weeks ended August 2, 2025 from$1,106.6 million in thetwenty-six weeks ended August 3, 2024, an increase of $224.5 million, or 20.3%. The increase in cost of goods sold was primarily the result of increases in merchandise cost of goods sold resulting from an increase in net sales and store occupancy costs resulting from new store openings.
Current report
Gross profit increased to$666.3 million in thetwenty-six weeks ended August 2, 2025 from$535.3 million in thetwenty-six weeks ended August 3, 2024, anincrease of$131.0 million, or 24.5%. Gross margin increased to 33.4% in the twenty-six weeks ended August 2, 2025 from 32.6% in the twenty-six weeks ended August 3, 2024, an increase of approximately 80 basis points. The increase in gross margin was primarily the result of a decrease as a percentage of net sales in in store occupancy costs.
Current report
Income Tax Expense
Current report
Income tax expense increased to $30.5 million in the twenty-six weeks ended August 2, 2025 from $21.2 million in the twenty-six weeks ended August 3, 2024, an increase of $9.3 million or 43.6%. The increase in income tax expense was primarily due to the $28.7 million increase in pre-tax income, discrete items, which includes the impact of share-based accounting, and non-deductible expenses.
Current report
Net Income
Current report
As a result of the foregoing, net income increased to $83.9 million in the twenty-six weeks ended August 2, 2025 from $64.5 million in the twenty-six weeks ended August 3, 2024, an increase of $19.4 million or 30.2%.
Removed paragraphs (2)
Reworded paragraphs (20)
Previous wording
You should read the following discussion together with “Selected Financial Data” and the consolidated financial statements and related notes included in our Annual Report on Form 10-K for our fiscal year ended February 1, 2025 and referred to herein as the "Annual Report," and the consolidated financial statements and related notes as of and for the thirteen weeks ended May 3, 2025 included in Part I, Item 1 of this Quarterly Report on Form 10-Q. The statements in this discussion regarding expectations of our future performance, liquidity and capital resources and other non-historical statements are forward-looking statements. These forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the risks and uncertainties described below in “Special Note Regarding Forward-Looking Statements” and in Part II, Item 1A "Risk Factors." Our actual results may differ materially from those contained in or implied by any forward-looking statements.
Current wording
You should read the following discussion together with “Selected Financial Data” and the consolidated financial statements and related notes included in our Annual Report on Form 10-K for our fiscal year ended February 1, 2025 and referred to herein as the "Annual Report," and the consolidated financial statements and related notes as of and for the thirteen and twenty-six weeks ended August 2, 2025 included in Part I, Item 1 of this Quarterly Report on Form 10-Q. The statements in this discussion regarding expectations of our future performance, liquidity and capital resources and other non-historical statements are forward-looking statements. These forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, the risks and uncertainties described below in “Special Note Regarding Forward-Looking Statements” and in Part II, Item 1A "Risk Factors." Our actual results may differ materially from those contained in or implied by any forward-looking statements.
Previous wording
We operate on a fiscal calendar widely used by the retail industry that results in a given fiscal year consisting of a 52- or 53-week period ending on the Saturday closest to January 31 of the following year. References to "fiscal year 2025" or "fiscal 2025" refer to the period from February 2, 2025 to January 31, 2026, which is a 52-week fiscal year. References to "fiscal year 2024" or "fiscal 2024" refer to the period from February 4, 2024 to February 1, 2025, which is a 52-week fiscal year. The fiscal quarters ended May 3, 2025 and May 4, 2024 refer to the thirteen weeks ended as of those dates. Historical results are not necessarily indicative of the results to be expected for any future period and results for any interim period may not necessarily be indicative of the results that may be expected for a full year.
Current wording
We operate on a fiscal calendar widely used by the retail industry that results in a given fiscal year consisting of a 52- or 53-week period ending on the Saturday closest to January 31 of the following year. References to "fiscal year 2025" or "fiscal 2025" refer to the period from February 2, 2025 to January 31, 2026, which is a 52-week fiscal year. References to "fiscal year 2024" or "fiscal 2024" refer to the period from February 4, 2024 to February 1, 2025, which is a 52-week fiscal year. The fiscal quarters ended August 2, 2025 and August 3, 2024 refer to the thirteen weeks ended as of those dates. The year-to-date periods ended August 2, 2025 and August 3, 2024 refer to the twenty-six weeks ended as of those dates. Historical results are not necessarily indicative of the results to be expected for any future period and results for any interim period may not necessarily be indicative of the results that may be expected for a full year.
Previous wording
Five Below, Inc. (collectively referred to herein with its wholly owned subsidiaries as "we," "us," or "our") is a rapidly growing specialty value retailer offering a broad range of trend-right, high-quality merchandise targeted at the tween and teen customer. We offer a dynamic, edited assortment of exciting products, with most priced at $5 and below, including select brands and licensed merchandise across our category worlds. In fiscal 2019, we rolled out new pricing to our full chain, increasing prices on certain products over $5. Most of our products remain at $5 and below. As of May 3, 2025, we operated 1,826 stores in 44 states.
Current wording
Five Below, Inc. (collectively referred to herein with its wholly owned subsidiaries as "we," "us," or "our") is a rapidly growing specialty value retailer offering a broad range of trend-right, high-quality merchandise targeted at the tween and teen customer. We offer a dynamic, edited assortment of exciting products, with most priced at $5 and below, including select brands and licensed merchandise across our category worlds. In fiscal 2019, we rolled out new pricing to our full chain, increasing prices on certain products over $5. Most of our products remain at $5 and below. As of August 2, 2025, we operated 1,858 stores in 44 states.
Previous wording
Due to the 53rd week in fiscal 2023, comparable sales for the thirteen weeks ended May 4, 2024 are reported on a restated calendar basis. Reference to the "restated calendar" is based on using the National Retail Federation's restated calendar comparing similar weeks, which are the thirteen weeks from February 4, 2024 to May 4, 2024 as compared to the thirteen weeks from February 5, 2023 to May 6, 2023.
Current wording
Due to the 53rd week in fiscal 2023, comparable sales for the thirteen and twenty-six weeks ended August 3, 2024 are reported on a restated calendar basis. Reference to the "restated calendar" is based on using the National Retail Federation's restated calendar comparing similar weeks, which are the thirteen weeks from May 5, 2024 to August 3, 2024 as compared to the thirteen weeks from May 7, 2023 to August 5, 2023 and the twenty-six weeks from February 4, 2024 to August 3, 2024 as compared to the twenty-six weeks from February 5, 2023 to August 5, 2023.
Previous wording
(2)Only includes stores that opened before the beginning of the thirteen weeks ended.
Current wording
(2)Only includes stores that opened before the beginning of the thirteen weeks ended and twenty-six weeks ended.
Previous wording
Net sales increased to $970.5 million in the thirteen weeks ended May 3, 2025 from $811.9 million in the thirteen weeks ended May 4, 2024, an increase of $158.6 million, or 19.5%. The increase was the result of a non-comparable sales increase of $103.3 million and a comparable sales increase of $55.3 million. The increase in non-comparable sales was primarily driven by the number of stores that opened in fiscal 2024 but have not been open for 15 full months and new stores that opened in fiscal 2025.
Current wording
Net sales increased to $1,026.8 million in the thirteen weeks ended August 2, 2025 from $830.1 million in the thirteen weeks ended August 3, 2024, an increase of $196.7 million, or 23.7%. The increase was the result of a non-comparable sales increase of $98.4 million and a comparable sales increase of $98.3 million. The increase in non-comparable sales was primarily driven by the number of stores that opened in fiscal 2024 but have not been open for 15 full months and new stores that opened in fiscal 2025.
Previous wording
Comparable sales increased 7.1%. This increase resulted from increases of approximately 6.2% in the number of transactions and approximately 0.9% in the average dollar value of transactions.
Current wording
Comparable sales increased 12.4%. This increase resulted from increases of approximately 8.7% in the number of transactions and approximately 3.4% in the average dollar value of transactions.
Previous wording
Cost of goods sold increased to$646.6 million in thethirteen weeks ended May 3, 2025 from$548.3 million in the thirteen weeks ended May 4, 2024, an increase of $98.3 million, or 17.9%. The increase in cost of goods sold was primarily the result of an increase in merchandise cost of goods sold resulting from an increase in net sales. Also contributing to the increase in costs of goods sold was an increase in store occupancy costs resulting from new store openings.
Current wording
Cost of goods sold increased to$684.5 million in thethirteen weeks ended August 2, 2025 from$558.3 million in the thirteen weeks ended August 3, 2024, an increase of $126.2 million, or 22.6%. The increase in cost of goods sold was primarily the result of increases in merchandise cost of goods sold resulting from an increase in net sales and store occupancy costs resulting from new store openings.
Previous wording
Gross profit increased to$323.9 million in thethirteen weeks ended May 3, 2025 from$263.5 million in thethirteen weeks ended May 4, 2024, anincrease of$60.4 million, or 22.9%. Gross margin increased to 33.4% in the thirteen weeks ended May 3, 2025 from 32.5% in the thirteen weeks ended May 4, 2024, an increase of approximately 90 basis points. The increase in gross margin was primarily the result of a decrease as a percentage of net sales in merchandise cost of goods sold.
Current wording
Gross profit increased to$342.4 million in thethirteen weeks ended August 2, 2025 from$271.8 million in thethirteen weeks ended August 3, 2024, anincrease of$70.6 million, or 26.0%. Gross margin increased to 33.3% in the thirteen weeks ended August 2, 2025 from 32.7% in the thirteen weeks ended August 3, 2024, an increase of approximately 60 basis points. The increase in gross margin was primarily the result of a decrease as a percentage of net sales in store occupancy costs, partially offset by an increase as a percentage of sales in merchandise cost of goods sold.
Previous wording
Selling, general and administrative expenses (including depreciation and amortization) increased to $273.1 million in the thirteen weeks ended May 3, 2025 from $227.4 million in the thirteen weeks ended May 4, 2024, an increase of $45.7 million, or 20.1%. As a percentage of net sales, selling, general and administrative expenses (including depreciation and amortization) increased approximately 10 basis points to 28.1% in the thirteen weeks ended May 3, 2025 from 28.0% in the thirteen weeks ended May 4, 2024. The increase in selling, general and administrative expenses (including depreciation and amortization) was the result of an increase of $37.1 million in store-related expenses primarily to support new and existing stores. Also contributing to the increase in selling, general and administrative expenses (including depreciation and amortization) was an increase of $8.6 million in corporate-related expenses, which included the impact of retention awards.
Current wording
Selling, general and administrative expenses (including depreciation and amortization) increased to $290.0 million in the thirteen weeks ended August 2, 2025 from $230.3 million in the thirteen weeks ended August 3, 2024, an increase of $59.7 million, or 25.9%. As a percentage of net sales, selling, general and administrative expenses (including depreciation and amortization) increased approximately 50 basis points to 28.2% in the thirteen weeks ended August 2, 2025 from 27.7% in the thirteen weeks ended August 3, 2024. The increase in selling, general and administrative expenses (including depreciation and amortization) was the result of an increase of $33.5 million in store-related expenses primarily to support new and existing stores. Also contributing to the increase in selling, general and administrative expenses (including depreciation and amortization) was an increase of $26.2 million in corporate-related expenses primarily due to higher incentive compensation.
Previous wording
Income tax expense increased to $15.3 million in the thirteen weeks ended May 3, 2025 from $9.7 million in the thirteen weeks ended May 4, 2024, an increase of $5.6 million or 58.6%. The increase in income tax expense was primarily due to the $15.4 million increase in pre-tax income and discrete items, which includes the impact of share-based accounting.
Current wording
Income tax expense increased to $15.1 million in the thirteen weeks ended August 2, 2025 from $11.6 million in the thirteen weeks ended August 3, 2024, an increase of $3.5 million or 31.0%. The increase in income tax expense was primarily due to the $13.3 million increase in pre-tax income and non-deductible expenses, partially offset by discrete items, which includes the impact of share-based accounting.
Previous wording
Our effective tax rate for the thirteen weeks ended May 3, 2025 was 27.2% compared to 23.5% in the thirteen weeks ended May 4, 2024. Our effective tax rate for the thirteen weeks ended May 3, 2025 was higher than the comparable prior year period primarily due to discrete items, which includes the impact of share-based accounting.
Current wording
Our effective tax rate for the thirteen weeks ended August 2, 2025 was 26.2% compared to 25.9% in the thirteen weeks ended August 3, 2024. Our effective tax rate for the thirteen weeks ended August 2, 2025 was higher than the comparable prior year period primarily due to non-deductible expenses, partially offset by discrete items, which includes the impact of share-based accounting.
Previous wording
As a result of the foregoing, net income increased to $41.1 million in thethirteen weeks ended May 3, 2025 from $31.5 million in the thirteen weeks ended May 4, 2024, an increase of $9.6 million or 30.8%.
Current wording
As a result of the foregoing, net income increased to $42.8 million in thethirteen weeks ended August 2, 2025 from $33.0 million in the thirteen weeks ended August 3, 2024, an increase of $9.8 million or 29.6%.
Previous wording
Cash capital expenditures typically vary depending on the timing of new store openings and infrastructure-related investments. We plan to make cash capital expenditures of approximately $210 million to $230 million in fiscal 2025, which exclude the impact of tenant allowances, and which we expect to fund from cash generated from operations, cash on hand, investments and, as needed, borrowings under our Revolving Credit Facility. We expect to incur approximately $120 million of our cash capital expenditure budget in fiscal 2025 to construct and open approximately 150 net new stores, with the remainder projected to be spent on our store relocations and remodels, corporate infrastructure and shipcenter facilities.
Current wording
Cash capital expenditures typically vary depending on the timing of new store openings and infrastructure-related investments. We plan to make cash capital expenditures of approximately $210 million in fiscal 2025, which exclude the impact of tenant allowances, and which we expect to fund from cash generated from operations, cash on hand, investments and, as needed, borrowings under our Revolving Credit Facility. We expect to incur approximately $110 million of our cash capital expenditure budget in fiscal 2025 to construct and open approximately 150 net new stores, with the remainder projected to be spent on our store relocations and remodels, corporate infrastructure and shipcenter facilities.
Previous wording
On November 27, 2023, our Board of Directors approved a new share repurchase program for up to $100 million of our common stock through November 27, 2026. In fiscal 2024, we purchased 266,997 shares at an aggregate cost of approximately $40.0 million, or an average price of $149.79 per share. There were no repurchases during the thirteen weeks ended May 3, 2025. There can be no assurances that any additional repurchases will be completed, or as to the timing or amount of any repurchases. The share repurchase program may be modified or discontinued at any time.
Current wording
On November 27, 2023, our Board of Directors approved a new share repurchase program for up to $100 million of our common stock through November 27, 2026. In fiscal 2024, we purchased 266,997 shares at an aggregate cost of approximately $40.0 million, or an average price of $149.79 per share. There were no repurchases during the twenty-six weeks ended August 2, 2025. There can be no assurances that any additional repurchases will be completed, or as to the timing or amount of any repurchases. The share repurchase program may be modified or discontinued at any time.
Previous wording
Net cash provided by operating activities for the thirteen weeks ended May 3, 2025 was $132.7 million, an increase of $106.3 million compared to the thirteen weeks ended May 4, 2024. The increase was primarily due to changes in working capital and an increase in operating cash flows from store performance.
Current wording
Net cash provided by operating activities for the twenty-six weeks ended August 2, 2025 was $225.7 million, an increase of $128.0 million compared to the twenty-six weeks ended August 3, 2024. The increase was primarily due to changes in working capital and an increase in operating cash flows from store performance, partially offset by an increase in income taxes paid.
Previous wording
Cash Used in Investing Activities
Current wording
Cash Provided by (Used in) Investing Activities
Previous wording
Net cash used in investing activities for the thirteen weeks ended May 3, 2025 was $35.7 million, a decrease of $37.4 million compared to the thirteen weeks ended May 4, 2024. The decrease was primarily due to a decrease in capital expenditures, partially offset by an increase in net purchases of investment securities and other investments.
Current wording
Net cash provided by investing activities for the twenty-six weeks ended August 2, 2025 was $8.7 million, an increase of $30.7 million compared to the twenty-six weeks ended August 3, 2024. The increase was primarily due to a decrease in capital expenditures, partially offset by an increase in net purchases of investment securities and other investments.
Previous wording
Net cash used in financing activities for the thirteen weeks ended May 3, 2025 was $1.3 million, a decrease of $35.5 million compared to the thirteen weeks ended May 4, 2024. The decrease was primarily due to a decrease in the repurchase and retirement of common stock.
Current wording
Net cash used in financing activities for the twenty-six weeks ended August 2, 2025 was $3.4 million, a decrease of $43.0 million compared to the twenty-six weeks ended August 3, 2024. The decrease was primarily due to a decrease in the repurchase and retirement of common stock.
Previous wording
From February 2, 2025 to May 3, 2025, we have entered into 34 new fully executed retail leases with average terms of approximately 10 years and other lease modifications that have future minimum lease payments of approximately $65.7 million.
Current wording
From February 2, 2025 to August 2, 2025, we have entered into 85 new fully executed retail leases with average terms of approximately 10 years and other lease modifications that have future minimum lease payments of approximately $168.3 million.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
Net sales increased to $1,997.4 million in the twenty-six weeks ended August 2, 2025 from $1,641.9 million in the twenty-six weeks ended August 3, 2024, an increase of $355.5 million, or 21.6%. The increase was the result of a non-comparable sales increase of $201.8 million and a comparable sales increase of $153.7 million. The increase in non-comparable sales was primarily driven by the number of stores that opened in fiscal 2024 but have not been open for 15 full months and new stores that opened in fiscal 2025.
Current report — wording carried from elsewhere
Comparable sales increased 9.8%. This increase resulted from increases of approximately 7.5% in the number of transactions and approximately 2.1% in the average dollar value of transactions.
Current report — wording carried from elsewhere
Selling, general and administrative expenses (including depreciation and amortization) increased to $563.1 million in the twenty-six weeks ended August 2, 2025 from $457.6 million in the twenty-six weeks ended August 3, 2024, an increase of $105.5 million, or 23.0%. As a percentage of net sales, selling, general and administrative expenses (including depreciation and amortization) increased approximately 30 basis points to 28.2% in the twenty-six weeks ended August 2, 2025 from 27.9% in the twenty-six weeks ended August 3, 2024. The increase in selling, general and administrative expenses (including depreciation and amortization) was the result of an increase of $70.6 million in store-related expenses primarily to support new and existing stores. Also contributing to the increase in selling, general and administrative expenses (including depreciation and amortization) was an increase of $34.9 million in corporate-related expenses primarily due to higher incentive compensation.
Current report — wording carried from elsewhere
Our effective tax rate for the twenty-six weeks ended August 2, 2025 was 26.7% compared to 24.8% in the twenty-six weeks ended August 3, 2024. Our effective tax rate for the twenty-six weeks ended August 2, 2025 was higher than the comparable prior year period primarily due to discrete items, which includes the impact of share-based accounting, and non-deductible expenses.
Rearranged previous paragraphs (4)
Previous report — wording carried elsewhere
Cost of Goods Sold and Gross Profit
Previous report — wording carried elsewhere
Selling, General and Administrative Expenses (including Depreciation and Amortization)
Previous report — wording carried elsewhere
Cost of Goods Sold and Gross Profit
Previous report — wording carried elsewhere
Selling, General and Administrative Expenses (including Depreciation and Amortization)