Buckle (BKE)

Management Discussion

• Results for the 52-week fiscal year ended January 30, 2021 were significantly impacted by the Company's closure of all brick and mortar stores due to the COVID-19 pandemic beginning March 18, 2020.
• Net sales for the 52-week fiscal year ended January 29, 2022, increased 43.6% to $1.295 billion from net sales of $901.3 million for the 52-week fiscal year ended January 30, 2021. Comparable store net sales for the 52-week fiscal year increased 43.8% from comparable store net sales for the prior year 52-week period ended January 30, 2021. Total sales growth for the year was the result of a 43.5% increase in the number of transactions and a 2.0% increase in the average unit retail, partially offset by a 1.9% decrease in the average number of units sold per transaction. Online sales for the fiscal year increased 15.9% to $220.8 million for the 52-week fiscal year ended January 29, 2022 compared to $190.6 million for the 52-week fiscal year ended January 30, 2021. Average sales per square foot for fiscal 2021 increased 50.6% from $311 to $468. Total square footage as of January 29, 2022 was 2.292 million compared to 2.301 million as of January 30, 2021.
• The Company’s average retail price per piece of merchandise sold increased $0.93, or 2.0%, during fiscal 2021 compared to fiscal 2020. This $0.93 increase was primarily attributable to the following changes (with their corresponding effect on the overall average price per piece): a 3.9% increase in average knit shirt price points ($0.40), a 9.0% increase in average accessory price points ($0.36), an increase in average price points for certain other merchandise categories ($0.20), and a shift in the merchandise mix ($0.30); which were partially offset by a 1.8% decrease in average denim price points (-$0.33). These changes are primarily a reflection of merchandise shifts in terms of brands and product styles, fabrics, details, and finishes.