Ollie’s Bargain Outlet’s stock gains as retailer hikes its profit view

Ollie’s Bargain Outlet Holdings Inc.’s stock
OLLI,
+1.77%
was up 4.6% in premarket trading Wednesday after the retailer’s third-quarter earnings beat the FactSet consensus estimate. The company also raised its 2023 earnings outlook to between $2.77 a share and $2.83 a share, beating the analyst estimate of $2.73 a share. Ollie’s said its third-quarter sales and margins were ahead of expectations. Ollie’s Bargain Outlet said its third-quarter net income rose to $31.8 million, or 51 cents a share, from $23.1 million, or 37 cents a share, in the year-ago quarter. The company’s adjusted profit of 51 cents a share beat the FactSet consensus estimate of 45 cents a share. Sales rose by 14.8% to $480.1 million, above the analyst estimate of $469.6 million. “Consumers remain under pressure and are looking for ways to save money on branded merchandise they need and want in their homes,” said Chief Executive John Swygert. “Manufacturers are creating new and innovative products, changing packaging and sizes, and competing for retail shelf space, which is creating more closeout opportunities.”