Executive Summary
The Buckle Inc reported Q1 2025 revenue of $272.1 million, marking a YoY decline of 3.64% and a QoQ drop of 28.24% from Q4 2024. Despite softer top-line momentum, the company delivered a solid gross margin of 46.66% and a healthy operating margin of 16.00%, underpinned by disciplined expense management and a resilient cost structure. Net income reached $35.19 million with an EPS of $0.70, supported by EBITDA of $49.41 million and a free cash flow (FCF) of $19.57 million. The quarter generated positive operating cash flow of $30.98 million, while capital expenditure was modest at $11.40 million, contributing to a robust free cash flow yield in the period. The balance sheet remains liquidity-rich, with $268.88 million of cash and cash equivalents and total liquidity (including short-term investments) of about $291.77 million, and a net debt position of roughly $100.80 million resulting in a net debt to EBITDA around 2.0x. The company also reports a current ratio near 2.09x and a debt-to-equity ratio of approximately 1.19x, signaling solid balance sheet health.
Market dynamics for The Buckle in QQ1 2025 show a easing in demand versus prior year as macro consumer spend softens and promotional activity intensifies. While the top line softened, profitability remained durable, implying effective cost control and favorable product mix. Absent explicit forward-looking guidance in the provided data, investors should monitor same-store-sales trajectories, online penetration, markdown intensity, and inventory discipline as key catalysts for potential margin recovery in H2 2025. The Buckle’s cash generation and conservative liquidity profile position it to navigate near-term volatility, while strategic levers such as e-commerce expansion, private label growth, and loyalty program enhancements could support stronger operating leverage over time.
Key Performance Indicators
QoQ: -28.24% | YoY:-3.64%
QoQ: -36.35% | YoY:-4.19%
QoQ: -54.75% | YoY:-9.77%
QoQ: -54.41% | YoY:-10.35%
QoQ: -54.25% | YoY:-11.39%
Key Insights
Revenue (QQ1 2025): $272.121m; YoY: -3.64%; QoQ: -28.24%. The deceleration reflects seasonality and a softer promotional environment following the holiday period.
Gross Profit: $126.976m; Gross Margin: 46.66%; YoY: -4.19%; QoQ: -36.35%. Margin pressure QoQ suggests promo activity or product mix shifts impacting gross profitability.
Operating Income: $43.546m; Operating Margin: 16.00%; YoY: -9.77%; QoQ: -54.75%. Operating profitability remains solid, but QoQ deterioration tracks with revenue de...
Financial Highlights
Revenue (QQ1 2025): $272.121m; YoY: -3.64%; QoQ: -28.24%. The deceleration reflects seasonality and a softer promotional environment following the holiday period.
Gross Profit: $126.976m; Gross Margin: 46.66%; YoY: -4.19%; QoQ: -36.35%. Margin pressure QoQ suggests promo activity or product mix shifts impacting gross profitability.
Operating Income: $43.546m; Operating Margin: 16.00%; YoY: -9.77%; QoQ: -54.75%. Operating profitability remains solid, but QoQ deterioration tracks with revenue deceleration and potential step-up in SG&A as a percentage of sales.
Net Income: $35.193m; Net Margin: 12.93%; YoY: -10.35%; QoQ: -54.41%. Profitability persists despite top-line weakness, aided by cost discipline and favorable non-operating items.
EPS (Diluted): $0.70; YoY: -11.39%; QoQ: -54.25%. Core earnings power remains, though momentum is modestly negative on a per-share basis.
EBITDA: $49.407m; EBITDA Margin: ~18.16% (EBITDA / Revenue).
Free Cash Flow: $19.573m; FCF conversion continues to be meaningful given operating cash flow of $30.976m and capex of $11.403m.
Cash Flow & Liquidity: Net cash from operating activities $30.976m; Dividends paid ($17.906m); Net change in cash $1.955m; Cash at end of period $268.884m; Total cash & short-term investments $291.767m; Net debt $100.802m.
Balance Sheet: Total assets $977.329m; Total current assets $455.643m; Total current liabilities $217.729m; Total liabilities $532.056m; Total stockholders’ equity $445.273m; Debt to equity ~1.19x; Current ratio ~2.09x; Net debt to EBITDA ~2.0x.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
272.12M |
-3.64% |
-28.24% |
| Gross Profit |
126.98M |
-4.19% |
-36.35% |
| Operating Income |
43.55M |
-9.77% |
-54.75% |
| Net Income |
35.19M |
-10.35% |
-54.41% |
| EPS |
0.70 |
-11.39% |
-54.25% |
Management Commentary
No earnings-call transcript content was provided in the dataset. As a result, management quotes or themes from the QQ1 2025 call could not be extracted or summarized.
Forward Guidance
No explicit forward guidance was included in the provided data. Based on QQ1 2025 results, the near-term outlook is likely contingent on demand stabilization and improved top-line momentum. Key factors for investors to monitor include: same-store sales trends, online channel growth, markdown intensity and inventory health, expense discipline, and the pace of margin recovery through product mix optimization. If the company can sustain or accelerate online growth, optimize margins through better mix and pricing, and manage markdowns effectively, a path to modest margin expansion could emerge in H2 2025. Conversely, prolonged consumer softness or intensified promotional activity could pressure profitability and cash generation.