BJ’s Wholesale Club beat a Wall Street fourth-quarter earnings estimate and narrowly missed on revenues as comps inched ahead during the period.
In addition to the financial results, BJ’s has announced it plans to open its first club in Kentucky with the location set for Louisville and an early 2025 debut. BJ’s move into Kentucky follows its expansion into Tennessee and Alabama in 2023.
Net income for the 14-week quarter was $145.9 million, or $1.08 per share, versus $129.8 million, or 95 cents per share, in the year-before 13-week period, the company reported. Adjusted for one-time charges, net income was $149.8 million, or $1.11 per share, versus $136.7 million, or $1 per share, in the year-previous quarter.
BJ’s earnings per share topped a MarketBeat-published analyst consensus estimate of $1.06, and revenues came in just short of a $5.38 billion forecast.
Comparable club sales, excluding fuel, increased by 0.5% in the quarter year-over-year, led by accelerating traffic. Digitally enabled comps advanced 28% versus the year past.
Net sales were $5.25 billion, while net revenue, including membership fees, was $5.36 billion versus $4.83 billion and $4.93 billion, respectively, in the year-earlier quarter. Operating income was $214 million versus $192.8 million in the year-prior period.
For the full 53-week fiscal year, net income was $523.7 million, or $3.88 per share, versus $513.2 million, or $3.76 per share, in the 52-week year before.
Adjusted net income was $534.5 million, or $3.96 per share, versus $535.2 million, or $3.92 per share, in the year previous.
Net sales were $19.55 billion and total revenues were $19.97 billion versus $18.92 billion and $19.32 billion, respectively, in the year earlier. Operating income was $800.4 million versus $738 million in the year prior.
“We ended fiscal 2023 on a strong note,” said Bob Eddy, BJ’s chairman and CEO. “Our membership grew in robust fashion and we continue to retain members at all-time high rates. We delivered impressive market share gains in our clubs and at our gas pumps, driven by acceleration in traffic and growth in units sold. We improved our merchandising and value proposition meaningfully during the year and increasingly delivered both with greater convenience through our digital offerings. We also continued to grow our chain with six new clubs since the third quarter.”
