Boot Barn cuts 2027 sales outlook to $2.565–$2.593 billion despite expansion
Key Facts
Boot Barn cut its sales outlook for the fiscal year ending March 27, 2027, to $2.565–$2.593 billion, equivalent to growth of 14% to 15% over fiscal 2026, according to results published via Nasdaq. The new guidance fully replaces the estimate issued on July 29, which put sales at $2.580 billion to $2.625 billion and growth at 14% to 16%. The reduction in the annual range comes alongside an increase in the store-opening plan, after July guidance had projected 70 store openings during the fiscal year. In the second fiscal quarter ended September 26, sales rose 15.1% to $581.8 million, from $505.4 million a year earlier. The stock closed at $113.30 on October 28, according to EL7 data.
Net sales in the second quarter were $581.8 million, while consolidated comparable-store sales rose 1.4%. Performance varied by channel: comparable physical-store sales grew 1.0%, while comparable e-commerce sales increased 5.2%. The company said overall sales growth came from new stores and higher comparable-store sales. Boot Barn opened 19 stores during the quarter, bringing its total to 584 as of September 26. Chief Executive John Hazen said recently opened stores continued to exceed expectations, adding that some of the latest openings had delivered sales above their original expectations.
Diluted earnings per share rose 26.3% to $1.73 in the second quarter, compared with $1.37 in the same period a year earlier. The current figure included an estimated benefit of $0.05 per share from tariff refunds. The merchandise margin rate also increased 190 basis points year over year. The company attributed 130 basis points of the improvement to lower freight costs, 40 points to tariff refunds and 20 points to improved product margins. These contributions show that margin gains combined lower freight expenses, tariff recovery and improved product profitability, alongside sales growth.
Compared with the previous fiscal year, sales were $2.254 billion in 2026, up 17.9% from fiscal 2025, while comparable-store sales rose 7.2%. In the first quarter of fiscal 2027, sales increased 17.7% to $593.5 million and comparable-store sales grew 4.7%. The second quarter, by contrast, combined overall sales growth of 15.1% with a smaller 1.4% increase in comparable-store sales. In July, the chief executive said monthly sales had moderated amid a difficult year-over-year comparison. This trajectory places second-quarter results and the annual outlook in the context of slower comparable-store sales growth than in the first quarter and the previous fiscal year.
For the third fiscal quarter ending December 26, 2026, the company expects sales of $785 million to $802 million, representing year-over-year growth of 11% to 14%. Its comparable-store sales estimate ranges from a 1.0% decline to 1.0% growth, reflecting a mixed outlook for established-store performance during the period. The company also expects diluted earnings per share for fiscal 2027 of $8.72 to $9.00, growth of 19% to 22% over fiscal 2026, based on 30.2 million weighted-average diluted shares. The annual estimate includes a benefit of $0.45 per share from tariff refunds. Its third-quarter earnings-per-share estimate ranges from $3.03 to $3.19.
In preliminary data for the four weeks ended October 24, the company said total sales grew 13.9% year over year, while consolidated comparable-store sales rose 0.4%. Comparable physical-store sales grew 0.5%, while comparable e-commerce sales fell 0.9%. The company is preparing for the holiday season by refreshing its product assortment, improving its in-store presentation and expanding its national marketing campaign, Hazen said. The chief executive also pointed to momentum in workwear and the relaunch of Boot Barn Workforce. In capital allocation, the board approved an additional $400 million for the share repurchase program on October 21, and about $468 million remained available for repurchases after the increase.